How to join
A Bank
Basic Banking: Opening a Bank Account
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hello everyone in module 2 of basic
banking we are going to learn how to
open a bank account but before we start
let's look at some important words for
this module debit when you take money
out of a bank account or money is old
credit when you put money into a bank
account or when you pay for goods or
services later deposit when you put
money into your bank account transaction
when you exchange goods or money before
you open an account you need to choose
which bank you are going to use to help
you make a decision you should ask the
following questions does the bank have a
branch that is close to where you live
or work it is important to have a bank
near you if you need to ask questions or
do your banking what are the monthly
fees banks charge a monthly amount
called fees for having an account they
also charge small amounts for each
transaction you make it's best to go to
the information desk at the banks you
like and ask them what their costs and
interest rates are then choose a bank
that gives you low costs and good
interests on your savings when the time
comes to open an account you will be
asked to give the bank your personal
details like a copy of your ID and show
proof of your address you will also be
asked what kind of account you want
there are many different types of
accounts but let's look at the two main
types a transaction account and a
savings account a transaction account is
for any kind of action that you carry
out with money it's very useful for
day-to-day banking needs like depositing
and withdrawing money paying bills and
receiving a salary but because you don't
earn much interest in a transaction
account they are not the best account to
use if you want to save money for this a
savings account would be better they pay
higher interest than transaction
accounts so your money grows while it is
there some savings accounts pay even
more interest but only on the condition
that you tell them a month in advance if
you want to take out your money once
you've opened an account the bank will
give you a plastic card call a debit
card you will then have to choose a
secret number called a pin code which
you should not share with anyone from
now on whenever you use the card you
will have to enter your pin code with
your debit card you can withdraw cash at
an ATM when you go to an ATM machine
will ask you to enter your PIN and which
account you want to draw money from it
will also ask how much money you want to
draw if you have money in that account
the Machine will give you the money as
an ATM you can also do other things like
check your account balance this shows
you how much money you have in your
account pay bills send money to someone
deposit money or buy airtime you can
also use a debit card to buy things at
shops instead of paying cash
if PETA is shopping at a grocery store
it doesn't have to pay in cash you can
just give the teller his card the teller
swipes it through the Machine and asks
him to enter his pin the amount he owes
will be taken from his account and be
paid into the shops account it is
cheaper doing it this way rather than
withdrawing money from the ATM first and
then paying with cash this means you
don't have to keep going to the ATM to
draw money to buy things but while debit
cards are better than cash you must
always be careful when using your debit
card don't let strangers try to help you
when withdrawing money from an ATM and
don't share your PIN number with anyone
so now you know how easy it can be to
buy what you need and manage your money
if you have a bank account that's it for
today we hope you found this training
module helpful
goodbye
