Investopedia

Continue to Site »

Depository Transfer Check - DTC

Filed Under »
Dictionary Says

Definition of 'Depository Transfer Check - DTC '

A check used by a designated collection bank for depositing the daily receipts of a corporation from multiple locations. Depository transfer checks are one method of ensuring better cash management for companies that collect cash at multiple locations.

A third-party information service first transfers data on the day's receipts from the facility manager at each location to a concentration bank. Based on that data, the concentration bank then creates DTCs for each deposit location and enters them into the check-processing system.

A DTC is also known as a "depository transfer draft."
Investopedia Says

Investopedia explains 'Depository Transfer Check - DTC '

A DTC looks like a personal check, except that "Depository Transfer Check" is written across the top center of the face of the check, and the DTC does not bear a signature.

ACH has gradually dislodged DTC-based systems because it is faster, cheaper and more efficient. Firms that are not part of an ACH network must still use DTCs.

Articles Of Interest

  1.

    The Ins And Outs Of Bank Fees

    These service charges could nickel and dime you right out of your nest egg.

  2. Your First Checking Account

    This owner's manual will show you what to expect from your bank.

  3. Choose To Beat The Bank

    From internet banking to credit unions, it's in your power to cut fees and maximize service.

  4. Demystification Of Bank Accounts

    Find out which type of account suits your specific needs.

  5. Financial Career Options For Professionals

    Find out if spreading your wings to try a new career will make you soar or fall flat.

  6. Banks Will Be Under More Stress In 2012

    The FDIC has proposed new regulations for banks.

  7. The Banking Industry In 2012

    Major banks in 2012 can expect to lose customers as they struggle with the Dodd-Frank Act and new fees.

  8. Why You Should Stick With The Big Banks

    Big doesn't always mean bad. We tell you four reasons why.

  9. The Banking System

    Banks have been with us as long as money. Here is a detailed breakdown of how banks and the banking system work.

  10. 5 Ways Banks Will Pad Their Profits This Year

    Recent regulations have banks looking for new ways to make money. Find out how your banking will be affected in 2011.
comments powered by Disqus
Marketplace
Hot Definitions

  1. Abatement Cost

    A cost borne by many businesses for the removal and/or reduction of an undesirable item that they have created.

  2. Validation Period

    The amount of time necessary for the premium on an insurance policy to cover the commissions, the cost of investigation, medical exams and other expenses associated with the issuance of the policy.

  3. Winner's Curse

    Because of incomplete information, emotions or any other number of factors regarding the item being auctioned, bidders can have a difficult time determining the item's intrinsic value. As a result, the largest overestimation of an item's value ends up winning the auction.

  4. Glocalization

    A combination of the words "globalization" and "localization" used to describe a product or service that is developed and distributed globally, but is also fashioned to accommodate the user or consumer in a local market.

  5. Disaster Loss

    A special type of tax-deductible loss, similar to a casualty loss, where a loss has been incurred by taxpayers who reside in an area that has been designated as a federal disaster area by the President.

  6. Fool In The Shower

    The notion that changes or policies designed to alter the course of the economy should be done slowly, rather than all at once.
Trading Center