Navy men and women should adopt a system of  accounting  to  keep  their  financial  matters straight and their affairs solvent. Navy members rarely remain in one location or tied to one group of personnel who know their credit, abilities, past accomplishments, and general reputation. The nature  of  the  Navy  requires  personnel  to reestablish these attributes every time they transfer. The following section on personal financial management gives you information you will need to help your people keep their financial affairs straight. It will acquaint or reacquaint you with certain factual information. This information will help you when counseling, advising, and training your people on financial affairs. Some of the information may be elementary to you, However, because many young Navy members often do not grasp these facts, they get into financial trouble. If you are thoroughly familiar with these basics, you will be in a better position to help young members with their financial management. Keep in mind also, Navy Family Service Centers offer confidential financial guidance to Navy personnel. Encourage your people in need of  personal  financial  counseling  to  use  the counseling service provided by the centers. Direct those needing legal or other advice to a legal assistance officer or some other counselor who can provide the needed advice. Money Management Navy personnel usually manage their money in one or more of the following four ways; each has advantages and disadvantages: 1. Checking account 2. Savings account 3. Cash 4. Allotments CHECKING ACCOUNT.  —A checking ac- count usually serves as the safest and the most convenient and efficient way for people to keep track of their money. A checking account is a financial arrangement with a bank, savings and loan association, or credit union for safeguarding money. As persons need money, they draw or transfer funds by writing a check. Persons can issue a check payable to another person or to a company to pay bills or to get cash. This easy-to-maintain method conveniently helps people manage their financial affairs. Navy members on shore duty may authorize the Navy to deposit their paychecks into a savings or checking account via the Direct Deposit System (DDS). If assigned to sea duty, they can use the allotment system to have their pay deposited in a checking or savings account. The following are some of the advantages of the DDS and allotments: • Personnel don’t have to wait in long payroll lines to cash a paycheck. • Pay goes directly to a set account even when personnel are on leave or temporary duty. • Personnel can write checks on payday with the assurance that their pay is in the bank. • Personnel have access to pay when away from their home stations by the direct deposit of their paycheck into a checking account. • Personnel can mail checks to pay bills. Personnel do not have to buy money orders. • In case of a lost or stolen wallet, persons do not lose their entire pay. The balance remains safely in an account. • Canceled checks serve as receipts and records of paid bills. • The proper use of a checking account shows a person’s financial reliability and serves as a good reference for creditors. SAVINGS ACCOUNT.  —One way for per- sonnel to manage their money is to have a savings account. Savings accounts draw interest, while checking accounts sometimes do not. A savings account is an excellent way to gather interest and to keep from spending money. CASH. —Once personnel withdraw money from a checking or savings account or cash their paychecks,  they  operate  on  a  cash  basis. Operating on a cash basis offers the advantage of ready money but also the chance of theft or loss of cash. Operating on a cash basis results in low costs, but it has some disadvantages. The use of cash requires  personnel  to  stand  in  lines  to  cash paychecks and to buy money orders to pay bills. 4-12