Lesson 8.1

Key Terms 

Bank: a financial institution licensed to receive deposits and provide financial services
Federal Deposit Insurance Corporation: independent federal agency that insures deposits in bank accounts up to $250,000​​​​​​​
National Credit Union Administration: independent federal agency that insures deposits in credit unions up to $250,000​​​​​​​
Unbanked: people who don‘t have bank accounts
Underbanked: people who have savings or checking accounts but still use alternative financial products and services

Lesson 8.2

Key Terms 

Retail Banks: for-profit financial institutions that accept deposits and offer a variety of deposit accounts and financial services

Credit Unions: nonprofit financial institutions that are owned and operated by their members; offer deposit accounts and lending services similar to a retail bank but at a lower cost​​​​​​​

Online Banks: also known as internet banking; all transactions done online; no physical location​​​​​​​

Overdraft Protection: an option offered by banks to cover overspending an account and then charge a fee for it​​​​​​​

Overdraft Fee: a penalty charged if the account holder spends more than their account balance, causing the available balance to go below zero 

Lesson 8.3

Key Term

Liquidity: how quickly you can access the money in an account or the value of an asset without a penalty or fee

Lesson 8.4