passbook account

passbook account definition - business

passbook account

A once-popular savings account in which deposits and withdrawals are entered in a small booklet provided by the financial institution. Passbook accounts are very flexible, with no withdrawal penalties, but they typically pay a very low rate of interest.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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