Navigating the world of banking can feel overwhelming with jargon and acronyms. Terms like APR, APY, and overdraft might pop up frequently, but understanding their meanings and how they affect your finances can help you make informed choices. At Waypoint Bank, we believe in transparency and being clear with our language so you can make the best decision for your banking needs. Here’s a quick guide to some common banking terms and how Waypoint Bank can support you every step of the way.
APR (Annual Percentage Rate)
APR is the annual interest rate you’ll pay on a loan or credit card balance. It includes any associated fees, making it an essential figure to consider when comparing loan or credit options. The lower the APR, the less you’ll pay in interest. At Waypoint Bank, we offer competitive APRs on personal loans, auto loans, mortgages, and more, giving you cost-effective options tailored to your budget and goals.
APY (Annual Percentage Yield)
APY measures the total amount of interest earned on a deposit account over a year, accounting for compounding interest. Simply put, it tells you how much your money could grow in a savings account or CD (Certificate of Deposit). The higher the APY, the greater the growth potential. At Waypoint Bank, we offer savings accounts and CDs with attractive APYs to help your savings work harder for you.
Overdraft
An overdraft occurs when you spend more than your account balance, leading to a negative balance. Waypoint Bank offers something called overdraft privilege to help you avoid declined transactions. This can give you peace of mind.
FDIC Insurance
The Federal Deposit Insurance Corporation FDIC insures deposits at member banks, protecting at least $250,000 per depositor, per FDIC insured bank, and per ownership category. This coverage means that your money is safe even if the bank encounters financial difficulties. Waypoint Bank is an FDIC member, so you can trust that your deposits are secure.
Ag Banking
If you’re in the agricultural industry, finding specialized loan services is crucial. Waypoint Bank offers Ag Banking tailored to the needs of farmers, ranchers, and agribusinesses. From agricultural loans to financial planning, we’re here to support your growth.
Making Banking Simple with Waypoint
At Waypoint Bank, we understand that banking terms can seem complex. Our team is dedicated to providing clear explanations and practical solutions to help you make the most of your money. Whether you’re looking for a high-APY account, competitive loan rates, overdraft privilege, or just a bank that genuinely cares, we’re here for you every step of the way.
Want to learn more or have specific questions? Reach out to your local branch today and discover how Waypoint Bank can help you achieve your financial goals!
