Slide MGT312 Slide03

Checking and Savings

Checking and Savings

Account

Account

Tools of Monetary Asset

Management

•Low-cost, interest-earning checking accounts (Type 1).

•Interest-earning savings account (Type 2).

Monetary Asset Management

Services

•Depository institutions.

Checking Account (Type 1)

•It can be accessed through checks and

debit card (ATM).

•It may or may not pay interest.

•_{Low fees are available at all depository}

institutions.

Types of Checking Accounts

•Interest-earning checking account (also

called negotiable order of withdrawal or NOW).

•Tiered interest.

Minimum Balance

Requirements

•Most of the accounts have a minimum-balance requirement.

•_{Usually, interest earned is not paid for a}

month when the account falls below the minimum.