|Credit transfer, or Giro|
A system in which a bank or post office will transfer money from one account to another on receipt of written instructions. Several accounts, e.g. household or trade bills, may be included in a list which must state the location or account numbers of the payees. Standing orders for giro transfer of regular payments may be made. Credit transfers, which have been used by post offices in Europe for many years, were first introduced into Britain by the commercial banks in 1961 and the Post Office in 1968. Benefits to the customer iriclude the saving on stamp duty payable on cheques (since abolished in Britain) and ecønomies in accounting procedures, though banks.do make a charge for each item transferred.
|Reference: The Penguin Dictionary of Economics, 3rd edt.|