DEFINITION of 'Bank Holiday'

Any business day during which commercial banks and savings & loans institutions are closed for business to the public, specifically at physical locations. These holidays usually coincide with federal holidays in the United States, but each country defines is own bank holidays.

Infrequently, a bank holiday can also refer to a day where there is an emergency bank closure to avert a bank run. This type of bank holiday occurred as a result of the Emergency Banking Act of 1933 during the Great Depression in the United States.

BREAKING DOWN 'Bank Holiday'

In the United States, scheduled bank holidays do not necessarily coincide with stock market or capital market holidays, although they do tend to be federal holidays. There will never be two consecutive business days that are scheduled bank holidays (during which banks are closed to the public.)

Most online banking systems will still allow access by customers even on bank holidays.

RELATED TERMS
  1. Tax Holiday

    A government incentive program that offers a tax reduction or ...
  2. Single's Day

    Singles' Day is a holiday celebrated in China on November 11. ...
  3. Business Day

    A measurement of time that typically refers to any day in which ...
  4. State Bank

    A financial institution that has been chartered by a state to ...
  5. Valium Picnic

    A market holiday or a slow trading day.
  6. Limited Service Bank

    Any type of banking business facility that is located separately ...
Related Articles
  1. Personal Finance

    What Are the Federal Reserve's Bank Holidays?

    Obtain a complete rundown of the federal holidays that are observed by the Federal Reserve Bank and learn how they affect the financial markets overall.
  2. Managing Wealth

    How to Shop for the Holidays on a Budget

    Holiday shopping doesn't have to cost a lot if you make an effort to save. From setting a budget to comparison shopping, consumers have many ways to save.
  3. Personal Finance

    2016 Back-to-School Tax Holidays May Be Skimpier

    This year's back-to-school tax holidays are shorter and less generous than in years past. Here's why.
  4. Insurance

    Why the Holidays Are a Good Time to SellĀ  Your House

    People sell their homes during the spring, but there are benefits to selling during the holidays. Buyers are serious, and there's less inventory to compete with.
  5. Personal Finance

    8 Ways to Maximize Your Holiday Budget

    The holidays will only wreck your budget if you let them.
  6. Personal Finance

    Tips For Avoiding A Holiday Spending Hangover

    You don't have to go into debt to have a happy and memorable holiday season. Use these tips for a bountiful Yuletide on a Scrooge-like budget.
  7. Personal Finance

    8 Tips To Help You Control Holiday Spending

    These tips will have you singing "Joy to the World" well into the New Year.
  8. Investing

    Dissecting Silver's Wild Holiday Ride (SLV, GLD)

    Silver's wild holiday action on the other side of the Atlantic is more likely to signal a short-term top rather rapid uptrend.
  9. Personal Finance

    How To Minimize Holiday Debt Before It Happens

    Holiday expenses can drown you in debt. Find out how to avoid this festive spending hangover.
  10. Investing

    U.S. Stock Market Holidays in 2016

    Learn which holidays will be observed during the 2016 equity market trading year and how they have historically performed dating back to 1990.
RELATED FAQS
  1. What is the best way to budget for holiday and special event spending?

    Even though holidays and special events arrive sporadically throughout the year, you can still fight the costs associated ... Read Answer >>
  2. On what days are the American stock exchanges closed?

    Similar to most businesses, the major stock markets in North America are open for trading on normal business days only (Monday ... Read Answer >>
  3. How does investment banking differ from commercial banking?

    Discover how investment banking differs from commercial banking, the responsibilities of each and how the two can be combined ... Read Answer >>
  4. What's the difference between investment banks and commercial banks?

    Understand the principal differences between investment banks and commercial banks, and the areas of banking services that ... Read Answer >>
  5. What factors are the primary drivers of banks' share prices?

    Find out which factors are most important when determining the share price of banks and other lending institutions in the ... Read Answer >>
  6. What economic indicators are important to consider when investing in the banking ...

    Find out which economic indicators are most useful for investors in the banking sector, especially those influenced by central ... Read Answer >>
Trading Center