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Electronic Funds Transfer (EFT)
A type of financial transaction that involves the movement of money between accounts using electronic communication.
More Details
Electronic funds transfer (EFT) is a term used to describe the process of transferring money electronically from one bank account to another, without the need for a physical check or cash.
Example
If you receive your paycheck via direct deposit instead of as a physical check, this is a form of electronic funds transfer.
Related Terms
Balance Transfer
A financial transaction in which an individual moves their outstanding credit card balance to a new card.
Education Savings Account (ESA)
A type of investment account designed to help families save for the future education expenses of a designated beneficiary.
Accrued Interest
Interest earned on a member's loan or debt that has not yet been paid or added to the principal.

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