Money and BankingMoney and Banking

Barter

• Exchange of goods and services for other goods and services.

Eg. Bread for a haircut

What is Money?• Anything which is accepted in

exchange for goods & services.

Qualities of MoneyQualities of Money

1. Scarce in supply – be in short supply

2. Non-perishable/durable – last a long time

3. Portable – easy to carry4. Divisible – can be broken into

small parts

Forms of MoneyCurrency/Legal Tender:• Notes and coinsBank current accounts:• Put money into bank account and

make payments by cheque, laser, CT.Plastic money:• Credit cards, charge cards, store

cards, laser and ATM cards.

Plastic Money/Cards• Credit cards: Access, Visa,

MasterCard• Charge Cards: American Express• Store Cards: Esso, Statoil• ATM• Debit (Lazer) Card• Smart Card

Credit CardBuy now pay later.Receives a monthly statement.Pay in part or full.Interest charged on balance.

Charge Card

Amount due must be paid as soon as statement is received.

Annual membership fee.

American Express.

Store Cards

Given by department stores and oil companies.

Customers are given a credit limit.Esso/Shell, Brown Thomas.

ATM (Automated Teller Machine)

Allows customers withdraw money, pay bills, order cheque books, change pin, receive statements, mobile top up

Access 24 hoursCheaper than paper transactions

why??

Debit/Lazer Card

Used by current account holders to pay for goods and services

Laser card is swiped through terminal at cash desk.

Money is withdrawn from a/c immediately.

Smart Card

Combines ATM Laser Cheque

guarantee Cirrus/Link (use

ATM’s abroad)

Irish Financial Irish Financial AgenciesAgencies

1. Banks 2. Building Societies3. An Post 4. Credit Unions

Irish Financial AgenciesIrish Financial Agencies

1. Banks

• Allied Irish Bank (AIB)• Bank of Ireland (BOI)• Ulster Bank• Permanent TSB • National Irish Bank (NIB)

2. Building Societies

• Some of the building societies which operate in Ireland are:

• Educational Building Society (EBS)

• Irish Nationwide Building Society

3. An Post

• They have branches all over Ireland in the form of post offices

4. Credit Unions

• Owned and run by their members• Over 500 individual credit unions

in Ireland