# Zero-balance account (ZBA)

- Canonical URL: https://www.gerhardmerk.de/zero-balance-account-zba
- Post ID: 590542
- Modified: 2023-07-25T21:11:31+00:00
- Language: en

## Definition

A customer settles his transactions via an account at the bank, which the institution keeps balanced at all times. This is because any overdrafts are immediately balanced by a second account held by the customer with the bank, the parent account (concentration account). On the other hand, an accumulating credit balance on the account transfers the electronic system to the customer's parent account (a bank checking account that can accept deposits and/or make disbursements but that is always kept at a zero balance. This is maintained by transferring just enough funds from or to a second account of the customer, the concentration account, to offset each day's activity. The concentration account is sometimes called the parent account and the zero-balance account is now and then called the daughter or subsidiary account). - See Account Balance Adjustment, Transfer Account. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, Dipl.rer.pol. E-mail address: info@ekrah.com https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk https://www.jung-stilling-gesellschaft.de/merk/ https://www.gerhardmerk.de/

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