Whiteboard - Federal Reserve Bank of St. Louis

Teacher Instructions
1. Print the lesson, KaChing!, Lesson 3: Cash the Check and Track the Dough.
2. Display slides 2 and 3 with Procedure step 2 in the lesson.
3. Display slides 4 through 8 with Procedure step 5 as an alternative to using Handout 3.2. Tell
the students you are going to show them statements one at a time about check cashing and
bank accounts. They should give a thumbs-up if they think the statement is true and a thumbdown if they think it is false. Reveal the statements one at a time. Answers are provided in
Procedure step 5.
4. Display slide 9 with Procedure step 6.
5. Display slides 10 and 11 with Procedure step 7.
6. Display slide 12 with Procedure step 9.
7. Display slide 13 with Procedure step 10.
8. Display slide 14 with Procedure step 11.
9. Display slide 15 with Procedure step 12.
10. Display slide 16 with Procedure step 14.
11. Display slide 17 with Procedure step 17.
12. Display slide 18 with Procedure step 18. (Handout 3.5: Balancing Andrew Anakoa's Bank
Account is shown on slides 18 and 19.)
13. Display slide 19 with Procedure step 19.
14. Display slides 20 and 21 with Procedure step 20.
Checking account – An account held at a bank, credit
union, or other financial institution in which account
owners deposit funds.
Account owners have the privilege of writing checks
on their accounts and are able to use ATM cards
and debit cards to access funds.
Savings account – An account at a bank, credit union,
or other financial institution in which account owners
deposit funds.
Account owners are paid interest on the amount
deposited in their accounts.
Account owners have the ability to withdraw funds
but do not write checks on these accounts.
The number of withdrawals in a given period of
time may be limited.
Thumbs-Up or Thumbs-Down?
a People are able to make deposits to and
withdrawals from both savings accounts and
checking accounts.
b Check-cashing services charge minimal fees for
cashing checks.
Thumbs-Up or Thumbs-Down?
c People with a savings or checking account are
usually able to cash checks for free or a small fee
(less than a few dollars a month) at the bank
where they have an account.
d There are fees associated with checking accounts.
Thumbs-Up or Thumbs-Down?
e Savings accounts pay interest on the balance of
the account.
f It isn’t legal for companies to require employees
to use direct deposit.
g With a checking account, you can write checks to
pay for many types of goods and services.
Thumbs-Up or Thumbs-Down?
h There are no fees associated with savings
i You may use an ATM or debit card with both
savings and checking accounts.
Thumbs-Up or Thumbs-Down?
j Check-cashing services are open more hours
than banks and credit unions and have
convenient locations.
k Banks and credits unions are safe places to keep
your money.
What would you do if your employer didn’t
require direct deposit? Would you open a
checking or savings account, or would you
use a check-cashing service? Why?
Suppose your company requires direct deposit
and you open a checking account. How will you
know how much money is in the account,
particularly as you begin to withdraw, spend,
and make additional deposits?
If you want to keep track of the money in your
account, what information do you need?
The amount and date of each
• deposit
• withdrawal (including from an ATM)
• automatic payment
• check written
• purchase with a debit card
How could you keep track of the money
moving in and out of your account—that is,
your financial transactions?
Possibilities include the following:
• Computer spreadsheet
• Computer program
• Phone app
• Notepad
Bank account register – A table in which account
holders record their financial transactions to keep
track of their money.
Online banking services – Services that allow
account holders to use the Internet to transfer
money electronically and view all of the financial
transactions for their accounts, including all
deposits and withdrawals.
John Dough's
Bill Payment
John Dough's
Online Recent
John Dough's Bank Account Register
Handout 3.4: What’s the Balance?—Answer Key
Balancing Andrew Anakoa’s Bank Account
Balancing Andrew Anakoa’s Bank Account (cont.)
What are some advantages of having a
checking or savings account?
• Money is safe in a bank.
• Money deposited may earn interest depending
on the type of account.
• There are low or no fees for cashing checks.
• Banks provide a record of transactions.
• You likely have 24-hour access to your money
through ATMs.
What is a disadvantage of using checkcashing services?
Their fees are very high.
Why is it important to maintain account records
and keep track of bank account balances?
To avoid paying overdraft fees, to make certain the
records are accurate and show the correct balance,
and to know where your money is going

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