College Financial Glossary
Alerts
Account notifications sent via email or text to your mobile device3 that can help you keep up with all the activity in your checking, savings, and credit card accounts. You can receive alerts for things like balance updates, low balance caution, when payments are due, etc. When you set them up in advance, automatic alerts notify you about important changes and sensitive activity in your accounts, as well. Once you enroll in Online Banking, there are many Alerts to choose from. (Please contact your service provider to find out if there are fees for receiving text messages.)
APR – Annual Percentage rate
Credit Card rates are how much your credit will cost you on a yearly basis shown in a percentage. Higher is not better. This is why it's important to pay your bills in a timely fashion.
ATMs
Automatic Teller Machines. If you don’t know what these are, you’re stuck in the past my friend. There is one big difference. As a Bank of America customer, their ATMs don’t hit you with charges or fees for using them, when that no name one at the convenience store will. Luckily, there’s over 18,000 of them pretty much all over the place. Check out the Bank of America ATM locator to find a location near you.
Automatic Payments
You can pay all your bills online through the bank by using Bill Pay. Just set them up ahead of time and you won’t have to worry about missing your due date. Enter the bill information, set the payment date, and the bank does the rest.
Balance
Your balance is how much money you have in your account at any given time.
Bank
A place to store your money so it’s safe, and easy to access. Seriously…you don’t know what a bank is?
Bill Pay
Bill Pay is a service of Online Banking from Bank of America that allows you to pay your bills online. See Automatic payments.
Broke
What you don’t want to be. Learning to balance your budget is a big step towards not being broke.
Budgeting
Learning how to not spend all your money at one time, so you’re living off of ramen noodles for a week out of every month. Head here to learn how to budget your income.
Campus
The grounds and buildings of your college, university, or school. A cool place to go to class, a cooler place to hang out. Opposite of off-campus.
Cash
Cold hard cash. Money in your hand. It’s always good to have a little bit, but you don’t need “G’s” in your wallet, especially when you have a Debit Card.
Checking account
Your main bank account. You use it to pay your rent, buy food and clothes, and when you go out. You can tie it to your Debit Card.
Check Card
See Debit Card.
Credit Card
A plastic card issued to qualifying peeps for the purpose of purchasing goods and services using credit. Basically meaning you have to pay it back later, at least a small portion each month. When you leave a balance on the card, you are assessed finance charges based on your APR. If you don't pay the minimum balance every month or if you go over your credit limit, you may incur fees – try to avoid that.
Debit
A fancy bank term for whenever money leaves your checking or debit account, like when you buy dinner.
Debit card
A plastic card issued by Bank of America that customers can use anywhere debit cards are accepted. Because money is deducted directly from your designated Bank of America checking account, there are no finance charges. A Debit Card can also be used at ATMs so there is no need to carry both a Debit Card and an ATM card. Also referred to as a check card.
Delinquency
Being late on a payment, say for a loan or phone bill. Avoid this if you don’t want to hurt your credit rating.
Direct deposit
You can have your money, either from a job or other regular monthly income put directly into your account instead of getting a check in the mail, and having to deposit it yourself.
Electronic Funds Transfer (EFT)
When you transfer funds online, over your phone, or any other paperless way besides being in a bank.
Electives
Classes that are outside your core majors program like Woodshop, Ancient Celtic History, or Basket Weaving 101. These give you a chance to learn about something that interests you outside of your major and meet people you otherwise wouldn't. See your advisor for assistance in selecting courses.
FDIC
The Federal Deposit Insurance Corporation (FDIC) preserves and promotes public confidence in the U.S. financial system by insuring deposits in banks and thrift institutions for up to $250,000, by identifying, monitoring, and addressing risks to the deposit insurance funds, and by limiting the effect on the economy and the financial system when a bank or thrift institution fails.
Finance charge
The total cost, including all fees, origination points and interest payments, a borrower pays to obtain credit.
Glossary
What you’re reading right now.
Grace Period
Important to understand if you use a credit card. This is the period of time that you don't get charged interest on purchases. Be sure to read the fine print. Some cards give a grace period only if the account is paid in full and doesn't have a balance carried over from the previous month.
Grade Point Average (GPA)
Usually, a number somewhere between 0.00 and 4.00 that is the average of your class grades and defines how successful you will be at life. (JK…kinda)
Greek System
Fraternities and sororities on or near campus. Strangely, I've never actually met a Greek member, you know, from Greece.
Honors List
Another way to prove how crazy smart you are. Getting on this list can only help you. Normally you'll need a GPA of 3.5 or better, per semester, but check with your advisor for all the requirements.
Hot Date
Yet another thing you need to save up for...but generally, it’s worth it.
Identity Theft
Identity Theft is no fun. It's when someone uses your personal information, like your name, Social Security Number, credit card number, or anything else without your permission to commit fraud and other crimes. The Federal Trade Commission estimates that roughly 9 million Americans have their identities stolen each year*, and college students are particularly at risk. Read how to protect yourself at the Ultimate Money Skills site.
*www.ftc.gov
Interest
Not what the opposite sex shows you! Snap! Really, though, it’s a percentage that you get charged on loans you get, like on your student loans or a credit card that gets added on to your principal. See APR.
Keep the Change®
A part of the Student Package. Enroll in Keep the Change® and whenever you spend money with your debit Card, the bank rounds the purchase amount up to the next dollar and moves the difference from your checking account to your savings account. They even match it to an extent. It’s a great and automatic way to save if you have trouble doing it yourself.
Minimum Payment
Shown on your credit card statement, the lowest amount you can pay every month. The amount is based on that month's balance at the time of billing.
Mobile Banking
On the go? Get available balance, pay bills, transfer money, and more from your cell or smartphone.3
Money
What you want to have plenty of, but probably don’t.
Morris
The cat running this site. He’s an upperclassman and wants to show you how to survive campus. Check him out on the main page.
Non-bank ATM
An ATM or cash machine that doesn’t say a bank's name or have its logo on it, like the ones in convenience stores. They almost always charge you a fee for using them.
Online Alerts
see Alerts
Online banking
People used to have to go into a bank to do all their banking, and they could only do that between 9:00 and 5:00 on a weekday. Crazy, huh? Now you can do practically everything online...at home...in your underwear. You get Free Online Banking service as a part of the Student Package.
Overdraft
Uh oh. It’s when you spend more than you have in your checking account. You’d normally get hit with a fee for this, but the Stuff Happens® card can help you get one fee waived, as long as you ask politely.
Paperless
When you forgo getting paper statements and bills in the mail and do everything online. It’s easier, and it’s eco-friendly.
Personal identification number (PIN)
It’s a 4-digit password for your Debit Card. Just like all passwords, you should keep it a secret. And since it’s your bank account, you especially shouldn’t tell your girlfriend…if you know what I mean.
Pineapple Lifesaver
Hands down, the best flavor of lifesavers…ever.
Prime Rate
A "base" rate some financial institutions use to set the APR of credit cards and loans.
Principal
Not talking about your school principal, but the amount of money you borrow, say with a loan. That’s the principal, the interest is what is added onto it and will be reflected in the APR on your statement.
Quad
The best place to hang out (and maybe score a date) on most campuses. Used for playing, mingling, sunbathing and studying.
QQ
Crying eyes or cry more noob. What you text your buddies when they can’t go out because they have no cash.
Ramen Noodles
What you are doomed to live off of at the end of the month if you run out of cash, because you can get five packages for $1. Don’t get me wrong, I love me some Ramen, but not for a week straight.
Savings account
A place to put your hard earned money for a rainy day. The bank pays you interest to keep your money in one. Keep the Change® can help you fill one up for any number of purposes. <Cough>...Spring Break. <Cough>
Spring Break
Google it.
Statement
A piece of paper you get every month that tells you what you’ve been spending your money on, and how much you have in your accounts. If you’re really cool, you get it online by going paperless.
Student Package4 from Bank of America
You get a package designed especially for students: CampusEdge® Checking, Savings, Debit Card, Keep the Change®, and Online Banking. You'll get your first overdraft fee refunded upon request and a Stuff Happens® card2 to help avoid certain fees. It's like a care package…from the bank.
Stuff Happens®
Boy, does it. This is your one-time “get out of jail free card.” Use it to ask for a waiver on certain fees (like an overdraft fee) in case you mess up. It’s one of the coolest things about the Student Package4.
Text Alerts
If your cell phone or mobile device accepts text messages, you can set it up to receive short-text alerts just about anywhere3, anytime on things like your balances, when payments are due, etc. (Please contact your service provider to find out if there are fees for receiving text messages.)
When you set them up in advance, automatic alerts notify you about important changes and sensitive activity in your accounts, as well.
Tuition
How much you or your parents fork over for your education, not counting books, housing, and spending money.
Undergrad
Your first 4, or 2…or maybe 8 years in school earning your bachelor's degree. Morris is an undergrad that's been around, and knows the tricks to help you make the most of your education.
Virtual Visit
Taking a tour of a college and exploring their course offerings, requirements, and extra-curricular activities, but doing it all online. Technology is amazing! I'd still go check the best ones out in person though.
Waiver
Something nice that the bank offers once to CampusEdge® checking customers (for example, when you get charged an overdraft fee). Remember, you have to ask for it, or you can use your Stuff Happens® card2.
Withdrawal
When you personally take money out of your account, like at an ATM, you are making a withdrawal.
Work-study
A pretty easy way to help pay for school by doing a part-time job on campus. It's a federally funded program, and to participate you need to complete a FAFSA.
Xylophone
Because it's the only "X" word I can think of.
Zyzzyva
It’s the last word in the dictionary. Tropical American weevil. Not related to banking at all.
