Finance 2

bank reconciliation

The process of matching your checkbook register with the bank statement

bank statement

A report of deposits, withdrawals, and bank balances sent to a depositor by a bank

commercial bank

A financial institution that accepts demand deposits and makes loans and provides other services for the public

check register

The book in which you keep records of checks, deposits, debit card transactions, and ATM withdrawals.

credit union

A nonprofit financial institution that is owned by its members and organized for their benefit.

debit card

A bank card that automatically deducts the amount of a purchase from the checking account of the cardholder

endorsement

A signature or stamp on the back of a check transferring ownership

Federal deposit

(FDI) A United States government corporation created by the Glass-Steagall Act of 1933. It provides deposit insurance, which guarantees the safety of deposits in member banks, currently up to $250,000 per depositor per bank

Federal Reserve System

The country's central banking system, which is responsible for the nation's monetary policy by regulating the supply of money and interest rates

outstanding checks

checks that have not been deducted from the bank statement balance

safe-deposit box

a container for storage of valuables offered by banks

service charge

a fee a bank charges for handling a checking account

stop payment order

a written notice that tells the bank not to pay a certain check