1. Opening a Bank Account
Lesson 1

2. Think-Pair-Share
Do you own a bank account? If so, at what financial institution and what type of accounts do you have?
If you don’t have a bank account, how come?

3. Type of Accounts Savings Account
Often time require a lower, or no minimum balance to establish
Money can be taken out of savings at anytime
Certain institutions may have restrictions
Interest can be earned on money in savings account (avg 0.5-1%, unless special account)

4. Types of Accounts Checking Account
Often time require a higher minimum balance than savings accounts
Account that would be used more for spending money
Account where checks can be written from and debit cards can be used
Most checking accounts do not have interest, but some may

5. Where to Open an Account
Two main types of financial institutions
Commercial Banks
For-profit , organized as corporations
Offer full range of services: checking, savings and lending
Credit Unions
Nonprofit, owned by its members (members benefit)
Members have some sort of common bond
Full range of services found at traditional commercial banks

6. Things to Consider When Choosing
Accessibility
Types of services
ATM’s available
Fees/Minimum Balances
$5 for savings
$20 for checking
Age restrictions
Online Banking

7. Researching What’s Out There
You will work in pairs to research various financial institutions to learn about the services they have available to their customers
If you had $100 to start a bank account which institution would you open an account with? What type of account(s)? Why?
If you have $10,000 which institution would you open an account with? Type? Why?
Is there a difference on what you would do depending on the amount of money? Why? Why Not?
Lesson 1_Opening a Bank Account

8. Writing Checks

9. Balancing your Checkbook
Balancing your Checkbook vs. Online Banking
Before this was the only means to get your personal information. No statements were sent home, no online available.

10. Name and Address of Account Holder
Current Legal Name and Address is advised. Any checks without either would require changes to the check by the teller before accepting.

11. Date
Date must be posted prior or on the date of payment. Post marked checks are not accepted (dated in the future).

12. Check Number
Both indicate the check number being used. Used to identify check.

13. Who you are paying
Where you write the full name of company or person you are paying. Checks can also be written to CASH; but anyone can CASH this. Checks are only accepted at the bank indicated on the check or at the bank/financial institution where the person is depositing.

14. Check Value/Amount

15. Where the check is from
Bank/financial Institution where check is from.

16. Bank Routing Number
Routing Number used to inform where the check is being traced to for funds.

17. Bank Account Number
Personal bank account number.

18. Memo Line
For personal use only. Carbon Copy behind check allows you to track checks used.

19. Account Owner Signature
Signatures are important to verify payment. Incorrect signatures/changes in signatures could invalidate or help you to invalidate a check from a fraudulent source.

20. Assignment
Write three checks, with today’s date, with the following information and your signature.
Paid to Waipahu High School; $ ; Memo: Donation
Paid to Todd Nakayama; $411.11; Memo: Happy Birthday

21. Exam Write three checks Use the information below to complete
Indicate each area on the check
8/12/2013; Paid to Waipahu High School; $ ; Memo: Donation; Use your signature
8/22/2014; Paid to Nakayama Foundation; $10,234.45; Memo: Services Rendered; Use your signature