Objective [1]
Analyze factors that affect selection and use of financial
services.
Financial products such as savings plans, checking accounts,
loans, trust services, and electronic banking are used for managing
daily financial activities. Technology, opportunity costs,
and economic conditions affect the selection and use of financial
services.Objective [2]
Compare the types of financial institutions.
Commercial banks, savings and loan associations, mutual savings
banks, credit unions, life insurance companies, investment
companies, finance companies, mortgage companies, pawnshops,
and check-cashing outlets may be compared on the basis
of services offered, rates and fees, safety, convenience, and special
programs available to customers.Objective [3]
Compare the costs and benefits of various savings plans.
Commonly used savings plans include regular savings accounts,
certificates of deposit, interest-earning checking accounts,
money market accounts, money market funds, and U.S. savings
bonds.Objective [4]
Identify the factors used to evaluate different savings plans.
Savings plans may be evaluated on the basis of rate of return,
inflation, tax considerations, liquidity, safety, restrictions, and
fees.Objective [5]
Compare the costs and benefits of different types of
checking accounts.
Regular checking accounts, activity accounts, and interestearning
checking accounts can be compared with regard to restrictions
(such as a minimum balance), fees and charges,
interest, and special services.
