Receipt of this will be acknowledged by the manager, thus:—
Dear Madam,
I beg to acknowledge receipt of your favour of 24th inst., with enclosure, value £34 12/, for your credit.
Yours, etc.,
Jacob Birchenough,
Manager.
To every person keeping an account the bank supplies a book, generally known as a pass-book. On the Dr. or left-hand side of this book, will appear the sums received on behalf of the owner of the book; whilst all the cheques paid on her account by the bank will appear on the Cr. or right-hand side. Here is an example in which, for convenience, we have printed the Cr. side under the Dr., instead of side by side:
| The Cosmopolitan Bank. in Account with Miss Esmeralda Beatrice Bones. | ||||||
| Dr. | ||||||
| 1886 | ||||||
| Sept. | 6 | To | Cash | £60 | 0 | 0 |
| 13 | ” | Draft | 14 | 7 | 6 | |
| 23 | ” | do. | 4 | 1 | 8 | |
| 29 | ” | Bill | 17 | 18 | 0 | |
| Oct. | 2 | ” | Notes | 15 | 0 | 0 |
| 1886 | Cr. | |||||
| Sept. | 9 | By | Twentyman | £ 3 | 5 | 0 |
| 15 | ” | Self | 10 | 0 | 0 | |
| 25 | ” | Jones | 5 | 1 | 3 | |
| Oct. | 6 | ” | Williamson | 4 | 9 | 8 |
| 12 | ” | Thomson | 27 | 2 | 5 | |
In this book you must never make an entry yourself. It should be left at regular intervals at the bank to be “made-up,” that is to say, for all the sums received and paid to be entered in it. The pass-book is really a copy of the bank ledger. When received again from the bank it should be gone over carefully to see that all the entries are just as they should be.
Current accounts, as a general rule in England, do not bear any interest, in other words, the banker pays nothing for the use he enjoys of any balance left in his hands. Unless the balance is large he thinks he does enough in taking the trouble of keeping the account. In Scotland interest is usually given on current accounts, but it is only a slight advance upon nothing.
Besides receiving money on current account, however, bankers receive it on deposit. Deposit accounts are those in which sums of money are lodged in a bank on the understanding that a certain rate of interest is to be paid upon them, and that a certain number of days’ notice is to be given before they are withdrawn. There is no such thing as drawing cheques on a deposit account.
When money is received on deposit, a deposit receipt is given. The amount is usually repayable to the depositor alone, but it may also be paid to anyone to whom the depositor gives an order on the bank, either written on the back of the deposit receipt or accompanying it.