Describe the types of financial institutions.
DefinitionDescription should include credit unions and insuring agencies, commercial banks and insuring agencies, finance companies, savings and loan companies and insuring agencies, online-only financial institutions, and nonbank institutions (e.g., check-cashing services, payday loan services, title lenders, open-end lines of credit).
Other Related Standards
Economics and Personal Finance Standards of Learning
The student will demonstrate knowledge of the nation’s financial system by
- defining the role of money; and
- explaining the role of financial markets and financial institutions.
The student will develop consumer skills by
- examining basic economic concepts and their relation to product prices and consumer spending;
- examining the effect of supply and demand on wages and prices;
- describing the steps in making a purchase decision, including the roles of marginal benefit and marginal cost;
- determining the consequences of conspicuous consumption;
- describing common types of contracts and the implications of each;
- demonstrating comparison-shopping skills;
- maintaining a filing system for personal financial records;
- examining the impact of advertising and marketing on consumer demand and decision making in the global marketplace;
- accessing reliable financial information from a variety of sources;
- explaining consumer rights, responsibilities, remedies, and the importance of consumer vigilance; and
- examining precautions for protecting identity and other personal information.
The student will demonstrate knowledge of banking transactions by
- comparing the types of financial institutions;
- examining how financial institutions affect personal financial planning;
- evaluating services and related costs associated with personal banking;
- differentiating among types of electronic monetary transactions;
- preparing all forms necessary for opening and maintaining a checking and a savings account;
- reconciling bank statements;
- comparing costs and benefits of online and traditional banking; and
- explaining how certain historical events have influenced the banking system and other financial institutions.
FBLA Competitive Events and Activities Areas
Banking and Financial Systems
The topic for this event changes from year to year. The annual topic may or may not correlate with this particular course. Please refer to the current Virginia FBLA State Handbook.