1. Common payment services What are the common payment services provided by financial institutions?1

2. Common payment services
Opening a checking account
Signing a signature card is the first step
This must be completed when the account is opened to verify name, signature, and personal information of account holder.
Use your full name, or names, if a joint account.
The signature on checks and debit card purchases must match the signature card 2

4. Common payment services
Endorsing a check for deposit
An endorsement allows the payee, the person receiving the check, to cash the check, deposit the check or transfer payment of the check to someone else.
The signature on endorsement must match the signature on the signature card of the account holder.

5. Common Payment Services
Different types of endorsements:
Blank
Sign the back of the check with the name that matches the front of the check and the signature card.
Full
This endorsement changes ownership of the check from the original payee to a new payee, The person cashing the check.
Restrictive
This endorsement limits what can be done with the check; usually “For Deposit Only”.

6. Blank Endorsement Consists of endorser’s name only
Anyone who has a check with a blank endorsement may cash it. 6

7. Full Endorsement Transfers payment of a check to someone else.
Can be used to make payment on a debt
Juan Delgado is the payee on this check. 7

8. Restrictive Endorsement
Limits use of the check so it can be deposited only to endorser’s account.
Safest type of endorsement, as it cannot be cashed by a thief or someone who finds the check.
Safest endorsement to use when mailing a check for deposit or when using the ATM for deposit. 8

9. Making a Deposit in Checking or Savings
Accounting Information
Depositors name
Account number
Date
List & Total Amount of Money Deposited
Currency
Coin

10. Making a Deposit in Checking or Savings
Checks
List separately
Identify by check number
Total the amount of checks to be deposited
Totals
Total the amount of cash & checks
If you want cash back it must be deducted from the total
Signature is required if receiving cash back.

11. Check Writing Procedures
Ensure all information is written in the check register first, and ensure checks are written in numerical order.
Write the date the check is written.
Write the payee’s name. 11

12. Check Writing Procedures continued
Write in the numerical amount of the check.
Write in the amount of the check in words.
Write in the purpose of the check.
Sign the check.
Complete the check register
Complete the check 12

14. Withdrawals From a Savings Account Complete a withdrawal slip
Record withdrawals in savings account register
Withdrawals may be made using a bank card through electronic fund transfer (EFT) if the account has one.

15. Check Register Should be completed as checks are written
Check number or transaction code must be recorded
Date must be recorded
Payee’s name and purpose of the check
Amount of payment or withdrawal (ATM), or amount of deposit should be entered
Calculate new balance
Subtract fees, checks, & withdrawals
Add deposits

18. Bank Reconciliation What is a bank reconciliation?
A bank reconciliation is the document created to show how the two balances (your own record of your checking account and the bank’s record of your account) were brought into agreement.
What is an outstanding check?
Outstanding checks are checks that have not been deducted from the bank statement balance.
What is a bank reconciliation?
A bank reconciliation is the document created to show how the two balances (your own record of your checking account and the bank’s record of your account) were brought into agreement.
What is an outstanding check?
Outstanding checks are checks that have not been deducted from the bank statement balance. 18

19. Steps in a Bank Reconciliation
Obtain the monthly bank statement.
Determine checks paid.
Find differences between the monthly bank statement and monthly check register.
Calculate the adjusted balance.
If the balances do not agree, check the steps again and recalculate. 19