Official Check:
A check drawn on a bank and signed by an authorized bank official. (Also known as a cashier's check.)
Offset, Right of:
Banks' legal right to seize funds that a guarantor or debtor may have on deposit to cover a loan in default. It is also known as right of setoff
Online Banking:
A service that allows an account holder to obtain account information and manage certain banking transactions through a personal computer via the financial institution's web site on the Internet. (This is also known as Internet or electronic banking.)
Open-End Credit:
A credit agreement (typically a credit card) that allows a customer to borrow against a preapproved credit line when purchasing goods and services. The borrower is only billed for the amount that is actually borrowed plus any interest due. (Also called a charge account or revolving credit.)
Operating Subsidiary:
National banks conduct some of their banking activities through companies called operating subsidiaries. These subsidiaries are companies that are owned or controlled by a national bank and that, among other things, offer banking products and services such as loans, mortgages, and leases.
The Office of the Comptroller of the Currency supervises and regulates the activities of many of these operating subsidiaries.
Outstanding Check:
A check written by a depositor that has not yet been presented for payment to or paid by the depositor's bank.
Overdraft:
When the amount of money withdrawn from a bank account is greater than the amount actually available in the account, the excess is known as an overdraft, and the account is said to be overdrawn.
Overdraw:
To write a check for an amount that exceeds the amount on deposit in the account.
Overlimit:
An open-end credit account in which the assigned dollar limit has been exceeded.
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