What is a Deposit Slip?
Supplied by banks, a deposit slip can be defined as a form that is completed by an individual, known as a depositor, in order for them to make a cash or check deposit into a bank account. The account can be the individual’s own account or an account of another person.
Deposit slips normally include information separated into the categories, which include the type of instrument being deposited (cash or check). In a case where a check is being deposited, information on where it is from must be provided.
The original deposit slip and the deposit (cash or check) are kept by the teller at the bank, and the depositor is provided with a receipt and sometimes along with a duplicate of the deposit slip. Deposit slips can also be called deposit tickets and depending on the bank, their designs may differ.
- A deposit slip is a form that is completed by an individual, known as a depositor, in order for them to make a cash or check deposit into a bank account. The account can be the individual’s own account or an account of another person.
- For both the customer and the bank, a deposit slip serves as a form of protection. For the customer, a deposit slip serves as proof of payment and as an effective receipt. For the bank, deposit slips are used to keep a record of the funds deposited on a day-to-day basis.
- Both the deposit slip duplicate and the receipt received from the bank must be kept by the depositor for future reference in case a dispute with the bank arises.
Understanding Deposit Slips
Information generally found on deposit slips includes:
The date on which the deposit is being made, the name of the depositor, the account number to which the funds will be deposited, the name of the account holder, the type of deposit (cash or check), and in some cases, the source of funds. Other information can include details of the money received, e.g., coins and the type of notes.
Filling Out a Deposit Slip
The following steps are generally taken when filling out a deposit slip:
Personal information is usually filled out first. It includes the name of the depositor and the account number, along with the name of the account holder to whom the deposit is being made to. Pre-printed deposit slips from checkbooks usually already have the information filled in for the checkbook holder. Additional information, such as the date and branch information, can be filled out.
The next step would be filling in the information on the amount of funds being deposited (coins and bills). If it is not a cash deposit, this can be left blank. In cases where checks are being deposited, they are to be listed individually with their respective check numbers.
After filling in the required monetary information, the depositor fills in the sub-total of the cash and check deposits being made. If any withdrawals are being made from the checks (common for check deposits into own accounts), they are subtracted from the sub-total to obtain the total deposit. Finally, once all the information has been filled in, the depositor is required to sign the deposit slip.
Advantages of Using Deposit Slips
For both the customer and the bank, a deposit slip serves as a form of protection. For the customer, a deposit slip serves as proof of payment and as an effective receipt that the bank in question has confirmed the amount of funds being deposited and the account that the funds will be deposited into.
Should the depositor or the receiver of the funds find that the funds have not yet been reflected in the intended account, they can make use of the deposit slip to follow up on the status of the deposit. The deposit slip provides proof and acknowledgment that the bank has received the funds. Once the teller has accepted the deposit for processing, they normally sign the deposit slip and place the bank’s official stamp on both the original and duplicate deposit slips.
For banks, deposit slips are used to keep a record of the funds deposited on a day-to-day basis. It helps the bank maintain a ledger of the deposited funds, allowing it to ensure that no deposited funds are unaccounted for.
Both the deposit slip duplicate and the receipt received from the bank must be kept by the depositor. Although a receipt provides proof that the deposit was made, the receipt only depicts the amount of the funds deposited and not the other important information that can be found on the deposit slip. In cases where the funds are not yet reflected in the intended account, the bank can request the deposit slip to verify certain information, such as the account number, etc.
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