What are the terminologies used in banking?

Table of Contents

Glossary of Basic Banking Terms

Account.
ACH (Automated Clearing House).
APR (Annual Percentage Rate).
APY (Annual Percentage Yield).
ATM (Automated Teller Machine).
Available balance.
Cash equivalents.
Certificate of deposit (CD).

What is EFT and what are the types of EFT?

Electronic funds transfers include all types of electronic payments. On the other hand, an ACH payment is made within the Automated Clearing House Network (e.g., payroll and direct deposit). For example, wire transfers are not ACH transactions. Instead, a wire transfer is a type of EFT transaction.

What are the basics of banking?

Basic banking services include a payment account with basic features and an instrument for using the account (e.g. a debit card and online banking ID), the possibility to withdraw cash, the execution of payment transactions and an electronic means of identification.

What is MSF and bank rate?

Bank Rate is a discount rate at which RBI grants long term loans to commercial banks. MSF Rate is a rate at which the commercial banks borrow funds overnight from the central bank.

What is CC APR?

A credit card’s interest rate is the price you pay for borrowing money. For credit cards, the interest rates are typically stated as a yearly rate. This is called the annual percentage rate (APR). On most cards, you can avoid paying interest on purchases if you pay your balance in full each month by the due date.

What is the full form of SB account?

Difference Between Salary Account and Savings Bank Account (SB Account) In A Bank? – Goodreturns.

What does KYC mean?

Know Your Customer
KYC means Know Your Customer and sometimes Know Your Client. KYC or KYC check is the mandatory process of identifying and verifying the client’s identity when opening an account and periodically over time. In other words, banks must make sure that their clients are genuinely who they claim to be.