2. 6/3/15 BR -1. Why can’t you just use cash for all of your transactions? 2. What is the difference between a checking and savings account? T ODAY : H OW D O I U SE A C HECKING A CCOUNT ? ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts

3. What To Do? Read pp. 3 – 17 Complete Activities 5.1 -5.3 (5.2 I will give you!) Check In Questions (get it? See what I did there..) 1.What are the benefits of using checks or a checking account? - Make a note of the different items on a check 2.What is an “electronic check”? What are some things I will need to set one up? 3.What are 3 other payment options besides paying with a check? 4.Look at the chart on p. 13 – list 4 ways a debit card is different from a credit card.

4. What To Do? (part deux) 5.Focus on p. 14-15. Describe how a small purchase (say, $10 or so..) can end up costing you WAY more. 6.How are banker’s hours and business days different from other days of the week.

5. Ways to Pay? How many different ways can you shop for and pay for music? ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts

6. Preview Today we will answer these questions: Why should I pay with a check? How do I use a checking account? How do I keep track of how much money I have in my checking account? Use what you learn today to demonstrate how to use a checking account. ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts

7. Meet Jason and Brianna Jason – Senior Has a checking account and debit card Pursuing career in law enforcement Also considering joining the Coast Guard Brianna – Grade 9 Starting a new job soon Doesn’t have a bank account Gets most of income from the “bank of mom and dad” Likes to receive gift cards for gifts ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts

8. Demand Deposits Funds can be withdrawn on demand by a customer without advance notice to bank or credit union Bank teller (in person) ATM (automated teller machine) Online Phone Check Debit card ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts

9. What’s on a Check? ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts and 50/100

10. Check Writing 101 ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts

11. Make the Deposit ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts XX / XX / 201X Your Name Your signature (when taking cash) 1 4 7. 5 8 - 2 5. 0 0 1 2 2. 5 8 0 5 1 3 5 7 9 2 4 6 8

12. Endorsements Blank Endorsement Your signature Restrictive Endorsement For deposit only Your signature ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts

13. Jason’s Transactions ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts CodeDate Description of Transaction Payment (—) Deposit (+) Balance Mon Balance from previous page 35.00 d/cMonPhone charger-19.0016.00 d/cMonPizza-18.00-2.00 FeeMonNSF fee-30.00-32.00 d/cMonFood-9.00 -41.00 FeeMonNSF fee-30.00-71.00 213ThurSchool fee-25.00-96.00 FeeMonNSF fee-30.00-126.00

14. Keeping Track ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts CodeDate Description of Transaction Payment (—) Deposit (+) Balance DepMonCash deposit200.00 W/DMonChecks-20.00180.00 100WedFine Foods – groceries-23.11156.89 101WedWayne’s Book World-13.50143.39 d/cThurCash-30.00 113.39 Auto w/d FriPhone bill-25.5087.89 DepSatPaycheck113.76201.65

15. Balance Zoe’s Bucks ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts TransDate*Description of TransactionPayment (—)Deposit (+)Balance DepTuesDeposit paycheck280.00 d/cTuesGas ($3.69 x 15 gallons)-55.35224.65 101WedInsurance premium-115.00109.65 d/cSatMovie-12.0097.65 d/cSatTheatre food-6.50 91.15 DepMon Babysitting fee ($15 x 4 hours) 60.00151.15 102MonBook-175.00-23.85 NSFThursInsufficient funds fee-36.00-59.85 DepFri Paycheck ($7.50 x42 hrs-$27 tax) 288.00228.15

16. Does it Match? ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts The Bank Statement Balance + Outstanding Deposits - Outstanding Payments and Withdrawals Does the result equal what you tracked in your register?

17. Hints to Find Math Errors Subtract to calculate the difference. –Does the difference match a transaction amount? »Look for a missing an entry for that same amount »Search for a duplicate entry for that amount –Is the difference twice a transaction amount? »Check for a deposit mistakenly labeled as withdrawal or vice versa –Is there a difference of 1, 10, 100, or 1,000? »Recheck work for an addition or subtraction error –Is the difference divisible by 9? »Look for a transposed number (i.e. $125 mistakenly entered as $152) ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts

18. Challenge 5-A Use a Checking Account ✓ Track checking account payments and deposits for two months. ✓ Reconcile the account at the end of each month to verify your calculations. ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts

19. Reflection What is your preferred method of payment? check debit card cash Why? ©2012 National Endowment for Financial Education | Lesson 5-1: Checking Accounts