Counter Credit: Best Easy Guide on Understanding Counting Credit

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Being an account holder will expose you to certain bank terminologies capable of making you tense. Counter credit is one of those terms you are likely to spot in scanning through your bank statements. The term mainly explains the source of the money sitting in your account.

Carrying out transactions in the banking hall or across the counter has tarried over time. Internet banking to a large extent reduces the number of people who frequent the banks.

However, depositing your money by yourself is one practice that will stand the test of time.

Reading through your account statement, you will see every activity that occurs in your account over a period of time.

Hence, this will help you keep track of your financial activities with your bank across the counter and on the online platforms. In other words, you can tell how you arrived at a particular sum of money in your account.

This article aims at educating you on what counter credit is and how it works in the banking sector. Read through to have a deeper knowledge of counter credit and other banking concepts.

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What is Counter Credit?

Counter credit is the deposit you make across the counter in your bank or financial institution.

In the same vein, it involves you going to your bank to make a deposit through a teller. Hence, the moment you walk into the bank and make payment by yourself over the counter, it will reflect as a counter credit.

This procedure is as old as time in the banking sector. The process has recorded a decline since the introduction of the internet banking system. However, internet banking and other deposit mediums can’t eradicate this payment type.

You will find the counter credit process easier than it seems.

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What are The Methods of Counter Credit?

We have more than one method of depositing money into the bank or your account over the counter. You can make a counter through the following ways:

  • Cash
  • Check

You can choose to deposit through cash or check. Choosing the medium that works for you is all that matters. The important thing is to get the money into your account.

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Do We Have Another Name For Counter Credit?

Yes, we do. Counter credit is also referred to as a counter deposit. In other words, they are one and the same thing.

Now you know this, you can use both terms interchangeably. So, the next time counter credit reflects in your account statement or summary, know it is the deposit you made.

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What is a Counter Deposit Slip?

A counter deposit slip is a slip that you need to fill out before depositing your money. It requires information like your name, the amount you intend to pay in, your signature, and your account information.

The counter deposit slip is vital in the depositing process. Therefore, you should fill out your details carefully to prevent an error or a delay from taking place. You have to provide your information in the slip before approaching the teller.

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How Does Counter Credit Work?

Making a counter credit is really easy. Firstly, walk into your bank and locate the table where the deposit slips sit. You will have to carefully identify the account type you need since the banks place more than one account slip together.

Most financial institutions have different deposits for checking and savings account. Hence, you have to ensure you pick the right deposit slip.

Secondly, include the information the bank requires for the transaction. You will also need to state the amount of cash or check you want to deposit in the space provided. Input your account number where necessary.

In a situation where you can’t remember your account number, feel free to ask a teller for help. The teller will provide your account number with the help of your identification.

Lastly, after filling out the slip, present it along with the cash or check to the teller. The teller will credit your account and offer you a receipt for the successful transaction. This transaction is what is reflected on your bank statement as a counter credit.

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Who is a Bank Teller?

A teller is a bank employee who processes transactions, especially over-the-counter transactions. This employee is responsible for receiving and handling deposits and withdrawals.

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What Does Counter Credit Mean on My Bank Statement?

Counter credit on your account statement simply means an in-person deposit. Likewise, it is the deposit you make across the counter.

Now that you know what counter credit means, don’t entertain worries when next it reflects on your physical or E-statement. It informs you that the fund was paid in over the counter.

The inclusion in your bank statement separates in-person transactions from other transactions such as ATM and online transactions.

This differentiation help in creating mutual understanding between you and your financial institution. It eradicates the confusion that would likely come up by identifying the source of the fund.

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Advantages of Counter Credit

Let’s look at some advantages of counter credit:

  • Safety: You will feel safer depositing your funds across the counter. A lot of business owners or people handling lots of cash feel safer depositing their money across the counter in the bank.
  • Accuracy: This process affords you the opportunity to be present when the teller is sorting out your transaction. The tellers count and recounts the money in your presence. Thereby, eliminating room for errors.
  • Technological glitch: One reason why people stick to transactions across the counter is technologically related. Many try their best in avoiding the challenges that come with the technological aspect of making deposits. These challenges include, software maintenance break, internet outages, and power outages.

Disadvantages of Counter Credit

  • Time-consuming: If you are in a hurry, or you dislike waiting in line, then you will disapprove of counter credit. You may end up spending more time in the bank.
  • Inconvenience: Since you have to be physically present in order to carry out the transaction, the timing may not be favorable for you. For example, to carry out a transaction online, you only need internet connection, a smartphone, and your mobile banking app. Hence, this method may be difficult for you if you are tied up at work or extremely busy.
  • Inconsistency: Imagine walking into the bank only to discover that the tellers are out for lunch. You may get impatient epecially if you are in a hurry to get back to work or other activities.
  • Closure: Unlike online banking and the use of ATMs, banks are regulated by time. Therefore, they don’t open during weekends. They also suspend operations during severe pandemics.

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Example of a Counter Credit

If you walk into your bank and make a deposit of $1,000, you will be credited with the sum.

However, when you check your mobile banking app for the transaction, it will be reflected as a counter credit of $1,000. Similarly, the same thing happens when you deposit a check.

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Can a Counter Credit be Made Into Someone Else’s Account?

You can also make a deposit into someone else’s account over the counter. All you need to do is walk up to the teller after following the due process to make the deposit.

For instance, you can gift a friend or loved one with a cash deposit.

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What Does PayPal Show Up as Bank Statement Mean?

Paypal presents you with a summary of the personal payments or purchases you carry out using your bank.

When you purchase an item and make a payment using your bank account or card, it will reflect as PayPal and equally display the seller’s name on your account statement.

How Can You Use a Counter Credit?

You can spend a counter credit as long as you have access to it after it is paid into your account. This largely depends on the policies of your financial institution. Therefore, you may have to wait for a couple of hours or days before you can have access to it.

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How Long Does Counter Credit Take to Clear?

The length of time it will take for the counter credit to clear depends on a number of factors. They include:

Time of the day: If you want your financial institution to clear your counter credit on time, then deposit it in the morning. In doing this, you put yourself in a better position for it to be cleared on the same day or the next.

Your bank: It takes some banks more time to clear a counter credit. Truth be told, some banks perform better or are more efficient than others. Hence, your counter credit can take a much longer time to clear depending on the operating speed of your bank.

Method of deposit: It is a fact that cash clears way faster than checks. A personal cheque can take days to clear. On the other hand, if the check was issued by the government, it can clear within a shorter time.

Work days: Bank employees stay home on weekends and public holidays. Therefore, if you make a counter deposit a day before a public holiday or weekend, it can only clear on the next official day at work.

Why is Counter Credit Still Used?

A lot of people are familiar with this system and prefer to continue with what they already know. In spite of the fact that other payment methods promise ease in conducting transactions, they still prefer this method.

The older generation is particular about using it. They feel more comfortable with it. Hence their need to keep using. On the contrary, some young people out there equally enjoy using counter credit.

Understanding Bank Statement Management

Your financial institution tenders the bank statement to you at the end of the month. It summarises the money flow for a specific amount of time. Banks usually issue out these statements monthly.

The statement of account helps you keep tabs on your account and spending. You will agree with me that making purchases or spending without your bank documenting it would lead to confusion.

Therefore, the statement gives you a rundown of all the funds that enter and leave your account.

Your ideal bank statement will contain information like opening balance, summed transactions, and closing balance. You also notice that your closing balance for the previous month will serve as your opening balance for the next month. When you receive the statement of account, you can read through and compare it with your own record for any error.

It is equally important for you to get your credit card statement. This statement contains information on your purchases. Therefore, it will alert you of any transaction you did not authorize. This will alert you if you have become a victim of credit card skimming, shimming, E-skimming, or other card fraud.

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What Does Customer Withdrawal Image on Bank Statement Mean?

The withdrawal image on your bank statement can mean either of the following:

  • It simply means you carried out a financial transaction with Bank of America which has been recorded in your bank statement.
  • It can also imply that you took a short-term loan and authorized your account to repay the loan.

What is The Difference Between Credit and Counter Credit?

Credit refers to any fund that lands in your account. It doesn’t matter whether it is an in-person deposit or done by someone else. The mode of deposit also doesn’t count. Therefore whether you make a deposit over the counter, online, or using the ATM, it is still credit.

Counter credit, on the other hand, is a money depositing method in which you can deposit your money over the counter.

So while credit covers any money or fund that enters your account, counter credit is a type of depositing credit over the counter.

What Does Credit Control By a Central Bank Mean?

Credit control by a central bank refers to a process through which the central bank monitors the credit available which will, in turn, be comfortable for its citizens.

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What is Counter Credit Bank of America?

Bank of America counter credit is the same as the regular counter credit. Similarly, it implies depositing funds over the counter in your financial institution.

Counter Deposits Versus ATM Deposits for Depositing Cash

Counter or in-person deposit requires you to fill the deposit slip with the necessary information. You will then wait in line before handing it over to the teller to complete the process.

The teller receives the money from you and counts it before crediting your account with it. The process is really simple. You can get the credit alert right away.

On the other hand, you can credit your account using the ATM. You may have to fill out a deposit slip. Unlike the counter deposit, this method takes longer to clear.

Ensure you confirm the amount of money you are depositing before pushing through the process. However, it may take a day or more for the funds to reflect in your account.

Depositing Checks In Person Versus Using an ATM or Mobile App

Visiting your financial institution to pay in a check can be quite simple simple. All you have to do is sign behind the check, fill out a deposit slip, and hand it over to the teller to complete the process.


You can also deposit checks through ATMs that are deposit enabled. ATMs offer a convenient way to make check deposits during or outside normal banking hours.

Using the ATMs to deposit your check is convenient as it has no time limitation like the banking hours. You have to use your financial institution’s ATM or other credit union’s ATM if your credit union permits it.

On the flip side, the check might not clear as fast as the check you deposit over the counter. It has to go through a verification process before it will start reflecting in your account.

Mobile Apps

Depositing a check using your bank’s mobile app is very convenient. You can do this in the confines of your house or wherever you are with your smartphone. You only have to endorse the check, take a picture of the front and back, and then deposit it.

Before the check will clear, it will also go through a verification process. Consequently, it won’t clear immediately.

Credit Card Protection

As an account holder with any financial institution, you owe it to yourself to protect your credit card from fraud. Credit card fraud and identity theft are on the increase daily. Hence, you have to guard your card against every kind of credit card fraud.

The following are types of credit card fraud:

Counterfeit and skimming/shimming fraud

This fraud takes place when a special device is inserted into a card reader or ATM to obtain credit card details.

The fraudster then retrieves the device called the skimmer or shimmer as the case may be. He collates this information and uses the details to defraud the owners of the cards. Credit card skimming, shimming, and E-skimming work similarly in obtaining credit card details.

Card not present fraud

This credit card fraud mainly occurs after a card is stolen and used in making purchases. It ranks as the highest of all credit card fraud. It mainly occurs online and over the phone without using a physical card.  

False application fraud

This particular card fraud happens in different ways. The fraudster can open an account using your name and incur a lot of debt. In the long can eventually destroy your credit rating.

The scammer can also request a card using a different identity, then link your bank account to the card. In other words, you get to handle all the repayments.

Lost and stolen card fraud

This occurs when you lose your card and it is picked or stolen by thieves. It is then used until the card reaches its credit limit, is canceled, or suspended. Therefore, it is important for you to protect your card while with it or place it in a secure spot.

Card never arrived fraud

You may apply for a card and it gets intercepted by fraudsters, which they will use in draining your account

Banking, Money, and Credits: The Tripodal Relationship

People save their money and other valuables in the banks. They do this in order to earn interest and most importantly, secure their money against fraud or theft. Banks operate for the sole purpose of safeguarding customers’ funds and at the same time give out loans or credit with an interest rate.

The relationship that exists between these three is a chain reaction. In other words, they all depend on each other to function. For instance, individuals need to save their funds and assets in the banks and gain interest in the long run. The banks, in turn, save these funds and assets and loan them out to other people at high-interest rates.

However, the entire process is a risk to all parties as there will be dire consequences if lenders don’t pay back their credit. The credit banks give play a significant role in the economy as people mainly invest them in properties and businesses.

On the other hand, banks make money or income from other means from whence they pay you interest. They include the following:

  • Savings deposits
  • Credit card business
  • Custodian deals
  • Buying and selling currencies
  • Cash management services

So, when next you come across the terms, banking, money, and credits, remember that they share a symbiotic relationship.

Common Bank Abbreviations

You may want to know some common bank abbreviations to enrich your bank transaction vocabulary. The next time you walk into the bank to carry out a transaction, you may want to remember the following:

  • DD or DDR – Direct Debit
  • BP – Bill payment
  • CHG – The charge applied to your account
  • SO – Standing Order
  • APY – Annual Percentage Yield you earned by interest in your account.
  • TFR – Transfer of money between bank accounts
  • APR – Annual Percentage Rate applied for service charges like your credit card balance.
  • OTR – Online Transaction
  • NSF – Nonsufficient Funds


What is a counter deposit?

A counter deposit is a deposit you carry out over the counter.

What does a counter credit mean on your bank statement?

Counter credit on your bank statement simply refers to the cash or check deposit done over the counter. It differentiates it from other deposits.

What is the difference between counter credit and credit?

Counter credit is the deposit you make over the counter in the bank. In other words, it is a specific method of credit. Credit on the other hand refers to any deposit into your account. So whether you deposit through the ATM, over the counter, via transfer, it is still credit.

Can a counter credit be made into someone else's account?

You can make a counter credit into someone else’s account. You just have to go through the same in-person process and provide the necessary details.

how long does counter credit take to clear?

This largely depends on a number of factors. Such as your bank’s efficiency, the time of payment, method of payment (cash or check), and workdays. If these factors work favorably for you, then it will clear quickly.


Counter credit is an old but consistent method of depositing your money in the bank. From all indications, this method seems to be going nowhere. This article is your best shot at understanding counter credit and the features surrounding it.

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