Financial services encompass a wide range of services provided by financial institutions such as banks, investment firms, insurance companies, and credit unions. These services include banking, investing, insurance, lending, and wealth management.

Banks are for-profit institutions owned by shareholders, while credit unions are nonprofit organizations owned by their members. Credit unions typically offer higher interest rates on savings accounts and lower fees on loans compared to banks.

A checking account is designed for everyday transactions, such as paying bills and making purchases, and often comes with a debit card. A savings account is meant for accumulating funds over time and typically pays interest on the balance.

A budget helps individuals and businesses manage their finances by tracking income and expenses. It allows for better control over spending, helps identify areas for saving, and enables long-term financial planning.

Investing involves putting money into assets such as stocks, bonds, real estate, or mutual funds with the expectation of generating a return. It is important because it allows individuals to grow their wealth over time, beat inflation, and achieve financial goals such as retirement or buying a home.

Insurance is a contract between an individual or organization and an insurance company, where the insurer agrees to provide financial protection against specified risks in exchange for premium payments. Types of insurance include health, life, auto, home, and disability insurance. Insurance is important because it helps mitigate financial losses resulting from unexpected events such as accidents, illnesses, or natural disasters.