What does the word 'balance' mean in banking terms?
2007-03-09 08:36:24 · 7 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
In banking and accountancy, the outstanding balance is the amount of money owned, (or due), that remains in a deposit account (or a loan account) at a given date, after all past remittances, payments and withdrawal have been accounted for. It can be positive (then, in the balance sheet of a firm, it is an asset) or negative (a liability).
2007-03-09 09:01:03 · answer #1 · answered by Faye H 6 · 0⤊ 0⤋
banks typically list two amounts on your deposit slips and atm receipts.
1) Account balance - the amount of money in your account.
2) Balance available - the amount of cash you can take out of your account at this moment.
Why the difference between the two? A couple of reasons. First of all, when you use a debit card, the charge will come off your availible balance immediately, but not post to your account for a few days. Secondly, any deposits you make with out of town checks or for very large amounts are "held" by the bank (approx 3-5 days) to make sure they are legitimate.
2007-03-09 17:03:29 · answer #2 · answered by Michael W 3 · 0⤊ 0⤋
Balance is the amount of money that remains after transactions are conducted through your account for the day. Some banks have two balances: "ledger balance" is the amount that was reported in your account at the close of the business day, and the "available balance" is what is available right at the present moment for use. Sometimes there can be a difference between the two because of incoming transactions
2007-03-09 16:55:17 · answer #3 · answered by Anonymous · 0⤊ 0⤋
The word means what the bank shows you having in funds in your account. This however does not include any pending items, like a check you wrote.
To be in balance with the bank means you can match your figures to their figures.
If you show a balance of $800 and have one outstanding check for $200, then the bank should show a $1000 balance. once the check clears, you should be show an $800 balance.
2007-03-09 16:50:07 · answer #4 · answered by Jen 5 · 0⤊ 0⤋
The word balance means the amount of money you still have with the bank.
2007-03-09 16:40:31 · answer #5 · answered by SGElite 7 · 0⤊ 0⤋
take your checking account for instance. When you balance it means that you have the same amount in your calculations that the bank says you have. Account balance = Your amount figured
2007-03-09 16:41:34 · answer #6 · answered by zambeff 2 · 0⤊ 0⤋
Balance is the amount you can have immediate access to in your account.
2007-03-09 17:04:45 · answer #7 · answered by Ola 4 · 0⤊ 0⤋