| A | B |
|---|
| Automatic deposit | money electronically added to your checking account |
| debit card | a bank card that allows the account holder to make purchases and to withdraw cash from an account at an ATM |
| Rule 72 | a math formula used to tell you how long it will take money earning a certain interest rate to double |
| checking account | a demand deposit allows you quick and easy access to your money without penalties |
| U.S. savings bond | a discount bond issued through the United States government |
| money order | a convenient way to pay bills if you do not have a checking account |
| compound interest | interest earned on both principal and previous interest earnings |
| cashier's check | a check issued by a bank against its own funds |
| stop payment | a bank service directing the bank not to honor a check |
| prime rate | interest rate that banks charge to corporations, for the most creditworthy customers |
| checkbook register | a record for keeping track of checks written and deposits made |
| postdated check | a check written with a future date |
| federal funds rate | the rate at which banks can borrow from the excess reserves of other banks |
| endorsement | a signature or instructions written on the back of a check authorizing a bank to cash or deposit the check |
| money market account | a savings option which pays interest at the current market rate |
| check | a written order to a bank to pay the stated amount to the person or business named from a certain account |
| discount rate | the rate banks are charged to borrow money from the Fed |
| bounced check | a check returned by the bank because there was not enough money in the account |
| monetary policy | actions of the Fed to influence money and credit conditions in the economy |
| certificate of deposit | money deposited for a fixed amount of time at a fixed interest rate |
| principal | an amount of money set aside (deposited or borrowed) on which interest is paid |
| savings account | a demand deposit that may have restrictions and/or penalties for taking out money |
| deposit | money added to a checking or savings account |
| automatic withdrawal | deducts money from an account and electronically transfers it to another party |
| smart card | carries an electronic balance on the card |
