Banking Services Banks offer many different services. The most common banking service is the checking account. People deposit, or put their money in the bank, and then they can write checks to buy things. A check is a piece of paper which tells the bank to pay the seller. The bank must pay the seller from the customer’s account. The customer usually pays the bank a service charge for a checking account, which is sometimes five or eight dollars a month. There is not always a monthly fee, but then customers pay 10 or 20 cents for each check that they write. Another banking service is the savings account. People can deposit some of their money which they do not need right now in a savings account. They will leave the money in the bank and withdraw it when they need it—next month or next year. Because the money will stay in the bank, the bank can use the money. It will pay interest, or money that the bank gives to the customer, on the savings account. For example, imagine that a customer puts $3,000 in a savings account on January 1. If the bank pays 5.5% interest, the customer will have about $3,045 in March. In other words, the bank has paid $45 in interest for three months. Loans are another important banking service. A bank can give money to businesses and to individual people. The bank may loan money to a business to buy more machines or tools. It may loan money to someone to buy a car or to buy a house. Some people borrow money from the bank to build swimming pools or to repair their houses. The bank always charges interest on loans. The borrower must repay the loan plus the interest. The interest on loans is always higher than the interest on savings accounts. Banks in the United States usually have safe deposit boxes. These boxes are in the vault at the bank. The vault is a room that has a very heavy door with a very safe lock on it. Because it is very difficult to get into the vault, a safe deposit box is a good place to keep important things. Customers can rent the boxes from the bank for a small fee each year. They can keep their important papers, such as their birth certificate, marriage certificate, or passport, in their safe deposit boxes. Some people keep gold, silver, or valuable gems such as diamonds or emeralds there. Another important banking service is the automatic teller machine. Many banks have machines outside the bank so that the customers can get their money any time they want it, day or night. Customers can deposit or withdraw and get cash any time—if they have money in their accounts.