Finance English practice: Unit 19 — Personal Banking

Biz English

Apr 14, 2016

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Complete the sentences below. Use the key words if necessary.
- Current accounts
  
  key words
  current account      ○      withdraw      ○      interest      ○      savings account      ○      deposit account      ○      statements      ○      debits      ○      credits      ○      debit card      ○      withdrawals      ○      cash dispensers      ○      credit card      ○      cheques      ○      bank transfer      ○      standing orders      ○      direct      ○      debits
  
  A is an account which allows customers to take out or money, with no restrictions. Money in the account does not usually earn a high rate of : the bank does not pay much for ‘borrowing’ your money. However, many people also gave a or which pays more interest but has restrictions on when you can withdraw your money. Banks usually send monthly listing recent sums of money going out, called , and sums of money coming in, called .
  
  Nearly all customers have a allowing them to make and do other transactions at . Most customers have a which can be used for buying goods and services as well as for borrowing money. In some countries, people pay bills with . In other countries, banks don’t issue chequebooks and people pay bills by . These include , which are used to pay regular fixed sums of money, and , which are used when the amount and payment date varies.
  
  Banking products and services
  
  key words
  loans      ○      overdrafts      ○      overdraw      ○      mortgage      ○      collateral      ○      repossess      ○      foreign currency      ○      traveller’s cheques      ○      investments      ○      private pension plans
  
  Commercial banks offer — fixed sums of money that are lent for a fixed period (e.g. two years). They also offer , which allow customers to an account — they can have a debt, up to an agreed limit, on which interest is calculated daily. This is cheaper than a loan if, for example, you only need to overdraw for a short period. Banks also offer to people who want to buy a place to live. These are long-term loans on which the property acts as or a guarantee for the bank. If the borrower doesn’t repay the mortgage, the bank can the house or flat — the bank takes it back from the buyer, and sells it.
  
  Banks exchange for people going abroad, and sell which are protected against loss or theft. They also offer advice about and — saving money for when you retire from work. Increasingly, banks also try to sell insurance products to their customers.
  
  E-banking
  
  key words
  telephone banking      ○      internet banking      ○      e-banking      ○      branches
  
  In the 1990s, many commercial banks thought the future would be in and or . But some customers preferred to go to — local offices of the bank — especially ones that had longer opening hours, and which were conveniently situated in shopping centres.
British English or American English?
- current account
  - British English
  - American English
- checking account
  - British English
  - American English
- cash dispenser, cash machine
  - American English
  - British English
- ATM (Automated Teller Machine)
  - British English
  - American English
- cheque
  - British English
  - American English
- check
  - British English
  - American English
- traveller’s cheque
  - American English
  - British English
- traveler’s check
  - American English
  - British English
- shopping centre
  - British English
  - American English
- shopping mall
  - British English
  - American English
Complete the advertisement with words from the box.
- box
  credit card direct debit savings accounts current accounts statements standing order debit card foreign currency traveller’s cheques
  
  Calling all students!
  
  ABC Bank now offers 1% interest on and 2.5% on . We will give you a chequebook and plastic: a free for use in cash dispensers, and the possibility to apply for a . You can pay fixed monthly bills by and other bills by . There are no account charges as long as you remain in credit, and we send you free monthly .
  
  We can also sell you for your next holiday, or for greater security. What are you waiting for? Call us today.
Choose words with the following meanings.
- what you can earn when you leave your money in the bank — . . .
  interest
  - collateral
  - private pension plan
  - interest
  - loan
- an amount of money borrowed from a bank for a certain length of time, usually for a specific purpose — . . .
  loan
  - loan
  - private pension plan
  - mortgage
  - overdraft
- something that acts as a security or a guarantee for a debt — . . .
  collateral
  - collateral
  - overdraft
  - interest
  - private pension plan
- an arrangement to withdraw more money from a bank account than you have placed in it — . . .
  overdraft
  - mortgage
  - loan
  - interest
  - overdraft
- a long-term loan to buy somewhere to live — . . .
  mortgage
  - loan
  - repossess
  - mortgage
  - private pension plan
- an arrangement for saving money to give you an income when you stop working — . . .
  private pension plan
  - overdraft
  - interest
  - private pension plan
  - loan
- to take back property that has not been completely paid for — . . .
  repossess
  - repossess
  - overdraft
  - loan
  - collateral
Are the following statements true or false?
- Current accounts pay more interest than saving accounts. clue
  — A saving account or deposit account pays more interest.
  - true
  - false
- There is less risk for a bank with a mortgage than with unsecured loans without collateral. clue
  — If the borrower doesn’t repay the mortgage, the bank can repossess the house of flat.
  - true
  - false
- Traveller’s cheques are safer for tourists than carrying foreign currency. clue
  — Traveller’s cheques are protected against loss or theft.
  - false
  - true
- Bank branches are now all in shopping centres. clue
  — Some customers preferred to go to branches especially ones which were conveniently situated in shopping centres (but not all branches are).
  - false
  - true

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