Today we will begin discussing banking to prepare for our banking/checking simulation. During the simulation you will be using "checks", credit cards, debit cards, etc. to pay for services and merchandise. We will be applying for a job, filling out the necessary paperwork to start working, look at our pay stubs, pay our bills, balance our checkbook, etc.
Let's begin by looking at banks and credit unions:
- A bank is a for-profit company owned by investors in its stock. These stockholders elect a paid board of directors to manage the bank for them. Anyone can walk up to a bank and open an account.
- A credit union is owned by their customers, who are also called members. These members elect a volunteer board of directors (who are also members) to manage the credit union for them. Credit unions have membership qualifications. By law, each credit union must serve a defined segment of the population. To join a credit union, you have to work for or have a family member who works for an employer in that segment.
Although both institutions have definite differences, both can meet your needs. Both provide a variety of basic financial services including savings and checking accounts, issuing credit and debit cards, and providing loans for cars, homes, and other purposes.
Check out the the following local banks and make a list of what services they offer:
Print your paper and turn in to the basket on top of the printer. (If your computer will not print, email your finished list to askgriff@gmail.com).
Next we will discuss the anatomy of a check:
