English
العربيةEnglishاردوहिन्दी
My account Request a quote
Home / Accountant Library / Glossary / Banking and cash

Bank transfer

In one sentenceMoving an amount from one bank account to another at the same bank or a different one, locally or internationally, on the account holder's instruction.

Simply put

A transfer has a clearer effect than a check: it leaves your account immediately or within a short time, so it does not stay pending like an unpresented check. Always keep the transfer advice attached to the payment voucher.

Watch the transfer fees: the bank deducts them on the statement, so record them as a bank expense so they do not show up as a difference in the reconciliation.

Example

A restaurant transfers 50,000 SAR to its meat supplier from the bank's app. The accountant records a payment voucher for the amount against the supplier's account and attaches the transfer advice, and records the transfer fee that appears on the statement as a bank expense.

Don't confuse it with

Outstanding checksA check may stay for days before it is deducted, while a transfer is deducted from the account when it is executed.

in FullScreen ERP

Receipt and payment vouchers in the system, in cash or by bank transfer, linked to the accounts. General accounts