SMM final exam summary ver2.0, Unit7, Unit 8 - Coggle Diagram
SMM final exam summary ver2.0
Commercial banks, credit unions, savings
Non deposit-type financial institutions
mutual fund companies, brokerage firms, insurancce companies offer similar services as those offered by banks
“Banks” or Deposit-type financial
Financial institutions that provide
traditional checking and savings accounts
Savings and Loan Associations (S&Ls or "thrifts")
Rates you pay on credit cards
Size of credit line
Strong credit score-lower interest rate
Credit History Length
Stands for Central Credit Reference Information System.
facilitate credit risk
management among banks
How it was calculated?
5 C's of credit
Credit card (shop online)
Advantages of online and mobile banking
Personal financial management support
Convenience: view and track accounts, pay bills, view up-to-the-minute credit card activity anytime, from anywhere.
Efficiency: Can access and manage all of the bank accounts, including savings, CDs, and securities, from one secure site and transfer funds between checking and saving accounts/anothe customer's account.
Effectiveness: Many online and mobile banking sites provide stock quotes, rate alerts, and personal financial management support.
Start-up time: It takes time and some effort to register for your bank's online and mobile program. If you are setting up an account together with a spouse, you may have to sign a durable power of attorney before the bank will display all of your holdings toggether.
Adapting to online and mobile banking: Banking sites can be difficult to navigate at first, so expect to spend some time working through the tutorial. These priodically change, which may require reentering data.
Feeling comfortable: Many people just don't feek comfortable banking online.
Customer service: The potential for poor customer service is a downside to online and mobile banking
Renting vs buying house
Avoids the risk of
falling housing prices
No grounds keeping, home repair and maintanance
May involve a
lower monthly cash flow
No property taxes
No down payment
immune to losses due to housing price depreciation
can relocate without incurring real estate selling costs
Allows to build up
Allows for a good deal of
to remodel, landscape, and redecorate to suit your taste
Significant tax advantages, including deduction of interest and property taxes
No chance of rent rising over time
Your home is a potential source of cash in the form of
home equity loans
A good realtor sells at least 30 homes per year
Make sure that there is an
in the contract
Allows you to terminate the contact whenever you want
Look for a realtor that works full-time and has at least 3 years' experience.
Pick a realtor who works and lives in your area