What You Should Know About Universal Banking.

The term “universal banking” is used to describe a banking system where one institution provides a full range of financial services, including investment banking, commercial banking, and insurance. In the United States, the term is most commonly used in reference to the banking system in Europe, where universal banks are more common. In the United … Read more

Acceptor Definition.

In banking, an acceptor definition is a legal definition that refers to a person who is authorized to accept bills of exchange on behalf of another person. What is the meaning of bank term? A bank term is a period of time during which a loan or other financial agreement is in effect. The term … Read more

What Is an Available Balance?

“Available balance” is the funds in your account that are available to you at any given time. This includes any funds that have been deposited into your account, as well as any funds that have been cleared for withdrawal. It does not include any funds that are currently being held by the bank, such as … Read more

What Is a Compensating Balance?

A compensating balance is a minimum amount of money that a bank requires a borrower to keep on deposit in order to qualify for a loan. The compensating balance is typically a percentage of the loan amount. For example, if a company borrows $1 million from a bank, the bank may require the company to … Read more

How Bank Giro Transfers Work.

A bank giro transfer is a type of bank transfer in which money is transferred from one bank account to another using the giro system. This type of transfer is commonly used in Europe and is an efficient way to send money between bank accounts. The giro system is a network of banks and other … Read more

Book Transfer.

When you book a transfer, you are essentially booking a spot in line for the transfer of funds. The funds will be transferred from one account to another, but the timing of the transfer may be delayed depending on the availability of funds and the processing time of the banks involved. What is a bank … Read more

Correspondent Bank: Definition and How It Works.

A financial institution that provides services to another bank is called a correspondent bank. What is the difference between correspondent bank and beneficiary bank? The correspondent bank is the bank through which a payment is made on behalf of the sender. The beneficiary bank is the bank where the funds are being sent. In some … Read more

Positive Pay Explained.

Positive pay is a type of fraud prevention service offered by banks to businesses. With positive pay, the business provides the bank with a list of checks that it expects to issue during a certain period of time. The bank then compares the checks presented for payment against the list of authorized checks. If a … Read more