1. “Bank Accounts:
What You Should Know”

2. Overview
Banking Terminology
How to Choose the Right Bank
Types of Bank Accounts
Features of Checking Accounts
How to Write a Check
Credit Cards, Debit Cards & ATM Cards
How to Maintain a Good Credit History
& Prevent Fraud

3. Banking Terminology
Deposit: to put money in the bank
 Bank deposit (noun) (also called “credit”)
Withdraw: to take money out of the
bank
 Withdrawal (noun) (also called “debit”)
 Overdraw: to take more money out of your
account than is available
PIN: Personal Identification Number

4. More Banking Terminology
Interest: money which your bank
account earns
 Fixed interest rate: unchanging rate of
interest
 Variable interest rate: rate of interest
which changes regularly
 Note: Interest rates change over time and
vary greatly. There are many factors that
influence them.

5. Questions to Ask
Yourself
What will you need to do when you use
your bank account?
 Save money and earn interest?
 Withdraw money frequently?
 Write checks?
 Wire money home and receive wire
transfers?

6. Questions to Ask
Yourself (cont.)
How do you want to carry out those
banking transactions?
 Atthe bank?
 Online?
 Using an Automated Teller Machine
(ATM)?

7. How to Choose the
Right Bank
Location
 Isit close to home or campus?
 Can I easily walk there?
 Will I have easy access to an ATM?
Costs
 How much are the fees? (ATM,
wire transfers, etc.)

8. Types of Bank Accounts
Checking Accounts
 Permit
you to write checks up to the
amount of money in the account
Savings Accounts
 Earn interest on the money in the account
 May not have check-writing or ATM
privileges
 May have limits on the number of monthly
transactions

9. Types of Banking
Accounts
Money Market accounts
 Permit limited check writing
 Pay variable interest
 Limits on the number of monthly transactions
Certificates of Deposit (CD’s)
 Exist for specified time periods (30 days - 10 years)
 Pay fixed or variable interest
 Generally, have higher interest rates than savings
accounts
 Charge a penalty if the money is withdrawn early

10. Features of Checking
Accounts
Minimum deposit
 Minimum amount of money required to open account
Service fees
 Monthly fees
 Per check fee
 Debit card (ATM) fee
Minimum balance
 Required amount of money in the account (not always
required)
 You must pay a fee if the amount falls below the
minimum balance (called an “overdraft fee”)

11. More Features of
Checking Accounts
Interest
 Interest-bearing accounts pay interest
 Interest-free accounts do not pay interest
Other Fees
 Nonsufficient Funds (NSF) fee
 Fee for “bouncing a check” (writing it for more money than is in
your account)
 Fee for overdrawing when using a debit card
 Wire transfer fee
 Fee for sending money electronically to another bank or
receiving money from another bank (incoming or outgoing)
 Foreign ATM fee
 Fee for using another bank’s ATM

12. More Features of
Checking Accounts
Overdraft protection
 Protects you from overdrawing your account
 Money is automatically taken from your account if
you write a check or make an ATM withdrawal for
too much money.
FDIC protection
 Federal Deposit Insurance Corporation
 U.S. government agency which insures your bank
account up to $100,000 (temporarily changed to
$250,000 until December 31, 2013)

13. What You Need to
Open a Bank Account
Passport or other official government I.D.
Copies of immigration documents
UB Card (may be optional)
Address in U.S. (not a University office)
Address in your home country
U.S. Phone Number (required by Bank of
America)
Minimum required deposit
Proof of enrollment (may be optional)

14. How to Use your
Checkbook

15. How to Write a Check
Write in
numbers:
Joe Student
How
123 Main Street
MM/DD/YYYY much is
Amherst, NY 14226
the check
for?
University at Buffalo 100.00
One hundred and
00/100------------------------------
Person #: 3555-5555 Joe Student
Write in letters: Who is Write in letters: How Write today’s date here
the check for? much is the check in this format:
for? Month/Day/Year
Write your UB Person
Sign YOUR name here
number here

16. How to Keep Your
Check Register

17. How to Reconcile Your
Bank Statement

18. ATM Cards
Issued by the bank when you open a
checking or savings account
ATM = Automated Teller Machine
Provides 24-hour access to your money
Used to deposit money into or withdraw it
from your account
Access to your money is free if you use your
bank’s ATM
 If you use another bank’s ATM, you may be
charged a fee by the other bank and your bank.

19. Important ATM
Card Tips
Keep your card in a secure place
Do not write your PIN on your ATM card or
keep it with your card.
 Do not choose an easy PIN to guess (Ex.
“1234” or your birthdate)
Do not share your PIN with anyone else!
Keep your ATM receipts and write them in
your checkbook register.

20. Important ATM
Card Tips
Put your cash in an envelope before
depositing it in an ATM, if necessary.
(Note: Bank of America and HSBC do not use
envelopes.)
Review your monthly bank statement for
accuracy.

21. Debit Cards
An ATM card is sometimes also a debit
card
Used to make purchases
Must use a PIN to access your money
Amount of purchase is withdrawn directly
from your bank account
Some banks charge a fee each time you
use a debit card

22. Credit Cards
Used to make purchases
You will be billed for the amount of the
purchase.
If you don’t pay your bill each month,
you will be charged interest.
It might be possible to withdraw money,
but you will be charged a fee.

23. Types of Credit Cards
Private Label
 Can only be used in one place
 Ex: department stores, gasoline
companies
General Label
 Can be used in many places
 Ex: Bank Card, Major Credit Card (VISA,
American Express, MasterCard, Discover)

24. Choosing a Credit Card
Annual Fee?
 Yearly fee charged to use a credit card
Finance Charge (Interest Rate)?
 Interest
rates vary greatly (8%-32%,
sometimes even higher)
Annual Percentage Rate?
 Yearly cost of borrowing

25. Choosing a Credit Card
Computation Method?
 How finance charges are calculated
Grace Period?
 Allowsyou avoid finance charges if you
pay your balance in full before a certain
date
Credit Limit?
 Amount of money you are allowed to
borrow

26. Choosing a Credit Card
(cont.)
Late Fee?
 Fee you will be charged if you do not pay
the amount due by a certain date
Card Incentives?
 Benefits to using a particular credit card
 Airline miles, cash back, reward points, etc.

27. Maintaining Good Credit
Credit Agencies
 Equifax
 Experian
 TransUnion
The Credit Process
 Credit Report
 Annualcreditreport.com
 Credit Rating
 Credit Score
Establishing a Credit History

28. Things to Do to Establish
and Maintain Good Credit
What can everyone do to establish and
maintain good credit?
 1. Know your budgetary limits
 2. Prioritize your needs and wants
 3. Pay all bills on time
 4. Avoid late fees
 5. Monitor your credit card balances
 6. Have both a checking and savings account at a
local bank
 7. Use your credit card through secure channels
 8. Request a copy of your credit report each year

29. Managing Credit Issues
and Concerns
Resources and Assistance
 Be proactive
 Communicate with your bank or creditor
 Explore debt consolidation
 Consider credit counseling

30. Consumer Credit Counseling Service of
Buffalo, Inc.
40 Gardenville Pkwy. Suite 300
West Seneca, NY 14224
Tel. (716) 712-2062

31. Preventing Fraud
Keep your ATM, debit and credit cards
and your checkbook in a safe place.
If your card is lost or stolen, call your
bank or credit card company
immediately!
Never respond to an e-mail request
for your bank account information!
 Visit www.ftc.gov for advice about what to do.

32. Preventing Fraud (cont.)
Check your monthly bank statements to
be sure they are correct.
Do not accept a personal check from
someone you don’t know well.
Beware of scams that ask you to
deposit a check!

33. Important Reminders
If you move or change your phone
number, be sure to give your bank
your new address and phone
number!
Be sure to keep your PIN number in a
place where no one can find it!

34. Banks with ATM’s at UB
Bank of America
HSBC

35. Bank of America
Bank When You Want, Where You Want
Checking Accounts That Fit Your Schedule
 ElectronicBanking
 Debit Card – Keep the change
 Deposit Image ATMs
 Text Banking
 Online Banking
 Optional Bill Pay
 Online Paperless Statements

36. Bank of America
1 Full Service ATM on UB’s North Campus
1 Full Service ATM on UB’s South Campus
1 Full Service ATM across the street from the
South Campus (next to Tim Horton’s)
Full-service Bank of America banking center,
drive-in & ATM ten minutes by foot from UB’s
North Campus
Wire transfers

37. HSBC Bank
Student / Choice Checking
 No monthly or per-check fee for prospective students for 4
years
 No minimum balance requirement for prospective students
for 4 years
 Unlimited check writing
 Free online banking & bill payment
 Free online bank statements
 Free 24-hour telephone banking
Bank at Work
 Premium banking packages for students who work at UB
and have direct deposit
No-fee MasterCard debit card with unlimited use

38. HSBC Bank
1 ATM on UB’s North Campus
1 ATM on UB’s South Campus
Full-service HSBC branch, drive-
through & ATM ten minutes by foot from
UB’s South Campus

39. M&T Bank
M&T @ College Checking
 No monthly service charge or minimum balance
 Unlimited check writing
 Free M&T Web Banking and Web Bill Pay
 Free M&T Visa Check Card (debit card)
 4 Free non-M&T ATM transactions per month
 4 Surcharge rebates per month
 Free first order of 50 checks
 Free incoming international and domestic wire transfers
 Free PIN/POS (Point of Sale) transactions
 Overdraft protection available with free Savings account

40. M&T Bank
No ATM’s on campus currently, but that
may change
Full service M&T branch, drive-in & 2
ATM’s across from UB’s South Campus

41. Interested in learning more?
“Living on a Shoestring:
How to Live Cheaply as a Student”
Thursday, September 16
3:30-4:30
Capen Hall 31, North Campus
ISSS semester workshops:
www.buffalo.edu/intlservices/workdesc.html

42. THANK YOU VERY
MUCH!