PASSBOOK Meaning and
Definition
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A passbook refers to a physical booklet issued by a bank or financial institution to their customers for recording and tracking deposit and withdrawal transactions associated with their savings accounts. Typically, these passbooks are personalized for each individual account holder and serve as a concise and tangible record of one's banking activities.
The passbook contains relevant details such as the name and account number of the account holder, the initial deposit, subsequent transactions, and the resulting balance. It is updated regularly by the bank teller or customer service representative at the time of every transaction. This may include deposits, withdrawals, interest earned, fees charged, or any other pertinent changes to the account.
One of the primary purposes of a passbook is to provide the account holder with an easy and immediate way to monitor and verify their account activities. As transactions are recorded within the passbook, users can easily keep track of their financial history and ensure the accuracy of the bank's recordkeeping. The passbook often serves as solid proof of account activity, particularly in cases where documentation may be required for legal or auditing purposes.
Moreover, passbooks offer customers a transparent view of their savings journey, enabling them to observe how their balances grow over time, view interest rates, and monitor the impact of any transactions made. Although passbooks are gradually being replaced by digital banking alternatives, they remain popular in some regions where physical records and personal banking relationships are still valued.
Common Misspellings for PASSBOOK
Etymology of PASSBOOK
The word "passbook" is derived from the word "pass", which originated from the Latin word "passus", meaning "a step or pace". In medieval times, a pass was a document allowing a person to travel freely or gain access to a specific area. Over time, the word "pass" evolved to refer to a document used to record information or permit entry, such as a passport or boarding pass. Therefore, a "passbook" originally referred to a book used to record one's transactions or account activity, and it is still used today as a term for a booklet provided by banks to record deposits and withdrawals.
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