--- title: Interest on savings and cash machines — a lesson of Mova's school · trees and pragmatics description: «Interest on savings and cash machines», a lesson of the money course of Mova's primary school, sentence by sentence with dependency trees and pragmatics. It begins: When you keep money in a savings account, the bank pays you a little extra called interest, a thank-you for letting it use your money --- [Mova](https://md.mova.elamur.ai/free/en/) · [this page in HTML](https://mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/) [home](https://md.mova.elamur.ai/free/en/) / [corpora](https://md.mova.elamur.ai/free/en/corpora/) / [school](https://md.mova.elamur.ai/free/en/corpora/school/) / [Money](https://md.mova.elamur.ai/free/en/corpora/school/money/) / Interest on savings and cash machines # Interest on savings and cash machines Lesson 27 of the money course of Mova's primary school: 16 sentences, each with its syntax tree and pragmatics. The lessons are written for Mova, and their agreed trees are part of Mova corpus 0.4 (CC BY-SA 4.0). How Mova does on its tests: [the lesson at school](https://md.mova.elamur.ai/free/en/school-run/money/27-interest-on-savings-and-cash-machines/). - [0](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/0/) — When you keep money in a savings account, the bank pays you a little extra called interest, a thank-you for letting it use your money for a while. - [1](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/1/) — Interest is usually written as a percentage, said "per cent", which means "out of every 100": 3% means £3 for every £100, so when Ella leaves £100 for a year at 3% the bank adds £3, and she has £103. - [2](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/2/) — Leave the interest in and next year you get interest on the interest: at 10%, which is £10 for every £100, £100 becomes £110; next year the £100 earns £10 again and the extra £10 earns £1, so it becomes £121; this is compound interest, and it grows faster the longer you wait. - [3](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/3/) — A cash machine, or ATM, gives out cash from your account; you put in your card, cover the keypad while you type your PIN, and the money comes off your balance. - [4](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/4/) — Picture a cash machine with something odd stuck on the card slot: walk away and use another one, because criminals sometimes fit fake parts to steal card details. - [5](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/5/) — Interest on savings is extra money the bank pays you; the interest rate is the percentage it pays. - [6](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/6/) — Percent means "out of 100": 3% of £100 is £3, so £100 becomes £103 after a year. - [8](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/8/) — Compound interest is interest on interest: at 10%, £100 becomes £110 after one year, and after two years £110 + £11 = £121, because the extra £10 earns £1 as well. - [9](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/9/) — A cash machine, or ATM, gives out cash and takes it off your balance: £150 − £20 = £130. - [10](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/10/) — Some cash machines charge a fee to take money out; taking out £10 with a £1.95 fee takes £11.95 from the account. - [11](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/11/) — A 4-digit PIN has 10,000 possible codes, from 0000 to 9999, so covering the keypad keeps it secret from nosy people and hidden cameras. - [12](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/12/) — Shoulder surfing means watching someone type their PIN. - [13](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/13/) — A fixed-term account locks savings away for a set time but pays more: 4% on £100 is £4, compared with 2% on £100, which is £2, in an ordinary account. - [14](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/14/) — If prices rise faster than interest, savings buy less: at 2% interest £100 becomes £102, but a £100 toy rising 4% costs £104. - [15](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/15/) — A skimmer is a fake device fitted to a cash machine to steal card details; if a machine looks odd, use another and tell the bank. - [16](https://md.mova.elamur.ai/free/en/corpora/school/money/27-interest-on-savings-and-cash-machines/16/) — A card left too long in a cash machine is kept to protect you; the money in the account stays safe, and the bank sends a new card. - ← previous: [A bank account and a debit card](https://md.mova.elamur.ai/free/en/corpora/school/money/26-a-bank-account-and-a-debit-card/) - next →: [What a bank does with your money and why banks lend](https://md.mova.elamur.ai/free/en/corpora/school/money/28-what-a-bank-does-with-your-money/) - ↑ back to [Money](https://md.mova.elamur.ai/free/en/corpora/school/money/)