Banking on Your Own — slides
Financial Literacy Club
Money After High School · Lesson 3
Banking on Your Own
Opening your own accounts and choosing where to bank.
10-minute lesson · learnwithflc.org
Banking on Your Own · 1 / 20
Financial Literacy Club
Money After High School · Lesson 3
Banking on Your Own
Opening your own accounts and choosing where to bank.
10-minute lesson · learnwithflc.org
Today's goals
By the end of class, you'll be able to…
- Compare banks, credit unions, and online banks
- Set up direct deposit and automatic savings
- Recognize common banking scams
Warm-up
What would make you trust a bank with your first paycheck?
Think, then write your answer.
The big idea
Banking on Your Own
Opening your own accounts and choosing where to bank.
Money After High School · Lesson 3
At 18, you can open accounts in your own name. If you've had a joint account with a parent, ask the bank how to move to your own.
Money After High School · Lesson 3
- Big banks: lots of branches and ATMs; fees vary and some savings rates are low.
- Credit unions: member-owned nonprofits, often with lower fees and better loan rates.
- Online banks: often higher savings rates and no monthly fees, but no branches.
Money After High School · Lesson 3
Compare monthly fees and minimums, overdraft policies, ATM access, savings rates, and the mobile app. And make sure deposits are FDIC-insured (banks) or NCUA-insured (credit unions).
Money After High School · Lesson 3
Skip the expensive shortcuts
Check-cashing stores and many prepaid cards charge fees on almost everything. A free checking account with direct deposit costs nothing.
Money After High School · Lesson 3
Protect your account
Turn on two-factor authentication. Your bank will never ask you to read back a security code sent to your phone — anyone who does is a scammer.
See it
Big banks offer many branches and ATMs, with fees that vary. Credit unions are member-owned and often cheaper. Online banks often pay more on savings and charge fewer fees, but have no branches.
| Strengths | Watch for | |
|---|---|---|
| Big bank | Branches and ATMs everywhere | Monthly fees, low savings rates |
| Credit union | Lower fees, good loan rates | Membership requirements, fewer ATMs |
| Online bank | Higher savings rates, few fees | No branches; cash deposits can be harder |
Real example
Sofia sets up her accounts
- Checking at a local credit union with no monthly fee and access to a large free ATM network.
- High-yield savings at an online bank for her emergency fund.
- Direct deposit splits her paycheck: most to checking, $50 automatically to savings.
- Alerts for low balances and large purchases, plus two-factor authentication.
Total monthly fees: $0. Time to set up: one afternoon.
Try it together
Try it: does the savings rate matter?
Compare a low-rate savings account with a high-yield one over a few years.
Your numbers
Results
Account A interest (0.01% APY)
$0.10
Balance: $1,000.10
Account B interest (4% APY)
$40.00
Balance: $1,040.00
The difference after 1 year: $39.90 — for leaving the same money in a different account.
Educational calculator, not financial advice. Results are hypothetical estimates based on the numbers you enter.
Activity · pairs · 10 min
Pick a Bank
- Three made-up options: Big Bank charges $12 a month unless you keep $1,500, has ATMs everywhere, and pays 0.01% on savings. Local Credit Union has no monthly fee, a shared ATM network, and pays 1.5%. Online Bank has no monthly fee, reimburses some ATM fees, and pays 4%.
- Persona 1: a student who keeps about $300 and often uses cash. Persona 2: a new graduate who wants to grow a $3,000 emergency fund.
- Pairs choose an option for each persona and list two reasons.
Check for understanding · 1 of 3
Someone calls saying they're from your bank and asks you to read them the code just texted to your phone.
What should you do?
- ARead the code so they can help you
- BHang up and call your bank using the number on its website or card
- CGive them half the code
- DText them the code instead
B. Hang up and call your bank using the number on its website or card
Banks don't ask for your security codes. Contact the bank directly using a number you trust.
Check for understanding · 2 of 3
Credit unions are member-owned nonprofits that often charge lower fees.
- True
- False
True
Deposits at federally insured credit unions are protected by the NCUA, much like FDIC insurance at banks.
Check for understanding · 3 of 3
Which is usually the cheapest way to receive your paycheck?
- ACashing it at a check-cashing store
- BLoading it onto a prepaid card with fees
- CDirect deposit into a free checking account
- DAsking for cash and keeping it at home
C. Direct deposit into a free checking account
Direct deposit into a no-fee account costs nothing and is safer than carrying cash.
Remember
Key takeaways
- Compare fees, overdraft rules, ATMs, rates, and apps.
- Credit unions and online banks often cost less.
- Direct deposit + automatic savings.
- Banks never ask for your security codes.
Discuss
Talk it over
- What matters most to you in a bank: branches, rates, or the app?
- Why do you think check-cashing stores still exist?
Exit ticket
Name two things to compare when choosing where to bank.
Answer on your exit ticket before you leave.
Nice work today.
Review this lesson anytime — free, no account needed:
learnwithflc.org/courses/money-after-high-school/banking-on-your-own
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