Banking vocan Flashcards
Amount of interest that a $100 deposit would earn, after compounding, for one year.
Annual Percentage Yield (APY)
A computer terminal that allows a withdrawal of cash from an account.
Automated Teller Machine (ATM)
The amount of money you have in your bank account.
Balance
The Bank’s accounting of your transactions.
Bank Statement
A report that accounts for the differences between the bank statement and your checkbook balance.
Bank Reconciliation
Checks the bank has paid. They will appear on your bank statement.
Cancelled Check
A saving alternative in which money is left on deposit for a stated period of time to earn a specific rate of return.
Certificate of deposit (CD)
A written order to the bank that tells it to take a stated amount of money from your account and pay it to another.
Check
A handy portfolio that holds your check register, checks, deposit slips, receipts, and other ATM/debit card transactions.
Checkbook
A business that cashes checks, giving the customer cash in exchange for a free for the service.
Check cashing store
A record that allows you to keep track of checks you have written, ATM/debit cards transactions, as well as deposits and withdrawals.
Check register
A non-profit financial institution that is owned by its members and organized for their benefit.
Credit union
A for-profit institution that offers a full range of financial services, including checking, savings , and lending.
Commercial Bank
The process in which interest is earned on both the principle, the original amount you deposited, and on any previously earned interest.
Compounding
A sum of money deducted from your account.
Debit
A cash card that allows you to withdraw money or pay for purchases from your checking or savings account.
Debit card
Money you put into your account
Deposit
A form you fill out to credit money to your account when you make a deposit.
Deposit slip
An automatic deposit of net pay to an employee’s designated bank account.
Direct deposit
To sign the back of a chack made out to you so it can be cashed or deposited.
Endorse
The signature of payee, the party to whom the check has been written.
Endorsement
A fee paid to you for keeping your money in the account or a fee charged to you for a loan or credit card.
Interest
A savings account that requires a minimum balance and earns interest that varies from month to month.
Money Market Account
A check that has been written but not yet deducted from the person’s bank account.
Outstanding check
A deposit that has been made but not yet added to the person’s bank account.
Outstanding deposit
An automatic loan made to an account if the balance will not cover checks written.
Overdraft protection
To write a check or make a withdrawal when there isn’t enough money in account to pay for it.
Overdraw
The person to whom the check is made payable.
Payee
An online process that allows you to send money directly from your checking account to a friend via email or cellphone.
Person to person payment
Personal Identification Number needed to use an ATM card.
PIN
To write a future date on a check.
Point-of-sale transaction
To write a future date on a check.
Post-date
A card that is loaded with a specific cash amount before you use it but then looks and works like a credit card until the full value is spent.
Prepaid card
The percentage of increase in the value of your savings from earned interest.
Rate of return
To “balance” your checking account with your monthly statement from the bank.
Reconcile
A financial institution that traditionally specialized in savings accounts and mortgage loans but now offers many of the same services as commercial banks.
Savings and Loan Association
A card used when opening a new account that includes name, address, birthdate, etc.
Signature card
The monthly record of your account transactions sent to you by your bank.
Statement
A check “VOID” written across it that make it non-negotiable.
Voided check
A request that a bank or other financial institution not cash a particular check.
Stop-payment order
