BU233 Chapter Notes - Chapter 4: Money Market Fund, Overdraft, Certified Check
Document Summary
Chapter 4 the banking services of financial institutions. Trust: legal agreement that provides management/control of assets by one party for the benefit of another resps, rrsps. Direct deposit earnings are now being deposited directly to chequing or savings account. Automatic payments- bills paid through direct withdrawal from bank account. Automated teller machines (atms) convenience can be expensive from service charges. Compare atm fees at different banks before opening an account. Use own bank atm to avoid surcharges. Withdraw larger cash amounts as needed to avoid small transactions fees. Get cash back at the grocery store while paying with your debit card. Rising interest rates use long-term loans to take advantage of current low interest rates, select short term savings instruments to take advantage of higher rates when they mature. Falling interest rates use short-term loans to take advantage of lower rates when you refinance loans, select long-term savings instruments to lock in earnings at current high rates.
