Banking

Evaluate different banking institutions and the

services that they offer Compare and contrast various financial services

products Explain how compound interest is a key benefit

of saving Explain the impact of technology on banking Identify the components of a bank statement Demonstrate the ability to reconcile a bank

statement

Objectives

Key Vocabulary

Account Summary ATM Automatic Payment Balance Bank Statement Certificate of Deposit Checkbook Checking Account

Check Register Credit Debt Direct Deposit Electronic Banking Individual

Retirement Account Money Market

Account Reconciliation

Savings Account Secured loan Unsecured loan Withdraw

Key Vocabulary

You are about to hear testimonies from two

individuals regarding their views of banks and banking services.

Based on what you know of banks and your experience with banks, you must decide which testimony most accurately represents your feelings regarding banks and their services.

Reactions should be in response to the statements as a whole and not on specific points within each testimony

To Bank or Not to Bank

“I think that everyone, as soon as they start earning

money, should have their own bank account. I feel so independent being able to conveniently access my own money. I have a special checking and savings account that is geared for teens, which helps me to monitor and manage my money. It doesn’t cost anything to set up, and the bank automatically takes $25 from my checking account each month to help me reach my savings goal. I also have my own debit card, which is accepted almost everywhere! Bank accounts are great and easy to use. I was always nervous about keeping my money hidden under my mattress anyway.”

To Bank or Not to Bank

“I have never wanted to use any of the services provided

by banks. I really don’t see the point in having someone else monitor your money. I love having access to my cash whenever I need it, and I feel good about keeping it hidden in my dresser drawer. Whenever I get my paycheck I just sign it over to my mom and she cashes it for me at her bank. It’s really no big deal. Some of my friends have their own checking and savings accounts, but I always feel good just knowing that I have a wad of cash in my pocket. Plus, I keep hearing stories in the news about banks failing and being bought by other banks… I don’t know, I just like being in control of my own money!”

To Bank or Not to Bank

Move to the “+” or “-” to the degree of how

strongly you want to bank “+” or not to bank “-”

To Bank or Not to Bank

Download: Reading- Choosing a Bank Create the following table for notes in the

reading

Choosing a Bank

Savings Services

Payment Services

Loan Services

Electronic Banking Services

Based upon what you have learned from the

reading, what two products and/or services would be most important to you when deciding upon a bank? Explain your answer.

Attach to bottom of table and submit to classpress drop box

Choosing a Bank

Form groups of 2 Download: Assignment- Banking Poster Pay particular attention to the assessment

criteria that are listed on the bottom half of the resource as these will be the exact criteria with which your posters will be assessed

Download- Example: Banking Poster

Banking Poster

In what ways does and doesn’t this example

meet the assessment criteria for the assignment?

How would you improve the layout and organization of the poster?

Banking Poster

Understand the range and terms of common

services and products that banks offer Begin the research for their posters Research, on their own, an institution that

provides banking services and then come to me for approval

Banking Poster

Download: Graphic Organizer- Investigating Banking

Services Groups must complete this graphic organizer before

beginning your posters You will be required to investigate the savings account,

payment, and loan services of their particular institution, You will also get the opportunity to choose two other

services that they would like to highlight on your posters. For instance, you could choose to research investment

and insurance products or mortgages and individual retirement accounts (IRAs) as two alternative services

Banking Poster

For example there may be 5-6 savings account

types, highlight one or two tops

Banking Poster

Your job is to create an informational poster about

the products and services of the specific bank that they researched

Along with following all of the required elements presented on the assignment sheet, make sure that the information is presented in an objective (and not persuasive) manner.

For example, do not write, “Bank of the West has the BEST free checking program for students” but rather, “Bank of the West offers a free checking program for students.”

Banking Poster

Your peers will be viewing the poster with the

intent of making an informed decision as to which bank can best meet their own personal needs

Keep in mind that the financial institution that your group researched may or may not be the one that is the most appropriate for them

Banking Poster

Download: Worksheet- Reflection and Peer

Review Walk around and fill out the worksheet based

on the posters

Banking Poster

Based on what you have learned from your

peers’ posters, what financial institution and its services would best meet your needs? Explain your answer using specific examples and facts from the posters

Which Bank is Right for You

Regardless of which type of institution you

choose, you will have access to a very important service offered by banks, the bank statement

Being able to read and understand the different components of a bank statement is important to effective money management

Bank Statements

Predict the type of information that would be

included on a bank statement Form groups with one note taker Banks offer a variety of services to help

individuals manage their money Keeping track of an individual’s spending and

earning transactions is just one of the many services that a bank statement provides

Bank Statements

One way to keep track of your spending and

earning is to review and balance your monthly bank statement

Download: Example- Bank Statement Identify the different parts of the bank

statement

Bank Statements

Although banks try their best to keep

extremely accurate records of every financial transaction, individuals, families, and businesses should not solely rely on the bank statement as their only record of spending and earning

Bank Statements

Download: Worksheet- Check Register and

Reconciliation Form You must check the hypothetical account

records against the bank’s account statement You must understand the steps that they must

take when reconciling their hypothetical account.

You should realize that the ending statement balance, plus outstanding deposits, minus outstanding checks will equal the new balance

Bank Statement vs. Check Register

Think back to the two testimonies that you

heard at the beginning of the section. In what ways have your views of banks and their services changed?

How will you apply the information that you have learned in this lesson to your own life?

Review

Respond to the following article,

http://www.washingtonpost.com/wp-dyn/content/article/2008/09/29/AR2008092903045.html.

Write a summary addressing whether you agree or disagree with the Capital Gains program.

Predict whether or not they think the program will increase a student’s motivation in school

Enrichment

In groups of 4 which I will assign, I want you to

create a bank. We have looked at the different products and

services that several banks provide and this is your turn to try Be sure to focus on specific products and

services Fees, interest rates, and deposit requirements. Bank’s revenue, hours, etc

Enrichment

The class will then vote on the bank they think

will perform the best based on revenue and services provided

Make sure you take notes, to compare at the end.

Be able to answer questions from the class and Mr. Retzbach

Enrichment

Social Studies: Have students design and

create an informational brochure that focuses on the First Bank of the United States. Along with basic facts about the bank (founder, year established, location, cost to build, etc.), students should research its original purpose and its overall effect on the economy. Students should also include the services and products that the bank offered to its customers. Before students begin they should study current brochures from a local bank in their community.

Cross-Curricular Integration