1. Viking Independent bank Mrs. sorrell
Checking accounts
Viking Independent bank
Mrs. sorrell

2. Are checking accounts obsolete?
One of the safest and easiest ways to manage your money
A safe place to store your money but the money is still very accessible
Alternatives are more expensive and/or less safe
Mismanaging can be very expensive
Needed to get a credit card
Some bills cannot be paid via credit card
Younger adults incur avoidable bank fees

3. Opening a checking account
Convenient location
Talk to bank personnel about the various checking account
Use a bank with FDIC insurance
If you are under 18, the bank may require the account be jointly owned with an adult
Provide your “official” signature (do not use a nickname)

4. Making deposits Cash and checks at bank or ATM machine
Must complete a “deposit ticket”
Some banks allow deposit of a check image
Full amount may not be available for several days
Bank must determine that there are funds in the account of the person or company who wrote the check

5. Endorsing a check Signing on the back of the check
Sign in ink so it cannot be erased
Must be within 1.5 inches of the trailing edge of the check
Must endorse with the same name as on the front of the check
Deposit checks shortly after you receive it
Checks will not be accepted after 6 months

6. Types of Endorsements Blank endorsement Restrictive endorsement
Can be cashed by anyone who possesses it; use it when you are in the bank ready to deposit/cash
Restrictive endorsement
States “For deposit only”
Must be put in your account and no one else can cash it
Endorsement in full
Used to transfer the check to another person or company

7. Writing checks
Payee—the person or business to whom the check is written
Written amount—amount of check written in digits
Legal amount—amount of check written in words; the legal amount prevails over the written amount
Drawer—the person who signs the check

8. Keeping checkbook records
Record every transaction
Payee—to whom payment was made
Purpose of payment
Amount
Date
Check number, if via check
Must record deposits
ATM transactions
Electronic Funds Transfer
Most commonly recorded in a check register
Fill out register before you complete the transaction or write the check

9. Reconciling the statement
Bank sends account statements monthly
Transactions grouped by “Debits” and “Credits”
Debits—decrease in balance
Checks you have written
ATM transactions
Bank fees
Credits—increases in cash balance
Deposits made
Interest earned

10. Miscelaneous Stop payment order
Cancel a check you have written and given to someone else for payment
Cannot be issued if check has cleared the bank
If you checks are lost or stolen, you should close your account
Wired money is available as soon as it is received
Certified check guarantees it will not bounce
Stop payments, Certified checks and Bounced checks all have extra fees subtracted from your account