Activity 1

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• Activity 1.Why Do You Need A Bank?
• Activity 2The Many Services of a Bank
• Activity 3.The ABCs of a Checking Account
• Activity 4.Opening a Checking Account
• Activity 5.How to Write a Check
• Activity 6..Maintaining a Checking Account
• Activity 7The ABCs of a Savings Account

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Basic Banking Services - Activity 1

• ACTIVITY 1
• Why Do You
• Need a Bank?
• Overview
• Purposes of banks
• The differences between banks and
• credit unions
• Safety of financial institutions
• Banks as money management tools
• The Earned Income Tax Credit

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Slide 1 Safety of Financial Institutions
Lesson Reference Basic Banking Services,
Activity 1 Overhead 3
SAFETY OF FINANCIAL INSTITUTIONS COMMERCIAL
BANKS CREDIT UNIONS
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Slide 2 EITC Lesson Reference Basic Banking
Services, Activity 1 Handout 2
THE EARNED INCOME TAX CREDIT The Earned Income
Tax Credit (EITC) is a federal income tax credit
for low-income workers. The credit reduces the
amount of tax an individual owes, and may be
returned to the taxpayer in the form of a refund.
Some states offer additional forms of
EITC. Eligible workers must have an annual
income and investment income that falls below a
certain level. In tax year 2005, for example, if
you are married, have two or more children, and
are filing your taxes jointly, your combined
annual income must not exceed 37,263. You must
have a Social Security Number to receive the
EITC. In tax year 2005, a family with two or
more children could receive up to a 4,400 refund
through the EITC.
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Basic Banking Services - Activity 2

• ACTIVITY 2
• The Many Servicesof a Bank
• Overview
• Financial services provided by a bank
• Bank employees
• Services that might be of personal benefit
• The impact of state and federal regulations upon
  the security of a bank

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• REMITTANCE OPTIONS
• TO SEND AND RECEIVE MONEY
• 1. Money Transfer Organizations
• 2. Bank Transfers
• 3. Hand Delivery
• 4. Mail
• 5. Hawala
• 6. Post Offices
• 7. Stored Value Cards

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Slide 1 Remittance Options Lesson Reference
Basic Banking Services, Activity 2 - Overhead 1
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• BANK OCCUPATIONS
• Tellers
• Platform Bankers
• Mortgage Lenders
• Operations Manager
• Branch Manager

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Slide 2 Bank Occupations Lesson Reference
Basic Banking Services, Activity 2 Overhead 2
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Slide 3 - Electronic Bank Services Lesson
Reference Basic Banking Services, Activity 2
Overhead 3

• ELECTRONIC BANK SERVICES
• Online banking is the fastest growing Internet
• activity in the U.S.
• Types of Services
• Bank Cards
• Automated Services
• Protect Your Passwords!

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Slide 4 - Bank Card Types Lesson Reference
Basic Banking Services, Activity 2 Overhead 4
BANK CARD TYPES

• TYPE
• Check Cards or
• ATM/Debit Cards
• Stored Value Cards

• DESCRIPTION
• Bank cards that allow for the payment of goods
  and services to be subtracted directly from a
  bank deposit account.
• Can be used with merchants that take major credit
  cardsknown as point of sale (POS) transactions.
• Bank cards with preset, limited value.
• Used to pay for goods and services.
• Alternative to cash.

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• ELECTRONIC BANK SERVICES
• Direct Deposit
• Transfers between Accounts
• Transfers to a Third Party
• Online Banking
• Bank by Phone
• ATM

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Slide 5 Electronic Bank Services Lesson
Reference Basic Banking Services, Activity 2
Handout 3
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Slide 6 - Regulation of Electronic Banking
Lesson Reference Basic Banking Services,
Activity 2 Overhead 5

• REGULATION OF ELECTRONIC
• BANKING SERVICES
• Electronic Fund Transfer Act
• Protects consumers using any type of electronic
• banking from loss and protects their privacy.
• Banks must
• Offer consumers a record or receipt for all
  computer
• transactions.
• Investigate errors and report to consumer within
  ten days of error notification.
• Customers are responsible to report any errors.

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Basic Banking Services - Activity 3

• ACTIVITY 3
• The ABCs of a Checking Account
• Overview
• Purposes of a checking account
• Shopping for and comparing checking accounts

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• CHECKING ACCOUNT TERMS
• Bank Statement
• Cancelled Check
• Check
• Check Register/Ledger
• Endorsement
• Fee
• Interest
• Minimum Balance

• Outstanding Transactions
• Overdraft
• Overdraft Protection
• Payee
• Reconciling a Bank Statement
• Transaction Limits

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Slide 1 - Checking Account Terms Lesson
Reference Basic Banking Services, Activity 3
Handout 1
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Slide 2 - Shopping Around Lesson Reference
Basic Banking Services, Activity 3 - Handout 2
SERVICES Location of bank Location of
ATMs Banking hours Minimum balance
required Minimum transactions or
limits Interest-bearing accounts? Other COSTS Non
-primary bank ATM transactions In-branch
transaction fees Per-check fees Other checking
fees Overdraft protection Printing of checks
SHOPPING AROUND (THINGS TO ASK ABOUT
WHEN OPENING A CHECKING ACCOUNT)
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Basic Banking Services - Activity 4
ACTIVITY 4 Opening a Checking Account Overview
Checking Account Application Process The
Application Acceptable Forms of ID The
Signature Authorization Card The PATRIOT Act
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OPENING A CHECKING ACCOUNT
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Slide 1 Opening a Checking Account Lesson
Reference Basic Banking Services, Activity 4
Handout 1
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Slide 2 - Commonly Accepted Forms of ID Lesson
Reference Basic Banking Services, Activity 4
Handout 2
COMMONLY ACCEPTED FORMS OF ID
Primary ID

• Photo Drivers License issued within the U.S. or
  Canada
• State Non-Driver Photo ID
• Photo Learners Permit
• Government Photo ID
• U.S. Passport
• Non-U.S. Passport
• Resident Registration Card
• Mexican Consular ID (Matricula Consular)

• Naturalization Certificate
• Employee Photo ID (from a recognizable employer)
• Photo Trade License (barber, plumber,
  electrician, etc.)
• Student Photo ID (college/trade school)
• Medicare Card (must be 65 or older)

Financial institutions' ID requirements may
differ check with the institution first before
applying for an account.
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Slide 3 - Commonly Accepted Forms of ID Lesson
Reference Basic Banking Services, Activity 4
Handout 2
COMMONLY ACCEPTED FORMS OF ID
Secondary ID

• Pay Stub
• Car Registration
• Mortgage Statement
• Letter of Introduction from Bank, Embassy, or
  well-known Employer
• Welfare Card
• Supplemental Health Insurance Card

• Foreign Drivers License
• State/Local Gun Permit
• Utility Bill (Name and address of individual
  account should be listed)
• Current Bank Statement
• National Credit Card
• Bank-issued Debit or Check Card

Financial institutions' ID requirements may
differ check with the institution first before
applying for an account.
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THE PATRIOT ACT Congress passed the PATRIOT Act
in response to the terrorist attacks of September
11, 2001. Financial institutions are now required
to collect certain information when a new account
is opened.
1. The customer must provide identification that
includes name, date of birth, address, and
identification number. 2. The institution must
maintain a copy of the information used to verify
the persons identity. 3. The institution must
determine whether the applicant appears on the
lists of known or suspected terrorists or
terrorist organizations.
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Slide 4 The PATRIOT Act Lesson Reference
Basic Banking Services, Activity 4 Overhead 1
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SIGNATURE AUTHORIZATION CARD
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Slide 5 Signature Authorization Card Lesson
Reference Basic Banking Services, Activity 4
Handout 3
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Basic Banking Services - Activity 5
ACTIVITY 5 How to Write a Check
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Slide 1 - Writing a Check Lesson Reference
Basic Banking Services, Activity 5 Handout 1
WRITING A CHECK
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Basic Banking Services - Activity 6

• ACTIVITY 6
• Maintaining a
• Checking Account
• Overview
• Check 21
• Keeping a check register
• Making a deposit into a checking account
• Reconciling a bank statement
• Maintaining a checking account
• Avoiding Overdrafts

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CHECK 21 Check 21 is a federal law that helps
banks handle more checks electronically and that
makes check processing faster and more
efficient. Under this law, a check deposited in a
bank is typically delivered overnight to the
paying bank and deducted from the checkwriters
account on the next business day. Money may be
deducted from your checking account almost
immediately.
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Slide 1 Check 21 Lesson Reference Basic
Banking Services, Activity 6 Handout 1
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Slide 2 - Keeping a Check Register Lesson
Reference Basic Banking Services, Activity 6
Handout 2
KEEPING A CHECK REGISTER
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Slide 3 - Making a Deposit - Endorsing a Check
Lesson Reference Basic Banking Services,
Activity 6 Handout 2
MAKING A DEPOSIT - ENDORSING A CHECK
The Back Side of a Check
Restrictive Endorsement (most secure)
Blank Endorsement(least secure)
Endorsement to a third party
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Slide 4 - Making a Deposit - Completing a Deposit
Slip Lesson Reference Basic Banking Services,
Activity 6 Handout 2
MAKING A DEPOSIT - COMPLETING A DEPOSIT SLIP
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Slide 5 - Reconciling a Bank Statement Lesson
Reference Basic Banking Services, Activity 6
Handout 2
RECONCILING A BANK STATEMENT
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• OVERDRAFTS AND BOUNCED CHECKS
• Overdrafts and bounced checks occur when you
  complete a financial transaction (e.g., write a
  check) for more than what is available in the
  account. Your financial institution may pay the
  amount and charge you a fee, known as an
  overdraft fee or a nonsufficient funds fee.
• Tip Avoid overdraft or non-sufficient funds fees
  by making a habit of monitoring the balance in
  your checking account.

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Slide 6 Overdrafts and Bounced Checks Lesson
Reference Basic Banking Services, Activity 6
Overhead 1
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Basic Banking Services - Activity 7

• ACTIVITY 7
• The ABCs of aSavings Account
• Overview
• Purpose of a savings account
• Shopping for a savings account
• Applying for a savings account
• Monthly bank statement checkup

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Slide 1 - Reasons to Save Lesson Reference
Basic Banking Services, Activity 7 Overhead 1

• REASONS TO SAVE
• Emergencies
• Future Purchases
• Future Investments

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Slide 2 - Shopping for a Savings Account Lesson
Reference Basic Banking Services, Activity 7
Overhead 2

• SHOPPING FOR A
• SAVINGS ACCOUNT
• Factors to consider
• Safety
• Risk
• Liquidity
• Minimum Account Balance Requirements
• Fees and Service Charges
• Interest Rate
• Returns (Earnings)
• Automatic Transfer
• Direct Deposit

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OPENING A SAVINGS ACCOUNT
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Slide 3 Opening a Savings Account Lesson
Reference Basic Banking Services, Activity 7
Overhead 3
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BANK STATEMENT
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Slide 4 Bank Statement Lesson Reference
Basic Banking Services, Activity 7 Overhead 4