security first bank abankingcustomersimulation. types of money currency coin
TRANSCRIPT
SecuritySecurityFirstFirstBankBank
AA
BankingBanking
CustomerCustomer
SimulationSimulation
Types of MoneyTypes of Money
Currency
CoinCoin
What is a bank?What is a bank?
Webster defines it as “an Webster defines it as “an establishment for the establishment for the custody, loan, exchange, or custody, loan, exchange, or issue of money, for the issue of money, for the extension of credit, and for extension of credit, and for facilitating the facilitating the transmission of funds.”transmission of funds.”
A bank can be a traditional A bank can be a traditional community bank, a savings community bank, a savings and loan association, or a and loan association, or a credit union.credit union.
Money SubstitutesMoney Substitutes
Bank CheckBank Check
A bank check is a bank A bank check is a bank depositor’s written order depositor’s written order requiring the bank to pay a requiring the bank to pay a certain amount to a specified certain amount to a specified party on demand.party on demand.
Money SubstitutesMoney Substitutes
Bank DraftBank Draft
A bank draft is a check drawn on A bank draft is a check drawn on one bank by another bank.one bank by another bank.
The principal uses of a bank draft The principal uses of a bank draft are to transfer funds from one bank are to transfer funds from one bank to another and to disburse money to another and to disburse money as part of a loan.as part of a loan.
Money SubstitutesMoney Substitutes
Traveler’s CheckTraveler’s Check
A traveler’s check is a cash A traveler’s check is a cash substitute that is insured substitute that is insured against loss or theft.against loss or theft.
Most common examples are Most common examples are American Express and Visa American Express and Visa Travel MoneyTravel Money
Money SubstitutesMoney Substitutes
Money OrderMoney Order
A money order is a check drawn on A money order is a check drawn on an agency’s or bank’s own account an agency’s or bank’s own account by an authorized officer of that by an authorized officer of that agency or bank.agency or bank.
Western Union and USPS and Western Union and USPS and examples of companies that examples of companies that provide these services.provide these services.
Money SubstitutesMoney Substitutes
Cashier’s CheckCashier’s Check
Sometimes called an officer’s Sometimes called an officer’s check – is drawn on a bank by one check – is drawn on a bank by one of its own officers.of its own officers.
Example would be buying a car Example would be buying a car thru a newspaper ad. They don’t thru a newspaper ad. They don’t know you so they may ask for a know you so they may ask for a cashier's check.cashier's check.
Money SubstitutesMoney Substitutes
Bank CardBank Card
Many banks allow bank Many banks allow bank customers to deposit, transfer, customers to deposit, transfer, or withdraw money or withdraw money electronically by using an ATM electronically by using an ATM at a convenient location at a convenient location outside the bank.outside the bank.
Money SubstitutesMoney Substitutes
Credit CardCredit Card
Some banks issue credit cards Some banks issue credit cards to qualifying customers, which to qualifying customers, which enable those customers to enable those customers to charge purchases up to a charge purchases up to a maximum amount set by the maximum amount set by the bank.bank.
Money SubstitutesMoney Substitutes
Bank Debit CardBank Debit Card
You may pay for purchases from You may pay for purchases from cooperating businesses with this cooperating businesses with this card, and the transactions are card, and the transactions are recorded directly to your bank recorded directly to your bank account if enough money is account if enough money is available in the account.available in the account.
Unlike the credit card, the use of a Unlike the credit card, the use of a debit card is not a loan.debit card is not a loan.
SecuritySecurity
Don’t give out your pin number Don’t give out your pin number to anyone.to anyone.
Other servicesOther services
LoansLoans
Electronic BankingElectronic Banking
Safe-deposit boxesSafe-deposit boxes
Financial CounselingFinancial Counseling
They will give you a tour of They will give you a tour of their facility to show you all the their facility to show you all the services that they can provide services that they can provide you.you.
Your JobYour Job
You are a single person who has You are a single person who has earned a high school diploma.earned a high school diploma.After studying computer science at After studying computer science at JSRCC, you are qualified to work JSRCC, you are qualified to work as a computer technician.as a computer technician.You are hired by Metro Computer You are hired by Metro Computer Consultants, located at 11708 Consultants, located at 11708 Parkway Avenue, Dallas, Texas Parkway Avenue, Dallas, Texas 75205-7205.75205-7205.Your beginning salary is $2000 a Your beginning salary is $2000 a month.month.You are paid twice monthly, one You are paid twice monthly, one half on the 1half on the 1stst of the month and the of the month and the other half on the 15other half on the 15thth..
ExamplesExamples
Changing Percentages to Changing Percentages to DecimalsDecimals
62.1% = _____62.1% = _____
5.24% = _____5.24% = _____
125% = _____125% = _____
.621.621
.0524.0524
1.251.25
Activity 1Activity 1Practice changing these Practice changing these percentages to decimals:percentages to decimals:
85% = 85% = .85.85
9% = 9% = .09.09
.3% = .3% = .003.003
14.8% = 14.8% = .148.148
103%103% = = 1.031.03
25.75% = 25.75% = .2575.2575
Multiplying and RoundingMultiplying and Rounding
$ 61.40$ 61.40
x .28x .28
4912049120
1228012280
$17.1920$17.1920
$17.1920$17.1920
$17.19$17.19
Activity 2Activity 2
Practice rounding the Practice rounding the following numbers to following numbers to two decimal places:two decimal places:
.086.086 = = .09.09
.493.493 = = .49.49
.5646 .5646 = = .56.56
.376.376 = = .38.38
Activity 2 cont.Activity 2 cont.
Multiply the following Multiply the following amounts by the amounts by the
percentages shown. percentages shown. Locate the decimal points Locate the decimal points and round the answers to and round the answers to
two decimal places, if two decimal places, if necessary:necessary:
$500.00 times 5% is $500.00 times 5% is $25.00$25.00$650.00 times 10% is $650.00 times 10% is $65.00$65.00$435.50 times 12% is $435.50 times 12% is $52.26$52.26
Activity 3Activity 3
Now figure what the deductions Now figure what the deductions will be from your monthly salary.will be from your monthly salary.Your salary for one month: Your salary for one month: $2000.00$2000.00Deductions include:Deductions include:Income tax: Income tax: $300.00$300.00FICA tax:FICA tax: $160.00$160.00 Medical and dental plan Medical and dental plan $104.00$104.00for one monthfor one monthTotal DeductionsTotal Deductions $564.00$564.00
Your net pay will be:Your net pay will be: $1436.00$1436.00
You will receive You will receive $718.00$718.00 every pay every pay check.check.
You charge $1000 on your credit card You charge $1000 on your credit card with 20% interest rate and decide to with 20% interest rate and decide to pay $200 and month. How much will pay $200 and month. How much will
be on your credit card after 2 be on your credit card after 2 months?months?
11stst 1000 x .20 =1000 x .20 = 200200
Then Then 200 / 12 = 200 / 12 = 16.6716.67
At the end of month 1 you At the end of month 1 you would have:would have:1000 + 16.67 – 200 = 816.671000 + 16.67 – 200 = 816.67
Then month 2 you would have:Then month 2 you would have:816.67 + 13.61 – 200 = 630.28816.67 + 13.61 – 200 = 630.28
Activity 4Activity 4Figure the following simple-interest problemsFigure the following simple-interest problemsWhat will the monthly payments be if you borrow What will the monthly payments be if you borrow $800 for six months at 12% interest?$800 for six months at 12% interest?
Step 1Step 1PrincipalPrincipal $800.00 $800.00 x Interest ratex Interest rate .12.12= Interest charge for 1 year= Interest charge for 1 year $ 96.00$ 96.00
Step 2Step 2Interest charge for 1 yearInterest charge for 1 year $96.00 $96.00 ÷ 2 = ÷ 2 = Interest charge for 6 monthsInterest charge for 6 months $48.00$48.00
Step 3Step 3PrincipalPrincipal $800.00$800.00+ + Interest charge for 6 monthsInterest charge for 6 months $48.00$48.00= Total bank loan= Total bank loan $848.00$848.00
Step 4Step 4Total bank loanTotal bank loan $848.00$848.00÷ 6 = ÷ 6 = Total payment for 1 monthTotal payment for 1 month $141.33$141.33
Activity 5Activity 5Now you have a good idea of how much money you can spend for each expense category during one month. At the end of this simulation, you can figure out what you actually spent, how well you followed your original plan, and whether this plan works for you.
Expense % Income Spent % Times $2,000
Housing: apartment, condominium, or house; furnishings; upkeep
19%19% $380.00$380.00
Loan payments: all installment loans (except car), department store charges, and credit card bills
8%8% $160.00$160.00
Food: food purchased for home consumption and purchased meals and beverages
12%12% $240.00$240.00
Entertainment: books, periodicals, sport supplies, television, and admission to spectator sports
5%5% $100.00$100.00
Out-of-pocket expenses: club dues, postage, bank service charges, and all other miscellaneous expenses
5%5% $100.00$100.00
Transportation: car expenses, repairs, gas, inspection, and license and other local public transportation
10%10% $200.00$200.00
Clothing and personal care: clothing and accessories (plus cleaning and upkeep), physicians, dentist, eye care, other
5%5% $100.00$100.00
Education: tuition, books, school expenses, and internet expenses
2%2% $40.00$40.00
Utilities: electricity, gas, water, and telephones (both home and cell)
4%4% $80.00$80.00
Gifts and contributions: personal and business gifts and church and other charitable contributions
1%1% $20.00$20.00
Savings: all savings accounts and investments 2%2% $40.00$40.00
Insurance: hospitalization, dental, life insurance, and car insurance
4%4% $80.00$80.00
Taxes: federal withholding and social security taxes 23% $ 460.00
Total 100% $2,000.00
SecuritySecurityFirstFirstBankBankDallas Texas
New Account
Date: Opened: ___________________ Account No. _______________
Type AccountType: _____________ No. Signatures Req. __________
Title of Account: ____________________ Soc. Sec.: ______________
Home Address: _____________________________________________
Home Phone: ________________ Cell Phone _________________
Mailing Address: ___________________________________________
Business or Occupation: ____________________________________
Employer: ____________________________ Phone - ______________
Address: __________________________________________________
D.L. No. ____________
ATM OR DEBIT CARD: Y N INTERNET BANKING: Y N
Previous Bank: ________________________ Acct. No. ____________
Bank Address: ____________________________________ _________
Reference: __________________________Phone:________________
Reference: __________________________Phone:________________
Type of Personalized Checks ________________________________
No. of Checks ___________ Style ____________ Color ___________
Cover ___________ Starting No. ____________
Your Name
October 7, 2007 0075-0197-66
Individual 1
8086 Fenton Ave., Apt. 12
Dallas, Texas 75221-4255
(214) 555-3871
Same as above
Computer Technician
Metro Computer Consultants
11708 Parkway Avenue Dallas, TX 75205-7205
(214) 555-7384
H3857293Suntrust Bank 321-39-28
Richmond, Virginia
Reference Name
Reference Name
(804) 555-1234
(804) 555-5678
Register style
200 A Blue
Blue 101
(214) 786-4443
___________________________________________________________
543-34-4857
O O
Amount of Deposit ________ Deposit Description _______________$198.60Balance of amount,Suntrust Bank
Bank CheckBank CheckPayee: Party to whom Payee: Party to whom you are paying money you are paying money
Coach Thomas
Drawee: Party who paysDrawee: Party who paysThe money to the payee The money to the payee
Drawer: Party who requestDrawer: Party who requestOrders that payment be madeOrders that payment be made
5,000,000
April 19, 2006
Godwin High School2101 Pump RoadRichmond, VA 23233
SecuritySecurityFirstFirstBankBank
Five Million and 00/100 ----------------------------
Mr. MyersDallasTexas
Selecting a Checking Selecting a Checking AccountAccount
Different Types of Checking Different Types of Checking AccountsAccounts– IndividualIndividual
This checking account is used by This checking account is used by only one person.only one person.
– JointJointThis checking account is to be used This checking account is to be used by more than one person such as a by more than one person such as a husband and wifehusband and wife
– BusinessBusinessThis checking account is used by a This checking account is used by a business and are signed by one or business and are signed by one or more employees.more employees.
– PartnershipPartnershipIs another type of business account Is another type of business account signed by two or more partners.signed by two or more partners.
SignaturesSignatures
Legal SignatureLegal Signature
Shawn L.. HerkinsShawn L.. HerkinsS.L.. Herkins Jr.S.L.. Herkins Jr.Shawn HerkinsShawn Herkins
Incorrectly Written:Incorrectly Written:
Shawn L. HerkinsShawn L. Herkins
Mr. Shawn L. Mr. Shawn L. HerkinsHerkins
SecuritySecurityFirstFirstBankBank
Dallas Texas
Signature Authorization CardDate: _______________
Account No: _______________0075-0197-66
April 19, 2023
Name:______________________________________________
Address:____________________________________________
__________________Phone:____________________________
Social Security No:
Your Name will go here
8086 Fenton Ave., Apt. 12 Dallas, Texas
75221-4255 (214) 555-3871
5 4 3 43 584 7
Type of Account: Individual
Joint
Business
Partnership
You are hereby authorized to recognize any* of the signatures subscribed hereIn the payment of funds or the transaction of any business for this account. ItIs agreed that all transactions between the bank and the depositor shall be governed by the contract printed on the reverse side of this card.Authorized Signatures:
Your Signature goes here
Deposit SlipDeposit Slip
Deposit Slip
Coach Thomas8086 Fenton Ave., Apt. 12
Dallas, TX 75221-4255
Date _________________________
_______________________ACKNOWLEDGE RECEIPT OF CASH RETURNED BY SIGNING ABOVE
SecuritySecurityFirstFirstBankBankDallasTexas
:111001273 : 00750197 66
Cash
CURRENCY
COIN
LIST CHECKS SINGLY
TOTAL FROM OTHER SIDE
TOTAL
LESS CASH RECEIVED
NET DEPOSIT
Wednesday, April 19, 2006
1 25
10
125
0
00
35
171
00
00
00
25
00
25
50
121
Bob Smith
Beth Spivey
Coach H. W. Thomas
I have:I have:1.1. a $5.00 bill and 5 $1 billsa $5.00 bill and 5 $1 bills2.2. 5 quarters5 quarters3.3. A $125 check from Bob SmithA $125 check from Bob Smith4.4. A $35 check from Beth SpiveyA $35 check from Beth Spivey5.5. I also would like to get $50 cashI also would like to get $50 cash
Check StubCheck Stub
BALANCE BROUGHT FORWARD
DEPOSIT
DATE
No. 101
DATE ________________________
TO __________________________
_____________________________
FOR _________________________
_____________________________
AMOUNT THIS CHECK
BALANCE
OTHER DEDUCTIONS
BALANCE
Total
$100 00$100 00
$530 50$530 50
$25 00$25 00
$505 50$505 50
$40 00$40 00
$465 00$465 00
$430 50$430 50March 1, 2008March 1, 2008
March 7, 2008March 7, 2008
Texas CentralTexas Central
Telephone CompanyTelephone Company
Feb. telephone billFeb. telephone bill
Installation serviceInstallation service
ATMATM3/73/7
Regular CheckbookRegular Checkbook
Check RegisterCheck Register BALANCE FORWARD
ITEMNO.
DATE
PAYMENT ISSUED TOOR DESCRIPTION OF
DEPOSITAMOUNT
OF PAYMENT AMOUNT
OF DEPOSIT
To
Paymentor
Deposit
ForBalance
To
Paymentor
Deposit
ForBalance
To
Paymentor
Deposit
ForBalance
To
Paymentor
Deposit
ForBalance
To
Paymentor
Deposit
ForBalance
To
Paymentor
Deposit
ForBalance
$557 93$557 93
$286 75$286 75$844 68$844 68
$525 00$525 00
$319 68$319 68
5/25/2
5/35/3106106
DepositDeposit
Rush CreekRush CreekApartmentsApartments
RentRent
286 75286 75
525 00525 00
107107 5/45/4CornerCornerMarketMarket
GroceriesGroceries 82 8882 88