Tuesday, September 13, 2011

Some Banking Terms

Cash: Cash refers to money in the physical form of currency, such as banknotes and coins.

Notational Money: The notional money is a financial instrument, the nominal or face amount that is used to calculate payments made on that instrument

Cheque: A cheque is a document or instrument that orders a payment of money from a bank account.

Electronic Fund Transfer: Electronic Fund Transfer or EFT is the electronic exchange or transfer of money from one account to another, either within a single financial institution or across multiple institutions with usage of computer

Plastic Money: Plastic money is a term that is used predominantly in reference to the hard plastic cards we use everyday in place of actual bank notes

Debit Card: A debit card is a plastic card that provides the cardholder electronic access to his or her bank account at a financial institution

Credit Card: A credit card is a small plastic card issued to users as a system of payment. It allows its holder to buy goods and services based on the holder's promise to pay for these goods and services.

Electronic Clearing Service: ECS is an electronic clearing system that facilitates paperless credit / debit transaction directly linked to your account and also provides for a faster method of effecting periodic and repetitive payments.

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