1. Banking Services

2. Why do you need a bank account?  Money in a bank account is safer than holding cash and may be less tempting to spend  It can be easier to keep track of how your money is spent  Provides a safe way to pay bills (checks, online)  Your money is safe (FDIC insured)  Enables you to earn interest on your savings  May be a less expensive way to manage your money i.e. money orders, paying to have checks cashed, payroll direct deposit

3. Services provided by Banks Savings Accounts (CDs, Bonds) Car/Personal Loans Credit Cards Debit/ATM Access Online/Telephone Banking Automatic Bill Pay Safe Deposit Boxes 24 hour access to funds Currency Exchange Financial Planning

4. Questions to ask when opening an account:  Is a minimum deposit required?  Does the account pay interest? How much?  What are the fees with this account?  Are there charges for frequent withdrawals?  Are there any limits on the account (i.e. – number of checks, number of times you can go in the bank for help)  Is online banking available?  Are there special discounts for students? Be sure to SHOP AROUND!!!

5. Banks vs. Credit Unions What’s the Difference??? Banks - Stock/share holder owned - Pays share holders profit - Customers are valued by $$$$ - Profit Driven - Higher Fees

6. What’s the Difference? Cont. Credit Unions - Member Owned - Non-Profit - No Preferential Treatment - Member Driven - Lower Fees

7. THEN WHY WOULD ANYONE CHOOSE TO “BANK” WITH A BANK???

8. BANKS - More, Larger Branches/ATMS - Extended Hours CREDIT UNIONS - Fewer, Smaller Branches - Limited Hours

9. So…. If you value the CONVIENIENCE of a bank, you must be willing to pay the higher fees associated with using their accounts. If you value the SAVINGS of a credit union, you must be willing to deal with the inconvenience of their limited locations/hours.

10. Which will you use?

11. DEBIT CARDS It looks like a credit card… Can be used like a credit card… But is NOT A CREDIT CARD!!! Credit = Pay Later Debit = Pay NOW!

12. Debit Card Advantages vs. Disadvantages Advantages: - Convenient - Safer than cash - No interest - You can spend only what you have Disadvantages - May be easily overdrawn - Some banks & merchants charge fees - Loose security - Likely to spend more than if with cash

13. Checking Account Myth Busters! “The ATM says that I have $100 in my account…so I must have $100 in my account.” INCORRECT! The amount in our account can vary A LOT from the amount that the ATM (or online banking) says that we have. Not keeping track of your transactions can easily cause you to overdraw your account!

14. Checking Account Myth Busters! “Free Checking means that the bank will never charge me anything for having a checking account with them.” INCORRECT! Free checking simply means that they will not charge you a fee to set up the checking account. They may still charge you for maintaining your account, going into the bank, over drafting, etc. ALWAYS READ THE FINE PRINT!

15. What was the most useful thing you learned today???