Lesson 1: Types of Accounts
Students will be able to compare and contrast the basic types of bank accounts.
Jump$tart Standard: Saving:
8-1a. Identify the most common reasons that people save money for the future
12-1a. Compare the features of regular savings accounts, money market accounts, and CDs
SEL Competency: Responsible decision-making
Hook (5 min)
Ask: You’ve probably heard of bank accounts. Maybe some of you even have one or more of them. What is a bank account? And why do people open them?
Answers will vary. Explain that in simple terms, a bank account is a place where money is deposited and stored. Let students know that the lesson will clarify why people open bank accounts.
Reading/G.O. (30-35 min)
Say: Today we are going to read an article about the basic types of bank accounts and then fill out a comparison chart. Then, when you open an account or if you already have one, you’ll know more about its advantages and disadvantages. By the end of class, you will need to have completed the graphic organizer.
Say: Something you may need to know about before you read is interest. Does anyone know what interest is in the world of money? (Call on anyone who may know.)
Say this, and write the first sentence on the board or onscreen: Interest is a sum paid or charged for the use of money or for borrowing money. Normally interest is calculated based on a percentage.
- For example, you might earn 2% interest on the money you put in the bank
- Or you might be charged 5% interest on money you borrowed
Pass out graphic organizers. Allow students to complete the graphic organizer individually or with a partner, if they are focused.
Halfway through, check for understanding. Say: What are the four basic types of bank accounts?
Allow students to make additional searches if they need help answering the questions on the graphic organizer or finding definitions for new terms.
Debrief/Exit Ticket (5-10 min)
Have students briefly share out their findings or turn in their graphic organizers for feedback.
Before they leave, encourage them to answer this question: what are a few reasons people might want to save money?