Banking Vocabulary

ATM stands for ______ and its function is to provide access to financial transactions.

• Automated Teller Machine

• Automatic Transaction Machine

• Automated Transfer Mechanism

• Automatic Teller Mechanism

The term for the amount of money you have in your bank account is:

• Balance

• Credit

• Debt

• Loan

A Bank Statement is:

• a document that summarizes all transactions in an account over a period of time.

• a type of loan provided by banks.

• a certificate of deposit.

• a financial plan for future expenses.

A Canceled Check is:

• a check that has been paid and cleared by the bank

• a check that has been voided and cannot be used

• a check that is post-dated and not yet cleared

• a check that is lost or stolen

A check is a written, dated, and signed instrument that contains an unconditional order from the drawer that directs a bank to pay a definite sum of money to a payee.

• A type of credit card

• A written order to a bank

• A form of digital payment

• A type of loan agreement

A Check Cashing Store is a place where:

• you can deposit checks into a bank account

• you can cash checks without a bank account

• you can write checks to pay bills

• you can open a new bank account

Compound Interest is:

• A type of interest calculated on the initial principal, which also includes all of the accumulated interest from previous periods on a deposit or loan.

• A type of interest calculated only on the initial principal, not including any of the accumulated interest from previous periods.

• A fixed interest rate applied to the principal amount over a set period of time.

• An interest rate that changes based on the market conditions.

The term for a sum of money deposited INTO an account is:

• Deposit

• Withdrawal

• Transfer

• Balance

A Credit Card is a:

• Debit card

• Prepaid card

• Line of credit

• Gift card

What is the term for a sum of money deducted FROM your account?

• Credit

• Debit

• Deposit

• Withdrawal