Passbook
Topic: Banking, Credit Creation and Monetary Policy · NCERT: Class 7, Ch 8 "Banks and the Magic of Finance"
Meaning
A passbook is a small, diary-like booklet the bank gives an account holder. It records every receipt (money coming in) and every payment (money going out) in the account, with dates and the balance left after each entry. It lets the account holder check their money and spot mistakes.
Example
Ramesh gets his passbook updated at the branch. It shows a credit of ₹5,000 for the wages he deposited, a debit of ₹1,200 for a withdrawal, and his new balance.
Related concepts
- Deposits
- Savings account
- Current deposit account
- Fixed deposit
- Demand deposits
- Cheque
- Debit and credit
- Interest
- Compound interest
- Interest rate spread