Banking Terms Flashcards
The annual percentage used to calculate the total interest, either gained or lost from an account supplied supplied by a depository institution
Interest Rate
Primary focus is providing loans and mortgages to customers
Savings and Loan Association
The amount of money that is either gained or lost when accessing services offered by a depository institution
Interest
A term that is used to determine which party should be responsible for damage occurring to products after a service transaction has been completed, but prior to delivery.
Risk of Loss
These are businesses which offer multiple services in banking and finance
Depository Institutions
Part of the central banking system in the United States
Federal Reserve Bank
For profit full-service institutions that offer a wide variety of services
Commercial Bank
These are non-profit cooperative institutions owned by their members
Credit Union
A federal government agency which insures federally chartered commercial banks and savings and loan associations against loss
Federal Deposit Insurance Cooperation
Provides insurance protection for credit unions
National Credit Union Administration
Either charge the consumer interest for money borrowed or earn interest for the consumer in a savings account or other investment instrument
Interest Bearing Accounts
Paper checks or debit cards that are used to withdraw money deposited into the account to pay for purchases of goods and services.
Checking account
An account in which money normally is deposited to earn interest
Savings account
Ownership represented by shares in a corporation
Stock
An insured interest bearing savings instrument with restricted access to the funds
Certificate of deposit
An account which offers higher interest rates than a saving account and may offer limited check writing privileges
Money marked account
A debt instrument issued by an organization designed as an investment for the purchase to earn interest
Bond
A card used to make a purchase now, with repayment made later without interest
Credit Card
Money borrowed and paid back with interest
Loan
A secured box in a depository institution to be used for valuable and important personal items
Safe-deposit Box
Information and advice is given to customers to help them make financial decisions
Financial Counseling
