Glossary

  • IBAN (International Bank Account Number): A standardized international system used to identify bank accounts across borders.
  • BIC (Bank Identifier Code): A unique code that identifies a specific bank or financial institution when making international transfers.
  • SWIFT (Society for Worldwide Interbank Financial Telecommunication): A global messaging network used for secure financial transactions between banks and financial institutions.
  • Bank Routing Number: A set of numbers used to identify a specific bank and the location of its branch where an account is held.
  • SEPA (Single Euro Payments Area): A payment integration initiative aimed at making international payments within the European Union as easy and efficient as domestic payments.
  • Account Holder: The person or entity that owns or has authorized access to a bank account.
  • Financial Institution: A company that offers financial services, such as banks, credit unions, and investment firms.
  • Wire Transfer: A method of electronically transferring funds between financial institutions.
  • Payment Gateway: An online platform that enables secure electronic transactions between a merchant and a customer.
  • ACH (Automated Clearing House): A system that electronically processes financial transactions within the United States.
  • EFT (Electronic Funds Transfer): A method of transferring funds electronically between bank accounts.
  • Nostro Account: A bank account that a domestic bank holds in a foreign country’s currency.
  • Remittance: A sum of money that is sent as payment or gift.
  • Sort Code: A code used by British and Irish banks to identify specific branches.
  • Checking Account: A type of bank account used for regular transactions, such as deposits, withdrawals, and payments.
  • Savings Account: A type of bank account that pays interest on the balance, but may have restrictions on withdrawals.
  • Money Market Account: A type of bank account that offers higher interest rates, but may require a higher minimum balance.
  • Overdraft: A loan or credit extension from a bank that covers transactions that exceed the available balance in a checking account.
  • Direct Deposit: An electronic transfer of funds into a bank account, such as a paycheck or government benefit payment.
  • Electronic Check: A digital version of a paper check that is processed and cleared electronically.