by A passbook or bankbook is a paper book used to record bank or building society transactions on a deposit account.
A page with a pre-printed table. It has handwritten entries showing amounts of deposits and withdrawals, and the balance. Each entry has a post office date stamp.
Traditionally, a passbook is used for accounts with a low transaction volume, such as savings accounts. A bank teller or postmaster would write by hand the date and amount of the transaction and the updated balance and enter his or her initials. In the late 20th century, small dot matrix or inkjet printers were introduced that were capable of updating the passbook at the account holder’s convenience, either at an automated teller machine or a passbook printer, either in a self-serve mode, by post, or in a branch.
Credits and deposits
To add credit to an account by bringing cash to a bank in person, the account holder can fill a small credit slip or deposit slip. The total amount of each note and coin is counted and entered on the slip, along with who it is paid in by and the date. The cash and details are counted and checked by the teller at the bank, if everything is in order the deposit is credited to the account, the credit slip is then kept by the bank and the credit slip booklet is stamped with the date and then returned to the account holder. An account holder uses their passbook to record their history of transactions with their bank.
Debits and Withdrawals
Withdrawals normally required the account holder to visit the branch where the account was held, where a debit slip or withdrawal slip would be prepared and signed. If the account holder was not known to the teller, the signature on the slip and the authorities would be checked against the signature card at the branch, before money was paid out. In the 1980s, banks adopted the black light signature system for passbooks, which enabled withdrawals to be made from passbooks at a branch other than the one where an account was opened, unless prior arrangements were made to transfer the signature card to the other branch. Under this system, the passbook’s owner would sign in the back of the passbook in an invisible ink and the signing authorities would also be noted. At the paying branch, the signature on the withdrawal slip would be checked against the signature in the book, which required a special ultraviolet reader to read. Nowadays, customer verification is more likely to be by PIN and commonly from an automated teller machine.
Features of a Pass Book
A pass book resembles a lot like a ledger and all the transactions are entered by the banker. It too has a debit column and credit column to enter the deposits and withdrawals. A brief description of each transaction will be given in the descriptive column. This enables the account holder to have a clear idea of his transactions. Its main function is to act as a unquestionable record of banking transactions between the customer and the banker. If you notice any change in the entries made in your pass book, you will have to bring it to the attention of the concerned person then and there. It is considered to be the duty of the account holder to examine his pass book for any wrong entries. The bank will also not acknowledge the deposit of any sum that is not mentioned in your pass book. Hence examine your pass book and get the transactions recorded once in a while.
Loss of a Pass Book
It is the responsibility of the account holder to keep his/her pass book safely and the bank will not take the responsibility related to the loss of a pass book. When your pass book is lost, mutilated or destroyed, you can apply for a duplicate one. However, a charge of Rs. 50.00 applies in this case, even though the original pass book was issued free of cost. At certain cases, the bank may waive off the said amount if the bank believes that the depositor had no control over the pass book being lost or destroyed. It is your responsibility to immediately inform your bank regarding the missing of your pass book. You may have to fill up an application form or sign a letter of indemnity to get a duplicate one. Once you get the new pass book you can request the banker to include all the previous transactions in it but the bank may charge a nominal fee for the extra labour work involved.
