Lesson 9.1 unit 4 Checking accounts and other banking services What is the purpose of a checking account? © South-Western Educational Publishing

Chapter 9 Checking Accounts and Other Banking Services An account that allows depositors to write checks to make payments. Other Banking Services and Fees © South-Western Educational Publishing

Checking Account Vocabulary- use book and complete Check Demand deposit Canceled check Overdraft Floating a check © South-Western Educational Publishing

Opening a Checking Account Signature authorization form Official signature Initial deposit Most banks $50 Some banks ask for a minimum balance to be kept for no fee accounts. © South-Western Educational Publishing

Parts of a Check July 1, 20-- Food Mart 36.12 Thirty-six and 12/100 071000741 08 40 856 0581 581 ARDYS JOHNSON Phone: 555-0100 4250 West 18th Avenue Chicago, IL 60601-2190 SKY CENTRAL BANK Chicago, Illinois PAY TO THE ORDER OF DOLLARS For Classroom Use Only MEMO DATE 2-74 710 July 1, 20-- Food Mart 36.12 $ Thirty-six and 12/100 Ardys Johnson groceries Parts of a Check © South-Western Educational Publishing

Using Your Checking Account Writing checks Paying bills online Also online bill pay Making deposits Using a checkbook register © South-Western Educational Publishing

Reconciling Your Checking Account Write ending balance from bank statement. Add credits or deposits not on statement. Total lines 1 and 2. Write total outstanding checks/debit transactions. Subtract line 4 from line 3. (Should agree with checkbook balance) 1279.38 100.00 1379.38 139.90 1239.48 © South-Western Educational Publishing

Endorsing Checks Blank endorsement Special endorsement Is the signature of the payee written exactly as his or her name appears on the front of the check. Special endorsement AKA endorsement in full, is an endorsement that transfer the right to cash the check to someone else. Restrictive endorsement Restricts or limits the use of a check. Ex. For deposit only…. © South-Western Educational Publishing

Types of Checking Accounts Joint accounts Special accounts Standard accounts Interest-bearing accounts Share accounts © South-Western Educational Publishing

Other Banking Services Guaranteed-payment checks Money orders Debit cards Bank credit cards Automated teller machines Online banking Telephone banking Stop payment orders Safe deposit boxes Loans and trusts Financial services Other Banking Services © South-Western Educational Publishing

Bank Fees Examples of bank fees Loan fee Trustee fee MYPF Chapter 09 12-Sept-2001 Bank Fees Examples of bank fees Loan fee Trustee fee Check cashing fee for non-customers Per-check fee Maintenance fee Check printing fee ATM transaction fee © South-Western Educational Publishing