Introduction: This online exercise on bank vocabulary, looks at and explains the English vocabulary used for both having and using a bank account.

Juan:'But what if I want to see more information than just the balance of my bank account. What do I do if I want to see the transactions on the account. What money has been deposited in it (when and from who) and what money has been taken out from it (when and to who)?'
Peter:'All this information is contained in a document called a bank statement. Normally, banks send you a bank statement every month. But you can also go and get one from a branch and from some cash machines.'
Juan:'And if I want to move money from my bank account to somebody else's bank account. How would I do that? Would I have to withdraw the money and then go with the money in my hand to their bank and deposit in their bank account?'
Peter:'You can do that, but it's not very safe to walk around with a lot of money. It's safer to write the person a cheque, which is a piece of paper from the bank that people use to pay other people from money in their bank account. The problem with using cheques is that when the person gives their bank the cheque, it takes 3 days to clear. That means that it will be 3 days before the money is moved to their bank account and they can use it.'
Juan:'Is there any better method to move money?'
Peter:'Yes, there is. Banks provide a service to their customers where they move your money electronically to another person's bank account. This is called a bank transfer. You just need to need to know the other person's bank account details, their bank account number etc... When you make a bank transfer the money is moved instantly.'
Juan:'Ok.'
Peter:'There are two types of bank transfers which are very useful if you have to make regular payments to people or companies and want them to be done automatically. If you need to pay or transfer a fixed amount of money which doesn't change to a company or someone regularly (e.g. every month or 3 months), then you can create a standing order on your bank account. Money will then automatically be repeatedly transferred out of your bank account until you stop the standing order.'
Juan:'That sounds useful. But that wouldn't work where the amount of money you have to move or transfer changes every month or 3 months. For example, for paying electricity or phone bills.'
Peter:'No, the amount transferred doesn't change with a standing order. Where the amount of money transferred changes every time, you have to use an automatic bank transfer called a direct debit. Also with a direct debit, the time when money is taken out can change (it doesn't have to go out of your account on a regular date). This type of bank transfer can only be used to transfer money to companies. With a direct debit, you give permission to the company withdrawing money from your bank account to change the amount they take without telling you first.'