This is the remaining of our 40 Banking Terms that starts with the letter B. See initial post here.
Please note that terms may vary from one bank to another and banking jurisdiction to another but we have taken time to choose some of the common terms.
15. Book RoomBook room is the room where bank documents are stored securely. It is most times next to the bank vault and has about same security as the vault. Customers security documents, safe custody items and other security items apart from cash are kept in the book room. Only authorized personnels are allowed in the book room.
16. Bundle Count
To bundle count cash is to look at the numbers of bundles and rappers and assume the total amount without doing a complete count of the cash. This is done when customers cash are deposited after the regular banking hours and the money count not be counted until the next day. The money is bundled counted with both customer and the bank representative confirming the assumed amount. The money is then sealed in a box with the customer going away with the keys until the next day when the box will be opened and proper counting is done.
17. Bad Debt
Bad debts are debts from bank asset (money borrowed to customers) that the customer is unable or unwilling to pay back or fulfill repayment obligations for a particular period of time often over 9 month. It mean collections for up to 9 months remain unpaid or uncollected. Such debt becomes bad debt and it is written off against the banks books.
A bond is a form of loan or IOU: the holder of the bond is the lender (creditor), the issuer of the bond is the borrower (debtor), and the coupon is the interest. Bonds provide the borrower with external funds to finance long-term investments, or, in the case of government bonds, to finance current expenditure. Certificates of deposit (CDs) or short term commercial paper are considered to be money market instruments and not bonds: the main difference is in the length of the term of the instrument. – Wikipedia
19. Bi Annual
Bi annual refers to 2 times in a year. It is a form of loan repayment structure that allows you pay 2 times in a year often every 6 months. Some loan facilities structured to ally with customers can show flow bi annually if income from customers business comes bi annually. This is done to allow customers pay when the business is able to pay and not put unnecessary repayment or collection burden on the customer.
20. Bank Guarantee
A promise made by a bank to provide payment to another bank or lender on a bond, loan, or other liability in the event of default. Banks often make guarantees on behalf of certain clients to promise payment on loans. Bank guarantees reduce the risk to loans and liabilities and usually improve the credit agency ratings of bonds. – Financial Dictionary.
21. Bank manager
Bank manager is the person put in charge of a bank branch to whom every staff of the branch reports to. He manages the branch operations as well as the branch business and marketing. He is responsible for the growth of the branch businesses as well as balance sheet size and ensures good service delivery to the bank customers.
22. Bank vault
A bank vault is a secure space where money, valuables, records, and documents are stored. It is intended to protect their contents from theft, unauthorized use, fire, natural disasters, and other threats, much like a safe. Unlike safes, vaults are an integral part of the building within which they are built, using armored walls and a tightly fashioned door closed with a complex lock. – Wikipedia.
23. Bankers Confirmation
It is a letter issued by a bank at the demand of the customer confirming the customers identity, signature, banking relationship or as may be requested by the customer to satisfy a third party’s request for same. The 3rd party may be an insurance company, a stock broker, a business partner and so on.
24. Bullion Van
A bullion Van is a special vehicle use by banks for movement of cash from one location to another, often times from the Bank Vaults to the Central Bank Vault.
25. Bank Customer
A bank customer is an individual or an entity with banking relationships with a bank. Relationship often times in form of account relationship. Account can be savings deposit account, checking or current account, investment or fixed deposit account or any other form of account relationship.
26. Banking Hall
Banking hall is the place where banking transaction takes place physically. The large space where you have the customer being attended to by the cashiers.
This refers to when transactions such as investment or loan have been consummated by the bank. Fixed deposit booking or loan booking are common terms in banking and amount bankers to denote that a particular transaction has been consummated.
28. Back Office
Back office refers to a place behind the tellers where banking operations takes place. It is the place where cheques are processed for clearing. Investment and loan booking are keyed in the system, cash are processed for evacuations and ATMs loads and other banking transactions that does not require customer presence are caries out.
29. Bank Head-office
Bank head office is the administrative head of banks. It is where coordination of all branch banking activities are done. It is also the place where banks relates and interacts with international financial institutions and local banks for businesses of common interest. The bank head office houses the office of the bank MD and other directors who runs the affairs of bank branches and subsidiaries from their.
30. Bank Transfer
Bank transfer is when a bank customer instructs his bank to transfer money from his bank account to a third party in the same bank or other banks. The transfer can either be inbound or outbound both locally or internationally. Some banks offers such services to both their customer and non customer but not customers pay a higher fee and customers of the bank.
31. Bank Charges
This is the most important reason to check your bank statement the financial finicky person would say. All charges can be found in the withdrawal column of your statement of bank account. Bank charges includes Account Maintenance Charges (AMC), VAT on AMC, Stamp Duty Charges, Withholding Tax and all other bank charges and commissions on services rendered.
32. Bank Debtor
A bank debtor refers to an individual or a business or commercial entity that has borrowed money from a bank. Whether the loan is performing or not the customer remains a debtor as along as all obligations is yet to be paid off.
33. Bank Account
Bank account refers to a deposit product or liability products of the bank, they includes Savings account, Current or Checking account, Fixed deposit or Investment account, Children account as well as all other liability products of banks that provides opportunity for customers to keep their money until they have need for it.
34. Bank Card
Bank card are debits and credit cards products of the bank that allows customers to access their bank account balance on alternative banking channels like POS, ATM and Online. The 3 major card brands available in Nigeria are Verve card, Master card and Visa Card. New upgrades of cards allows contactless on POS, some are electronic cards that you carry the image on your phones and so on.
35. Bank Cheque
A cheque (or check in American English) is a document that orders a bank to pay a specific amount of money from a person’s account to the person in whose name the cheque has been issued. The person writing the cheque, the drawer, has a transaction banking account (often called a current, cheque, chequing or checking account) where their money is held. The drawer writes the various details including the monetary amount, date, and a payee on the cheque, and signs it, ordering their bank, known as the drawee, to pay that person or company the amount of money stated. – Wikipedia
36. Bank Facility or Loan
Bank facility refers to a loan that have been advanced to a customer to facilitates the customers business or fill a financial gap for individual, retail or corporate customer. It could be for short term or loan term. It could be an overdraft or secured loan for consumer, retail or corporate customer, syndicated or by from a bank. Bank facilities are repayable over a specified period of time.
37. Bank Reference
Often refers to as Letter of reference. It is a letter written by a bank at the instruction of its customer to a third party introducing the him or her as a customer of the bank with details of the bank account, age and conduct of the relationship.
38. Bank Depositor
This refers to an individual that has lodged physical or electronic money into a banks account. This may be the account holder, a third party on behalf of the account holder, a business partner or customer making payment for good or services.
39. Bank code
Bank Code is a bank unique identifier code assigned by the central bank to all banks and financial institutions within a country. It is an electronic identifier that allows international transactions easy via electronic platforms.
40. Bankers Bank
The central bank is the bankers bank because it provides banking services and regulations to banks in Nigeria. The CBN is also refers to as lender of last resort because it provides facilities to banks when banks are in need of same to continue to function in its intermediary role in the economy.
41. Bankers Committee
The Bankers Committee is the committee of all banks MDs and CBN governor. They meet regularly to fix rates and discuss banking interventions in the economy.
The bank insurance model (BIM), also sometimes known as bancassurance or allfinanz, is the partnership or relationship between a bank and an insurance company, or a single integrated organisation, whereby the insurance company uses the bank sales channel in order to sell insurance products, an arrangement in which a bank and an insurance company form a partnership so that the insurance company can sell its products to the bank’s client base. – Wikipedia