1. PERSONAL FINANCE PERSONAL BANKING BY MR. BROWN

2. TOPICS Bank Accounts Check Writing ACH Transfers vs. Wire Transfers Bank Fees FDIC Debit Cards vs. Credit Cards

3. BANK ACCOUNTS Basic Checking Account: Usually no fees, minimal perks (no interest earned), designed for numerous transactions a month Savings Account: Earn interest, designed for very few transactions a month CD (Certificate of Deposit): similar to a savings account but you can’t withdraw the money until the term ends, earns higher interest than a Savings Account IRA (Individual Retirement Account): An investment account with tax perks, will be penalized for pre-retirement withdrawals. Brokerage Account: An investment account without tax perks, no penalties for withdrawing funds.

4. CHECK WRITING What is a check? How do you write a valid check? https://www.moneyinstructor.com/checks.asp https://www.moneyinstructor.com/checks.asp Routing Number & Account Number Direct Deposit

5. CHECK WRITING PRACTICE Write one Check to Mr. Brown for $1,025.00 Write one Check to a classmate for $857.15 Write one Check to a different classmate for $245.69

6. ACH & WIRES ACH (Automated Clearing House): electronic transfer of funds (non-cleared), only domestic and in USD Wires (Domestic): electronic transfer of funds (cleared), frequently have a fee (approx. $25) Wires (International): electronic transfer of funds (cleared), frequently have a fee and an exchange rate if changing currency

7. BANK FEES Overdraft fees Maintenance fees Transfer fees

8. FDIC Federal Depository Insurance Corporation (FDIC): up to $250,000 https://www.fdic.gov/deposit/covered/categories.html

9. DEBIT VS CREDIT Debit cards: act as an electronic check that is immediately cashed, tied to a checking account Credit cards: act as a small loan, the credit company pays for the transaction. The consumer pays the debt back with interest to the credit card company.