Banking can be confusing! To make it easier, BankMobile has compiled this list of common banking terms and definitions along with common terminology associated with BankMobile and the BankMobile Vibe Account.
General Banking Terms:
ACH: an abbreviation for Automated Clearing House; an electronic network for financial transactions in the United States. ACH is responsible for processing large volumes of both credit and debit transactions between financial institutions. Its rules and regulations are governed by The Electronic Payments Association and the Federal Reserve.
Electronic payments on utilities, loans, and other types of bills are all examples of ACH debit transactions. Specific to BankMobile, a student who opts to have their refund deposited directly into an existing bank account would constitute an ACH.
In accordance with the rules and regulations governing ACH, no financial institution may simply issue an ACH transaction (whether it be debit or credit) towards an account without prior authorization from the account holder known as the Receiver.
Automated Teller Machine (ATM): A machine that allows the customer to get cash withdrawals, check balances and transfer funds. ATMs are generally accessible 24 hours a day, 7 days a week. BankMobile Vibe account holders have fee-free access to over 55,000 Allpoint® ATMs.
Bank Routing Number: Your bank's unique identification number. Also known as a "routing transit number" or RTN. Your routing number is the nine numbers preceding your account number at the bottom left of your check.
Check: A negotiable instrument instructing a financial institution to pay a specific amount of currency from an account.
Bank Statement: A record of all transactions and debit/credit entries in the form of cash, check, or transfer.
Cashier's Check: A check guaranteed by a bank. Cashier's checks are usually treated like cash since most banks clear them instantly.
Credit Card: A plastic card that can be used by the holder to make purchases or obtain cash advances using a line of credit from the card-issuing financial institution.
Debit Card: A plastic card designed to allow a customer access to funds in his/her checking account to purchase goods, obtain cash, or transfer funds from one account to another. Debit cards are accepted wherever you see the Visa or MasterCard logo.
Direct Deposit: A pre-authorized payment automatically deposited to a customer's checking account.
EFT (Electronic Funds Transfer): The computer-based systems used to perform financial transactions electronically. The term EFT is used to describe a number of different concepts including:
- Cardholder initiated transactions in which a cardholder makes use of a credit or debit card.
- Electronic payments by businesses.
- Electronic check clearing.
FDIC-Insured: Federally insured deposits protected by the Federal Deposit Insurance Corporation (FDIC) for up to $100,000 per person.
Fee Schedule: List of fees charged for various banking services including: wire transfers, overdrafts and foreign ATM activity.
Insufficient Funds: Account status when the accountholder's available balance is lower than an amount being debited against the account.
Overdraft: When withdrawals from a bank account exceed the available balance, giving the account a negative balance.
Personal Identification Number (PIN): A code used by the account holder to authorize a transaction or obtain information regarding his or her account.
Stop Payment: A customer's legal right to give instruction to the bank for stopping payment of a check before it has been presented for payment. A fee may be charged for this service.
Uncollected Funds: Funds deposited or cashed against an account with a check that has not yet cleared. Financial Institutions typically place a temporary hold on customers' uncollected funds, making those funds unavailable for withdrawal until the time period of the hold expires.
Wire Transfer: The electronic transfer of funds from one financial institution to another.
BankMobile Specific Terms:
Add Money: The transferring of funds from an outside bank account to your BankMobile Vibe Account.
AllPoint ATM: The ATM network used by BankMobile Vibe Account holders to access their money fee free. To find an Allpoint ATM near you, visit allpointnetwork.com and click on Find an Allpoint ATM.
Available Balance: The amount of funds available minus any amount on hold. This includes all activity-deposits, credits, withdrawals or debits. Note: A temporary hold is placed on your account almost immediately to prevent overdrafts.
Example: The beginning balance on your BankMobile Vibe Account is $1,000. After purchasing clothes online for $100, your available balance is now $900.
Automatic Bill Pay: An electronic payment scheduled by the cardholder with a service provider or merchant (also known as the "Payee") that accepts Debit MasterCard®.
BankMobile Vibe: One of the options for your refund preference. (The other is an ACH to your existing personal bank account. See ACH at the beginning of this glossary.) If you open a BankMobile Vibe checking account (upon identity verification), money is deposited the same business day BankMobile receives funds from Ivy Tech. Funds are sent two business days after the refund posts on your student account. (If you select ACH – it takes an additional 1-2 days.)
CIP (customer identification program): Verification process that must be completed after an account is created. Federal banking regulations require all financial institutions to obtain, verify and record the identity of their account holders. BankMobile complies with this federal directive by requesting a legible copy of any government issued identification. Note: In all cases, BankMobile pledges the protection and confidentiality of your personal information.
EasyHelpSM: Vibe Account online help available through BankMobile 24 hours a day, 7 days a week.
Funding Account: The bank account used to add money or "fund' your BankMobile Vibe Account. The funding account is directly linked to your BankMobile Vibe Account.
Online Bill Pay: The ability for an account holder to pay bills online. Note: This feature is set up through your BankMobile Vibe Account.
Payee/Payer: Payee-the party at the receiving end of a payment. Payer-the individual or entity making the payment.
Pending Transaction: Once your card is swiped at a merchant's card terminal, the transaction total is "held" for three (3) business days, allowing the merchant enough time to debit your BankMobile Vibe Account.
Refund Preference: The selection of how you'd like to receive any refund owed to you from your school.
Send Money: The transferring of funds from your BankMobile Vibe Account or outside bank account to another BankMobile Vibe Account.
Sign for it: Phrases used to promote signature based transactions with the BankMobile Vibe Account. When using your card for purchases, you can authorize a purchase by using your PIN or by signing the receipt. Note: signing the receipt means you may be better protected. BankMobile offers you peace of mind by providing the MasterCard® Zero Liability policy when you make signature based purchases with your Debit MasterCard. Zero Liability means you are eligible for protection against fraudulent purchases made with your card. Be sure to always safeguard your card and report a card theft promptly. Learn more about terms and details of the Zero Liability policy provided by BankMobile.