Banking Vocabulary

Vocabulary Translation/Picture Definition

Bank Financial Institution that
receives, lends, exchanges,
and safeguards money.

Credit Union A not-for-profit organization

that exist to serve their
members.

Deposit -an automatic deposit of net

pay to an employee's
designated bank account

Withdrawal Those elements in the

macro economy that leave
the circular flow of income.
Debit Card A payment card that can be
used in place of cash to
make purchases

Checking Account An account at a bank

against which checks can
be drawn by the account
depositor.

Savings Account A bank account that earns

interest and is used to hold
the money you are saving.
Check A check bought from a bank
with payment guaranteed
by the bank.

Bounced Check Occurs when the writer of

the check has insufficient
funds available to fulfill the
payment amount on the
check to the payee.

ATM(Automatic An electronic banking outlet

Teller Machine that allows customers to
complete basic transactions
without the aid of a branch
representative or teller.

Interest Payment from a borrower or

deposit-taking financial
institution to a lender or
depositor of an amount
above repayment of the
principal sum (that is, the
amount borrowed), at a
particular rate.
APY(Annual The real rate of return
Percentage Yield) earned on an investment,
taking into account the
effect of compounding
interest.

Check Fraud Any efforts to obtain money

illegally using paper or
digital checks.

Reconciliation The process of comparing

transactions and activity to
supporting documentation.