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Financial Education
Bank Fees
Financial Institutions charge you different fees for different services. In addition,
the bank may pay you interest for keeping your money at that bank.
Fees
Financial Institutions may charge you different fees for different services. For
example, a monthly maintenance fee might be charged for keeping your account open.
In addition, you might also be charged a penalty fee if you misuse your account,
such as by bouncing a check.
Interest
Interest
is the extra money in your account that the bank pays you for keeping your money
at that bank. One of the main advantages of having a deposit account is the interest
you earn.
Transaction Examples
Above, we talked about fees and interest. Below is an example of how deposits, withdrawals,
fees and interest may affect your account.
|
Description |
+ / - |
Balance |
|
Opening Balance |
+ |
$100.00 |
|
Withdraw |
- |
$20.00 |
|
Balance |
= |
$80.00 |
|
Monthly Fee |
- |
-$4.00 |
|
Balance |
= |
$76.00 |
|
Interest |
+ |
+$1.00 |
|
Current Balance |
|
$77.00 |
|