transit item

Definition

Any check or draft that is not issued by the bank where it is deposited in. For example if your bank is Citibank, and you deposit a check issued by Bank of America, this counts as a transit item. These items are separated from checks issued by the bank's own customers and sent to the issuing bank either directly, via a Federal Reserve Bank, or through a check clearing house.

Related Videos




http://www.businessdictionary.com/definition/transit-item.html

Today's Top Bulls

72% Bullish
(36 Votes)
70% Bullish
(103 Votes)
69% Bullish
(26 Votes)
Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z