Bank Account Statements Flashcard

Front

What is a bank account statement?

Back

A bank account statement is a summary of all transactions in a bank account over a specific period, including deposits, withdrawals, fees, and the ending balance.

Front

What does direct deposit mean?

Back

Direct deposit is an electronic transfer of money from an employer directly into an employee's bank account, eliminating the need for paper checks.

Front

What is an ATM fee?

Back

An ATM fee is a charge imposed by a bank when a customer uses an ATM that is not owned by their bank, or for certain transactions at their own ATMs.

Front

What is an overdraft?

Back

An overdraft occurs when a bank account has insufficient funds to cover a transaction, resulting in a negative balance.

Front

What is the purpose of a maintenance fee?

Back

A maintenance fee is a charge that banks impose to maintain an account, often monthly, regardless of account activity.

Front

What is the formula for calculating the ending balance of a bank account?

Back

Ending Balance = Previous Balance + Deposits - Withdrawals.

Front

What is a transaction?

Back

A transaction is any activity that affects the balance of a bank account, including deposits, withdrawals, and fees.

Front

What is a check?

Back

A check is a written order directing a bank to pay a specific amount of money from the writer's account to the person or entity named on the check.

Front

What is an Interac transaction?

Back

An Interac transaction refers to a payment made using the Interac network, commonly used in Canada for debit card transactions.

Front

What is a fee for an out-of-network ATM?

Back

A fee charged when a customer uses an ATM that is not affiliated with their bank, often higher than fees for in-network ATMs.