There are two ways to record banking transactions: the traditional paper printing transaction recording bank passbook and the digital bank passbook. In this blog, we’ll go over the differences between a traditional bank passbook and a digital bank passbook in depth.
What is a Traditional Bank Passbook?
A bank passbook is a traditional method of keeping track of the number of transactions made and initiated by a user. It depicts all transactions, whether they are credited or debited. It also shows where a person spent money and who credited it to the bank account holder’s account. In a bank passbook, everything is precisely printed. However, a user must have the transaction printed on the bank passbook every time he or she visits the bank to keep it up to date. Here’s some more information about a bank passbook:
- The banking kit includes a bank passbook as well as a cheque book, debit card, and other important banking credentials
- The bank account holder must update the bank passbook by visiting the bank
- There is no other way to update the bank passbook
- A traditional bank passbook is printed on paper
- A bank passbook, which contains a user’s name, bank account number, and other information, can be used as proof
What are the Components of a Bank Passbook?
A bank passbook contains a summary of a user’s bank account information. It is composed of the following elements:
|Bank Passbook Components|
|Name of the bank|
|Address of the bank|
|Name of the account holder|
|Type of bank account|
|Address of the account holder|
|Bank account number|
|Date of opening bank account|
What are the Benefits of a Bank Passbook?
Though the role of a bank passbook is not the most important, it is one of the keys that can let a user know the transaction history from the time a bank account is opened. The following are some of the benefits of using a bank passbook:
Recording account statements
A bank passbook keeps track of the account holder’s transactions. The transactions printed on a bank passbook are permanent. When necessary, a user can consult the transaction history in the bank passbook. It shows the user the time and date of transactions, as well as the amount debited and credited and the total balance.
Easily keep track of transactions
A bank account holder can easily monitor the number of transactions made in a given week/month/year and check the remaining balance using a bank passbook. The transaction history demonstrates the difference between total expenses and total savings, and the difference between them aids in future planning.
Used to provide proof of transactions
A bank passbook can be submitted to organisations or individuals who want to review the user’s financial statements. It can also be submitted to human resources for verification and salary deposit.
Identifies the fraud
A false or suspicious entry in a bank passbook can alert the bank account holder to possible banking fraud. He or she can also notify the bank about the fraud or suspicious activity so that the bank account can be temporarily deactivated or another measure can be taken to protect the bank account holder from further loss.
What are the Limitations of a Bank Passbook?
Some of the limitations of a bank passbook are as follows:
- A user needs to visit the bank to get the bank passbook updated with new transactions
- There is no other way to update the bank passbook
- A user is required to apply for a new passbook once it is filled with transactions
- It is possible that it will be misplaced because the user must carry it with him or her every time he or she wishes to update it
What is a Digital Bank Passbook?
A digital passbook, as compared to traditional bank passbooks, is a digital method of recording transactions that eliminates the need to visit a bank branch. A digital bank passbook displays all transactions made in a given week/month/year, as well as the amount debited. It can be further explained as follows:
- Transactions in a digital passbook are not processed manually
- The passbook is automatically updated whenever a transaction is initiated or completed
- There is no need to visit the bank to have the transactions updated
- Digital bank passbooks can be submitted for a variety of reasons
- These passbooks contain a detailed account of all transactions
- One can segregate the date of the transaction to check the detailed summary of a particular transaction
Benefits of a Paytm Payments Bank Passbook
Paytm is a leading and well-known brand that enables users to conduct a variety of financial transactions quickly and easily. Paytm offers the option of opening a Paytm Payments Bank savings account as one of its services. Paytm Payments Bank savings account is a bank account that provides its users with numerous benefits such as competitive interest rates, physical/digital debit cards, the ability to open an FD in a few taps without paperwork, the ease of completing the KYC, and so on.
When a user opens a Paytm Payments Bank savings account, he or she can access the Paytm Payments Bank passbook to view the transactions made in the previous week, month, or year. The following are the advantages of a Paytm Payments Bank passbook:
- Paytm Payments Bank passbook updates automatically
- A user can access the transaction history at any time
- Paytm Payments Bank passbook can be accessed at any time and from any location, regardless of time or location
- The Paytm Payments Bank passbook can be used to view the overall payment history
- All amounts sent and received in the savings account will be visible in the Passbook.
- ThePaytm Payments Bank passbook can also be used to track order IDs
- By following a few simple steps, a user can obtain the overall payment history
How to Access a Paytm Payments Bank Passbook?
After opening a Paytm Payments Bank savings account, a user can access the passbook by following the steps outlined below:
- Locate and select ‘Paytm Bank.’
- Enter the passcode and then select ‘Bank Passbook’
- Upon clicking, you’ll get a detailed summary of all the transactions you’ve made, as well as your account balance