Concetti Chiave
- Credit cards, like Visa and MasterCard, allow customers to borrow up to a certain limit for personal or business expenses, with fees and interest rates set by banks.
- Current accounts provide immediate access to funds, offer a chequebook and cash card, and can include overdraft facilities with determined limits and fees.
- Cash cards, resembling credit cards, enable cash withdrawals from ATMs, requiring a personal identification number (PIN) for transactions.
- Deposit accounts are ideal for funds not needed immediately, offering higher interest rates than current accounts and requiring a minimum balance.
- A deposit account comes with conditions like withdrawal limits, frequency of withdrawals, and potential charges, encouraging the storage of surplus funds.
Main banking services
There are many services offered by banks, and they are: credit cards, current accounts, deposit account.
A credit card ( Visa, MasterCard ) is a plastic card that enables customers to get a credit on day-to-day personal or business expenses, up to a maximum limit.
Banks determine the annual fee, the credit available and the interest rate that will be charged on the outstanding balance of your account. When customers pay with credit card, the shop or company sends the bill to the bank, which will charge the amount on the customer’s account.
At the end pf the month the credit card company sends the customers a bill with the list of payments and charges.
Current account management
An account which used for amounts of money which must be immediately available.
The bank gives a chequebook and cash card.
• The cash card looks like a credit card and it used to withdraw cash from the machines outside the banks or in very convenient spots ( cashpoint ). With the card banks will also give a personal identification number ( PIN ).
• The cheque is a written instruction to the bank ( drawer ) to pay a sum of money to the holder ( drawer ) or to another person ( payee ). The bank takes the money from the account and pays it to the person named on the cheque.
After opening an account you will get a monthly record of the deposits you made and the withdrawals made by cheque. If you want to spend more money than you have in your bank account you can ask for an overdraft. The bank determines the maximum amount which can be overdrawn as well as the interest and charges.
Features of the deposit account
An account for founds which are left for long periods in the banks as they aren’t needed immediately. You can open a deposit account with a small sum of money.
Banks will give you a booklet to keep track of your money.
Before opening a deposit account you need to know:
• The minimum amount you must keep in the account;
• Interest rates;
• How much you can take out at one time;
• How often you can take money out of your account;
• Any charges for having an account.
The interest rate paid on a deposit account is always higher than on current account. For that reason, you should keep any excess cash in your deposit account rather than in you current account.
Domande da interrogazione
- What are the primary services offered by banks?
- How do credit cards function in terms of billing and payments?
- What are the features and benefits of a current account?
- What should one consider before opening a deposit account?
Banks offer several key services, including credit cards, current accounts, and deposit accounts.
Credit cards allow customers to make purchases up to a set limit, with the bank charging the customer's account for transactions. At the end of the month, a bill listing all payments and charges is sent to the customer.
A current account provides immediate access to funds, a chequebook, and a cash card for ATM withdrawals. It also allows for overdrafts, with the bank setting limits and interest rates.
Before opening a deposit account, consider the minimum balance requirements, interest rates, withdrawal limits, frequency of withdrawals, and any associated charges. Deposit accounts typically offer higher interest rates than current accounts.
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