Account Holder – Any, and all persons, designated and authorised to transact business on behalf of an account.

Accrued Interest - Interest that has been earned on a bank account but not yet paid.

Balance - The amount of money in an account:

• A positive balance refers to the amount in your account.
• A negative balance refers to the amount you owe the bank e.g. an overdraft on a current account.

Beneficiary - An individual that has the right of enjoyment from the funds in the account and this remains with them throughout the period the money is deposited.

Capital - The amount of money saved or invested in your account.

Credit Institution - An undertaking whose business is to receive deposits or other repayable funds from the public and to grant credits for its own account e.g. your bank.

Current Account - A bank account used to hold money you need on a day-to-day basis. i.e. where your salary is lodged, where you withdraw cash from an ATM and also pay for things you need.

Debit - When money is taken out from your account, it has been ‘debited’ from that account.

Deferred Payment - A payment postponed until a future date.

Deposit - Money placed into a bank for safekeeping. These can be made to savings accounts, current accounts etc.

Depositor - Someone who puts money into a bank account.

Dormant Account - One which has had no money withdrawn from it, or money added to it, for a long period of time.

Exchange Rate - How much your money is worth in relation to another country’s currency, e.g. how many US dollars you’ll get for your pound.

Gibraltar Deposit Guarantee Scheme (“GDGS”) - The GDGS protects depositors, and pays compensation, in the event of a bank authorised by the Gibraltar Financial Services Commission (see below) being unable to repay depositors.

Gibraltar Financial Services Commission (“GFSC”) – Provider of financial services regulation in Gibraltar.

In-default – Banks failure to meet legal obligations (or conditions) i.e. unable to repay depositors their money.

Interest - The money that you earn on a credit balance (e.g. money in your savings account), or the money that you are charged on a debit balance (e.g. an overdraft). The rate is usually linked to the Bank of England rate and can move up or down.

Joint Account - An account owned by two or more persons. Either party can conduct transactions separately or together as set out in the account contract.

Overdraft - A facility allowing you to spend more money from your bank account than you have in it. The bank will usually charge you interest and sometimes other fees as well if you do this.

Resolution and Compensation Unit (“RCU”) – The team who carries out the day-to-day operations of the Gibraltar Deposit Guarantee Scheme (see above).

Temporary High Balance – e.g. payments into a bank account in connection with the following could be categorised as such:

• Real estate transactions (property purchase, sale proceeds, equity release) relating to a depositor's main or only residence
• Personal injury compensation (unlimited amount)
• Redundancy (voluntary or compulsory)
• Inheritance

Trustee - Someone who is appointed to hold the funds in the account for the benefit of the beneficiary (see above).