Management of bank accounts workshop, Financial literacy, Erasmus+ project New Literacy Set, 2015-2017

1. Management of bank accounts
DOTT. STEFANO BLANCO
DOTT. MASSIMILIANO FONTANA
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2. 2
Definition of a bank
The bank is a commercial company that carries out
systematically, institutionally and on its own risk a
financial intermediation activity

3. Definition of a bank
An increasingly important role is taking on
the provision of:
•Monetary services
•Financial services
•Consulting services
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4. Definition of a bank
The bank is an institution that also engages in
currency and financial transactions using their own
money and that of the customers. In particular, the
bank accumulates its gains in three ways:
•through the difference between debtors and
creditors rate
•through commissions on the services banks offer
•by carrying out financial operations themselves
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5. Definition of a bank
1. through the difference between debtors and creditors rate: So, on
the money that the bank receives from savers bank calculates a
variable interest rate that is between 1% and 3%, but the bank
charges a much higher interest to those seeking loans (from 4-9%)
and the percentage difference (called “scissors rate”) represents the
gain. For example:
The bank receives in savings for one year € 1.000.000
at the end of the year pays an interest rate of 3 % = € 30.000
but it does not keep that million in its coffers, but borrows it to others
by charging an interest rate of 9 % = € 90.000
so in one year the bank earns € 60.000
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6. Definition of a bank
2. through commissions on the services they offer (anything
that is done in the bank must be payed for):
you have to pay to have a savings account (it’s cheap), a
checking account with checks and ATM (at least € 25 per
year, but in some cases much more), to pay to use checks,
ATM card, to make a transfer (i.e. send money through the
bank), to pay a bill, to be bought or guarding government
bonds, bonds, shares, units of investment funds, to have a
safe deposit box or a PO box, etc.
3. by carrying out financial operations themselves
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7. The role of banks in the economy
The best-known financial intermediaries in our
economic system are the BANKS.
They collect funds from individuals in surplus, giving
them a fee called INTEREST (Active for customers –
Passive for the bank), and allowing individuals to
borrow in financial deficit from which demand an
INTEREST (Passive for customers – Active for banks ).
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8. The role of banks in the economy
The bank's earnings is the JAWS RATIO
which is determined by the difference
between active interest rate (x bank)
and borrowing interest rate (x bank).
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9. The role of banks in the economy
Banks have intermediary role:
No cash
No finding savers and borrowers personally
No costly lawyers fees for contracts
Bank absorbs loans that default
Banks borrow (i.e. hold customers’ deposits) short-
term but lend long-term – this is called „term
transformation”
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10. Bank account contract
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The bank takes on the task
of making payments and
collections on behalf of the
client using the deposited
money
They are recorded:
• As a CREDIT - the deposits by
cash or checks.
• As a DEBT - the payment of
issued checks, bills, credit
transfers and periodic
expenses.

11. Types of bank accounts
The most important and most commonly used bank accounts are
current account and giro account.
Bank accounts are open and run by a credit institution on demand and
on behalf of one or more payment service users (clients) for execution
of payment transactions.
Who can open an account in a credit institution?
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12. What to consider before
deciding to open an account
account opening costs,
monthly account management costs,
additional features offered with opening an account,
all types of benefits that are linked to the transaction account,
how much are these benefits, whether their amount varies and how,
daily limits for cash withdrawals at ATMs,
the number of ATMs available and their locations (spread of the ATM
network and branches of credit institutions),
the interest rate on the positive balance in the account and
terms and conditions associated with closing the account.
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13. Opening a bank account
A credit institution opens a current account or a giro account based on a
framework contract concluded with a payment service user
When opening an account, a credit institution is obliged to:
confirm your identity,
conduct other procedures in accordance with the regulations in charge
of the prevention of money laundering and terrorist financing,
obtain all information that is required to be submitted for this account
in accordance with the law on a unique account register that regulates
the contents of the unique account register in the country (if
applicable).
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14. Constructing bank account
number
The Croatian bank account construction consists of 21 digits, of which:
HR is a country code according to ISO 3166-1.
The control number has two digits.
Number of credit institutions indicates seven digits.
The number of transaction account is ten digits.
HR64 3465 2081 1002 8931 0
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15. Current account
A current account is a transaction account that a bank opens at the
request of consumers for the purpose of receiving regular or casual
payments and making payments within the limits of available funds in
the account
Permissible vs unauthorized overdraft
Related purchase - other banking products and services are usually
linked to the current account
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16. Giro account
The giro account is a type of transaction account that is primarily
intended for occasional income of individuals
Traditionally, the giro account is used for payments of income such as
rent, royalties and the like
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17. Account balance
The account balance is the
document that the bank sends
periodically to the account holder
and consists of three parts:
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18. Account balance
-a list, in chronological order, of the
movements of the account, that is
the real account balance;
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19. Account balance
-the progressive summary balance (or
progressive account balance), which
summarizes the daily balances of the
account resulting in currency
movements ordered by dates; it is
useful for the calculation of interest;
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20. Account balance
-the calculation of the
compensations (counting costs
and interest) that are credited or
debited to the account at the
end of the period.
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21. Account balance
Date (monthly, quarterly, semi-annual)
Iban code (identifies c/c, bank, country)
Date and currency (the accounting transaction date)
“give” and “take” movements (operations credit and debit)
Transactions description (transaction details)
Beginning and ending balance
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22. Banca delle Banche Sig. Mario Rossi
Agenzia Sede Indirizzo Via del Varco
C/C N° 14000 Città Viterbo
Estratto
conto
relativo al
4° trimestre dell'anno 2016
DATA VALUTA DARE AVERE DESCRIZIONE OPERAZIONE OPERAZ. NUM N°
1/10 30/9 12410,00 ripresa saldo a 12.410,00 1
2/10 30/9 15,20 Add.competenze III trim.2016 p 12.394,80 2
9/10 9/10 460,00 versamento in contanti a 12.854,80 4
12/10 14/10 1350,00 versamento a/b a 14.204,80 5
17/10 17/10 1555,50 pagato RID periodico p 12.649,30 3
31/10 31/10 59,30 pagata bolletta p 12.590,00 6
11/11 19/11 2668,50 versamento a/b a 15.258,50 7
26/11 26/11 215,00 Pagam.MAV (Pag.Med.Avviso) p 15.043,50 8
30/11 30/11 1808,00 pagamento acconto imposte p 13.235,50 9
2/12 2/12 7918,88 acquisto titoli p 5.316,62 10
10/12 18/12 1819,00 versamento a/b a 7.135,62 11
23/12 23/12 407,80 Rata Mutuo n.12545123 p 6.727,82 12
MOVIMENTI SALDO
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23. Progressive summary balance
Currency and currency balances (with the dates when the
amounts of the account with the same currency have
changed)
Days (specifies the number of days between that balance
and the next one)
“debtors and creditors numbers” (currency balance
multiplied by the days showed on the side)
Status change (increase or decrease in the interest rate)
The calculation of interest
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24. N° dare avere saldi dare saldi avere valuta gg numeri dare numeri avere
1 0,00 12.410,00 12.410,00 30/9 0 0,00 12.410,00
2 15,20 12.394,80 30/9 9 0,00 12.394,80
3 460,00 12.854,80 9/10 5 0,00 12.854,80
4 1.350,00 14.204,80 14/10 3 0,00 14.204,80
5 1.555,50 12.649,30 17/10 14 0,00 12.649,30
6 59,30 12.590,00 31/10 19 0,00 12.590,00
7 2.668,50 15.258,50 19/11 7 0,00 15.258,50
8 215,00 15.043,50 26/11 4 0,00 15.043,50
9 1.808,00 13.235,50 30/11 2 0,00 13.235,50
10 7.918,88 5.316,62 2/12 16 0,00 5.316,62
11 1.819,00 7.135,62 18/12 5 0,00 7.135,62
12 407,80 6.727,82 23/12 8 0,00 6.727,82
31/12 -
tot gg 92 tot num. Avere 139821,26
conto scalare interessi al 31/12
MODALITA' DI CALCOLO DEGLI INTERESSI
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25. Interest rates and account
fees/costs
Financial Institutions charge you different fees for different services. In
addition, the bank may pay you interest for keeping your money at that
bank.
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26. Digital banking
The 'digital revolution' is having strong impacts on configuring banking
offers and service models targeted at retail customers.
Banks which offer their customers online banking are expected to have
more advantageous conditions when compared to traditional channels.
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27. Digital banking
Bank branches Contact Center ATM Digital
Selling face to face, and of
complex products and services
Parking Areas - advanced
service
specialized
Resources
Commercial
Initiatives commercial
combined network not-bank
distributive
Face 'Human' bank
Principals for outdoor
activities
New Role in contact chat with customers
Support / Integration of other channels
Integration / Synergy with remote
management consultant and chat
Cornerstone of customer retention
support
No phone bank.
Proactive outbound
Extension services available
'Less cash – Less transactions '
Support for “remote”
distribution
Dissemination “not urbanized”
areas
Support in complex operations
using
virtual assistant
'Digital' in the middle of
the bank
Role towards the
customer in the internal
transformation to the
bank
Mobile focus
Continuous
improvement customer
experience
Personalization of
customer services
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