BANKING & FINANCIAL INSTITUTIONS

Understanding the financial system starts with knowing how banks, credit unions, and modern financial
institutions serve consumers and businesses.

TOPIC 11
Checking Accounts: Features, Fees & Best Practices
A checking account is the operational center of personal finance, used for daily transactions, bill payments, and
income deposits. This topic covers account features, fee structures, overdraft rules, and how to select the best
checking product for your needs.

Types of checking accounts (standard, interest-bearing, student, senior)
Monthly fees, minimum balances, and how to waive them
Overdraft protection options and costs
Debit cards vs. checks vs. ACH payments
Online bill pay and direct deposit setup
Avoiding common checking account fees
Choosing the right checking account for your lifestyle

TOPIC 12
Savings Accounts & High-Yield Savings
Savings accounts provide a safe, interest-earning home for short- and medium-term funds, with high-yield online
options offering significantly better returns than traditional banks. This topic explains APY, account types, and
strategies for maximizing interest on idle cash.

Traditional savings accounts vs. high-yield savings accounts
APY explained and how to compare rates
Regulation D and withdrawal limits
Online banks vs. brick-and-mortar savings rates
Using multiple savings accounts for goals
Savings account laddering strategies
FDIC coverage on savings accounts

TOPIC 13
Certificates of Deposit (CDs) & CD Laddering
Certificates of Deposit lock in a fixed interest rate for a defined term, making them ideal for funds not needed
immediately but requiring safety and predictability. This topic covers CD types, laddering strategies to maintain
access to funds, and tax implications of CD interest.

How CDs work: terms, rates, and penalties
Fixed vs. variable rate CDs
CD laddering strategy for liquidity and yield
Bump-up, no-penalty, and jumbo CDs
When CDs make sense vs. high-yield savings
FDIC insurance on CD accounts
Tax treatment of CD interest

TOPIC 14
Money Market Accounts & Money Market Funds
Money market accounts and funds occupy the space between savings and investments, offering higher yields with
limited transaction flexibility. This topic clarifies the distinction between bank-offered MMAs and
investment-account money market funds, including their respective insurance and risk profiles.

Money market accounts (MMAs) vs. money market funds
MMA vs. high-yield savings: key differences
Check-writing and debit card privileges on MMAs
Money market fund types: government, prime, tax-exempt
Role of money markets in cash management
Risk profile: FDIC vs. SIPC coverage
Using money markets as a cash management hub

TOPIC 15
Credit Unions vs. Banks: Choosing the Right Institution
Credit unions and banks each offer distinct advantages depending on a consumer’s priorities for rates, fees,
technology, and community relationships. This topic equips consumers to make an informed choice by comparing
ownership models, deposit insurance, and product offerings.

Structural differences: member-owned vs. shareholder-owned
Credit union membership eligibility
Rate and fee comparisons on loans and deposits
Product availability and technology gaps
NCUA vs. FDIC deposit insurance
Community banks as a middle ground
When a credit union is the better choice

TOPIC 16
FDIC & NCUA Insurance: Protecting Your Deposits
Federal deposit insurance through the FDIC and NCUA protects depositors from bank failures up to statutory limits,
but many consumers do not understand how ownership categories can multiply coverage. This topic explains how
to ensure all deposits are fully protected, especially for high-balance accounts.

FDIC coverage limits ($250,000 per depositor, per institution)
Account ownership categories that expand coverage
Joint accounts and beneficiary-designated accounts
NCUA coverage for credit union deposits
What is not covered by FDIC/NCUA
How to check if your bank is FDIC-insured
Strategies for insuring deposits above $250,000

TOPIC 17
Online & Mobile Banking: Security & Best Practices
Online and mobile banking offer unparalleled convenience but require consumers to adopt strong security habits to
prevent fraud and unauthorized access. This topic covers account setup, security best practices, fraud detection,
and steps to take when a breach occurs.

Setting up online banking accounts securely
Two-factor authentication and strong passwords
Mobile deposit and its limits
Monitoring accounts for fraud and unauthorized charges
Banking safely on public Wi-Fi
Alerts, notifications, and account monitoring tools
What to do if your account is compromised

TOPIC 18
Church & Ministry Banking & Treasury Management
Churches and ministries require robust banking structures with strong internal controls to maintain financial
integrity and donor trust. This topic addresses nonprofit account types, treasury management best practices, and
the governance structures that protect church funds from mismanagement or fraud.