Caveat Academy course · Grades 10 to 12

Banking and Financial Systems

Where your money actually goes when you deposit it. You read a bank balance sheet, run the numbers on interest, loans and mortgages, see how the Federal Reserve steers rates and how lending creates money, trace bank runs and the 2008 crisis, and learn the federal rules that protect you from fraud, at your own pace, with a certificate at the end.

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$19one-time · every device you sign in on
Buy · $19

Included with the Caveat Academy pass and Whole-school licenses. Or get it in the High school electives library, $119 for 66 items.

6 modules · 18 lessonsabout 13 hours$19

Six modules, eighteen lessons

Each module ends with a practice set that tracks mastery, an explain-it-back prompt, a short written response and a module exam. The final opens when every module is proficient; passing it earns a certificate with a verification code.

  1. Module 1: Money and what banks do

    Explain the functions of money, read a bank balance sheet, compute net interest income and margin, and determine whether deposits are fully insured.

    • What money is and does
    • How a bank makes money
    • Banks, credit unions and other institutions
    about 2.1 h

  2. Module 2: Accounts, payments and interest

    Compare accounts by APY and fees, choose payment methods by speed and reversibility, and compute simple and compound interest and doubling times.

    • Checking, savings and the fine print
    • How payments move
    • Interest and compounding
    about 2.1 h

  3. Module 3: Lending and credit

    Analyze loan costs, interest and principal in payments, credit utilization and the trade-offs between 15-year and 30-year mortgages.

    • How loans are priced
    • Credit reports and credit scores
    • Mortgages and the long game of amortization
    about 2.1 h

  4. Module 4: The Federal Reserve and money creation

    Describe the Federal Reserve's structure and mandate, explain how bank lending creates money, and trace how a policy rate change affects the economy.

    • The Fed: structure and mission
    • How banks create money
    • Monetary policy: how the Fed steers the economy
    about 2.1 h

  5. Module 5: Risk, crises and regulation

    Explain bank runs, deposit insurance, the assets-to-capital ratio and the causes of the 2008 crisis, and evaluate a bank's capital ratio against a requirement.

    • Bank runs and deposit insurance
    • The 2007 to 2009 financial crisis
    • How banks are regulated
    about 2.1 h

  6. Module 6: Markets, fintech and protecting your money

    Explain why bond prices move opposite to rates, compare digital money by issuer and protection, and apply federal fraud protections to real situations.

    • Financial markets beyond the bank
    • Fintech, digital money and crypto
    • Protecting your money from fraud
    about 2.1 h

Try it before you start

This is how every lesson works: step through a worked example at your own pace, then answer a check and get the reason right away. Nothing here is saved; the course keeps your progress.

Module 5 · The 2007 to 2009 financial crisis

Worked example: how heavy borrowing magnifies losses

  1. Example numbers: Firm A has 100 dollars of assets funded by 90 dollars of debt and 10 dollars of capital: assets are 10 times capital.

A lesson check from each module

The checks need JavaScript turned on. The course itself works the same way.

What you get

Academics · High School$19 · included with the Academy pass and Whole-school licenses

What you finish with
A finished course in banking and the financial system: you can read a bank balance sheet and compute net interest income, check whether deposits are fully insured, compare accounts by APY and fees, compute compound interest, loan costs, utilization and mortgage interest, explain how the Fed sets rates and how lending creates money, analyze capital ratios and the 2008 crisis, price a bond when rates change and use federal fraud protections. Passing the final earns a Caveat certificate of completion.
Who it is for
Students in grades 10 to 12 in economics, business or finance pathways, students preparing to open their first accounts or take out a first loan, and anyone who wants to understand the news about interest rates and banks. It is general education, not financial advice.
Format
An online self-paced course: 6 modules and 18 lessons with worked examples you reveal step by step, 144 practice and exam items (multiple choice, numeric, fill-in and ordering), an explain-it-back prompt and a rubric-checked short response in every module, module exams with one retake, a 24-question final and a certificate with a verification code. About 13 hours in all; works on a phone or a computer.
Access
$19 one-time, yours on every device you sign in on; the course opens once you are signed in with it. Included with the Caveat Academy pass and Whole-school licenses. Also in the High school electives library ($119) and the Academics Suite pass ($149), and 1 more bundle. Progress is saved in this browser on this device, and the certificate page lets you download your record.
Where it lives
The High School space in Caveat Academics.
Support
Access, a receipt, a refund or a correction to the course: team@caveatacademic.com.

How it works

  1. Open the course and start Module 1. Each lesson takes about 25 to 35 minutes; two or three a week finishes the course in about a semester.
  2. Answer the checks as you read. Every answer shows the reason, and a miss links you back to the lesson that covers it.
  3. Finish each module with its practice set and exam. Proficient on every module opens the final; 70 percent passes it.
  4. Print or download your certificate and record from the certificate page.

Start the course

Sources and accuracy

The lessons are original writing by Caveat Academic Services. Facts were checked against these free, open references, which are also good places to read further.

  1. Board of Governors of the Federal Reserve System, about the Fed and monetary policy: federalreserve.gov
  2. Federal Deposit Insurance Corporation, deposit insurance coverage and FDIC history: fdic.gov; National Credit Union Administration: ncua.gov
  3. Consumer Financial Protection Bureau, credit reports and scores, lost or stolen cards, and overdraft rules: consumerfinance.gov
  4. Federal Trade Commission, phishing and impostor scams; report fraud at reportfraud.ftc.gov
  5. Federal Reserve History, essays on the Banking Act of 1933, the Great Recession and its aftermath: federalreservehistory.org

Banking and Financial Systems is a self-paced course from Caveat Academic Services. It is general education about the U.S. system, not financial, legal or tax advice; rates, fees and rules change, and numbers marked as example numbers are for practice only. It does not replace a school course and awards no credit. Support: team@caveatacademic.com.