1. Chapter 7, 7.2 6120 standard 065: Prepare all forms necessary for opening and maintaining a checking and savings account

2. OPENING A CHECKING ACCOUNT  Must be 18 or older  Joint account is an option for under 18  must provide: application, signed signature card, valid ID, and initial deposit.

3. WRITING A CHECK Step 1: Date (month/day/year) Step 2: Pay to the order of, who is the check written to Step 3: Amount ($), write in numerical form Step 4: Dollars: Write out numbers in alphabetical form, drawing a line to fill in any remaining space Step 5: For/Memo Step 6: Signature, sign your name to make it official!

4. A completed check looks like…

5. Record checks in register  Use to keep track of money deposited and spent  Often can find electronic versions  Record ALL transactions, including: ~ fees ~ interest earned ~ deposits ~ debits (money spent) ~ check numbers ~ new balance NOTE: Don’t forget about transactions from your debit card. It’s linked to your checking account!

6. Overdrawing Your Account When you spend money you don’t have in your account, it becomes overdrawn. This can be a costly mistake, up to $35 each time! Keeping a check register helps prevent that from happening.

7. cash or transfer a check  endorse the back and deposit  May also write a check to “cash,” but be careful!  don’t endorse until at the bank to avoid theft If you choose to transfer a check:  This means you sign it over to someone else  write “pay to the order of” on back  called a third party check (can be difficult to deposit)

8. Depositing a check  May deposit to checking or savings  May deposit all or part of a check  May take a few days for check to clear  Some banks require a deposit form: ~This requires you to complete form and submit with ID and check you wish to deposit. All instructions for check are on deposit form.  Write “for deposit only” on those checks you want submitted in their entirety DON’T FORGET!! 1) Record your deposit

9. Checking Accounts: Interest Bearing usually requires a large minimum balance fee may be charged if falls below that minimum amount

10. Checking Accounts: Non Interest Bearing For those who keep smaller balances in checking

11. Fees, fees, fees  can have maintenance fee (no matter how many checks are written)  service charge fee (based on number of checks written)  overdraft fee (may increase for every consecutive check you overdraw)