Financial
Literacy
Financial institution- A business that provides money related
services
Loan- Money borrowed that must be repaid, usually with
interest
Online banking- A service that allows customers to perform banking activities using the
internet
Safe deposit box- A bank safe where documents, jewelry, or valuables are
kept.
Savings account- An account that usually earns interest and is often used to hold money that is not needed right
away
Transaction- A business agreement or
exchange
Board of directors- A group of people chosen to manage or direct a business or
organization
CFO- The chief financial officer is responsible for a business’s
finances
Endorse- To write a signature on the back of a
check
Income- The money people earn for their
work
Paycheck- A check received for work
complete
Deposit ticket- A written record of money put into a checking
account
Net deposit- The amount of money placed into an account after all deductions, such as cash back, are
made
Direct deposit- An electronic transfer of money from one account; often used by employers to pay
employees
Interest- A fee received or paid for the use of
money
Accrue- To have money gain in increments, usually at a set
rate
Compound interest- Interest calculated and paid on a balance and on the interest paid
previously
Credit card- A card that allows the holder to buy goods and services by taking out a bank
loan
Debit card- A card that allows customers to electronically and immediately withdraw funds from their
account
Gift card- A card that is purchased for a certain amount and then used like
cash
Identity theft- The crime of stealing someone else’s personal or financial information for your own
use
Pin (personal identification number)- A number required when a person uses a debit card; it ensures others can’t access the bank
account
Prepaid Card- A card that allows you to spend only the amount you have predeposited into an
account