Lesson 7: Savings Accounts

Graphic of a bank

Name(s) of student(s):

Age and grade level:

Goal from IEP connected to lesson:

Objective from IEP connected to lesson:

Purpose of lesson: To explore savings account information and visit a bank.

Materials needed: Internet access, bank location

Introduction

“Last time we met we focused on checking accounts. Today we will learn about savings accounts. Understanding the differences can help you decide where to keep portions of your money.”

Discussion

Communicate the following principles:

  • The purpose of a savings account is to save money in a risk-free environment. It is risk-free because your money will be available to you even if the bank goes out of business. The money is accessible, though not usually through a debit card or checks.
  • The advantage of a savings account over a checking account is that a savings account usually earns a higher interest rate.
  • Savings accounts vary on interest rates, the number of withdrawals permitted per month, and account access capabilities. For instance, some savings accounts are online-only.

Exercise: Exploring Savings Accounts

Have the student gather information online regarding the purposes and characteristics of savings accounts. How is the money accessible? What are the limitations? Have the student research a Certificate of Deposit (CD) so that he is aware that certain types of savings instruments are not accessible for a predetermined amount of time.

Exercise: Field Trip

The student should be allowed to receive hands-on instruction at the bank. The student should find a bank that is willing to provide a tour of the facility and answer questions regarding account options. Questions should be developed beforehand and asked of the tour guide.

Review

“Today we learned about the properties of savings accounts. They are risk-free, yield minimal interest, and the funds within are usually not accessible by debit card or check. When the money is needed, funds can be transferred into a checking account or removed at the bank.”

Progress notes, data collection, comments, and modifications:

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