1. 1. Banking 2. Credit 3. Investment 4. Net Worth 5. Budget

3. 1. To identify services provided by  commercial banks  2. To determine things to consider when  choosing a bank  3. To explain the ways banks make  money  4. To define a credit union and know its  advantages and disadvantages  compared to commercial bank

4. AAlso known as full-service banks because they offer a wide range of services. $L$Lending money $A$Accepting deposits (savings and checking accounts) $S$Storing valuables (safe-deposit boxes) $P$Providing financial advice $I$Investments $T$Transferring funds

5.  When funds are moved electronically from one account to another.

6. Citizens Bank Methacton School District Direct Deposit Mortgage Car Insurance Verizon PECO Mastercard Honda

7. 1. Account interest rates 2. Location 3. Fees 4. Loan interest rates 5. Services 6. FDIC insured ($250,000)

8. 1) 1. Loans For example  You put $1,000 dollars into your savings account and the bank gives you 1% interest.  The bank then lends out the money for a car loan, for example, at 5%.  5% - 1% = 4%

10. You buy t-shirts at $6.00 each You sell them at $10.00 each Your profit is $4.00

11. A user-owned, nonprofit cooperative financial institution Usually, members of a credit union have either the same employer, belong to a workers’ union, a church or community.

12. 1. What is a credit union? 2. Advantages and Disadvantages Banks vs. Credit unions AdvantageDisadvantage Credit union1. Banks2.

13. AdvantageDisadvantage Credit union 1. Higher interest on savings accounts 2. Lower interest rates on loans 1.Fewer branches 2.Fewer services Banks 1.More services 2.More branches 1. Higher rates on loans 2. Lower rates on savings accounts

14. BanksCredit Union Loans7%5% Savings Account Interest Rate 1%2% Difference 6%3% http://www.businessinsider.com/credit- unions-vs-big-banks-2013-4