Exception Item

DEFINITION of 'Exception Item'

A banking term used to describe a check that cannot be processed. Reasons may include the fact that a stop payment order has been made, the customer's account has been closed or the check is missing a signature.

BREAKING DOWN 'Exception Item'

In recent years, computer software programs have been developed that help bank personnel spot and resolve exception items in a more efficient manner.

RELATED TERMS
  1. Certified Check

    A type of check where the issuing bank guarantees the recipient ...
  2. Rubber Check

    Another name for a "bounced check." A rubber check is a slang ...
  3. Signature Loan

    A type of personal loan offered by banks and other finance companies ...
  4. Checking Account

    A transactional deposit account held at a financial institution ...
  5. Signature Guarantee

    A form of authentication issued by a bank or other financial ...
  6. Regional Check Processing Center ...

    A local Federal Reserve facility where checks that are drawn ...
Related Articles
  1. Investing

    Banking: Check-Writing 101

    By Amy FontinelleThe ability to write checks from your checking account allows you to pay bills or send money to relatives more securely than using cash and less expensively than using a cashier's ...
  2. Personal Finance

    Top 5 Reasons Banks Won't Cash Your Check

    Learn the top reasons that a bank won't cash your check, and find out what steps you can take to prevent those scenarios from happening.
  3. Personal Finance

    2015's Top Checking Account Promotions

    Open a checking account in 2015 and the bank could give you a cash bonus. Check out these top offers.
  4. Markets

    Demystification Of Bank Accounts

    Find out which type of account suits your specific needs.
  5. Personal Finance

    Your First Checking Account

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

    10 Bank Promotions That Pay You To Open An Account

    Find out which banks are running cash promotions this summer.
  7. Trading

    Banking: Managing Your Checking Account

    By Amy FontinelleBecause your checking account is the nexus of all your banking activity - the main place that your money flows in and out of - you'll need to do a few things to keep an eye on ...
  8. Personal Finance

    Best Checking Accounts For Couples

    Being a couple, especially if you both have jobs, can help you qualify for benefits and fee waivers that would be tougher to get on just one salary.
  9. Investing

    The 8 Best Bank Perks

    Many banks are now offering free perks to entice new customers.
  10. Managing Wealth

    10 Checking Accounts the Ultra Rich Use

    These accounts – created specifically for the wealthy – come with special extras such as personal bankers, waived fees and the option of placing trades.
RELATED FAQS
  1. What is the difference between a buy limit and a stop order?

    Learn the difference between buy limit orders and stop orders, including stop loss orders, and understand the risks of the ... Read Answer >>
  2. How do government-issued stimulus checks affect the economy?

    Stimulus checks are payments given to individuals by the government based on taxes paid in the previous year. The hope is ... Read Answer >>
  3. What is the difference between a stop order and a stop limit order?

    Learn the differences between a stop order and a stop limit order. Traders use these as stop losses and regular investors ... Read Answer >>
  4. What does "gather in the stops" mean?

    "Gather in the stops" is a trading strategy used by investors to trigger stop orders already in place so that the price of ... Read Answer >>
  5. Can a checking account affect your credit score?

    Find out if having a checking account can have a negative impact on your credit report. Generally, it doesn't, but there ... Read Answer >>
  6. Can a checking account go negative?

    Find out about negative checking account balances and the ramifications. There is a price to pay, but smart consumers can ... Read Answer >>
Hot Definitions
  1. Glass-Steagall Act

    An act the U.S. Congress passed in 1933 as the Banking Act, which prohibited commercial banks from participating in the investment ...
  2. Quantitative Trading

    Trading strategies based on quantitative analysis which rely on mathematical computations and number crunching to identify ...
  3. Bond Ladder

    A portfolio of fixed-income securities in which each security has a significantly different maturity date. The purpose of ...
  4. Duration

    A measure of the sensitivity of the price (the value of principal) of a fixed-income investment to a change in interest rates. ...
  5. Dove

    An economic policy advisor who promotes monetary policies that involve the maintenance of low interest rates, believing that ...
  6. Cyclical Stock

    An equity security whose price is affected by ups and downs in the overall economy. Cyclical stocks typically relate to companies ...
Trading Center