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BankDirect Glossary

A number of the common banking terms and product names used throughout this Internet site are listed below. If you have come across a word that is not listed here, click Contact BankDirect to send us an e-mail, or ask a Banking Consultant directly by calling 0800 500 400.

Access Code
Access codes are codes assigned to each account you set up. The purpose of these codes is to help you identify your accounts when making ATM, DialDirect or NetDirect transactions. Your Access Code(s) is automatically generated by our system when you open an account(s). They are used to identify your account instead of using an account suffix. This means that when you have more than one base account (i.e. you may have a personal account and a joint account) you can operate all of your accounts using the one debit or credit card. For example, you could have a personal account and a joint account with the suffix 00, so a 2-digit access code is assigned to determine which account is to be used. This is important especially for ATM and DialDirect use. Please note that Access Codes are for internal BankDirect use. If you are giving your account number to an external party, you need to give them your account suffix, not the Access Code.

Account number format
When entering an account number into the "Payable to Account Number" fields in Virtual Cheque, Automatic Payments and Bill Payments, the bank field requires 2 digits and the Branch field requires 4 digits. On some deposit slips, the bank and branch number is combined to form a six digit number. The Account field requires 7 digits, and the Suffix field requires 3 digits, e.g. If a Suffix is 01, then enter 001.
SAMPLE ACCOUNT ENTRY: 12-1234-0123456-002.

Automatic Payments
If you have ongoing payments that you need to make at regular times, and for the same amount each time, then it's ideal to set them up as an Automatic Payment.

You can make Automatic Payments to any Payee (organisation or person) from your BankDirect account. For example, you may want to set up your landlord for rent payments or you could set up your gym (payments can be made to any bank account in New Zealand). All you need to do this within NetDirect is to load the Payee's account number and the details.

Please note, when setting up a new Automatic Payment and you enter a final payment date, it needs to be synchronised with the start date (for the payments). For example, if a weekly payment starts on a Tuesday, then it must also finish on a Tuesday.

The BankDirect system updates overnight from 10pm to about 3am the next morning. During this time, you cannot add, alter or delete Automatic Payments.

ATM
There are over 1,200 Automatic Teller Machines (ATM) New Zealand wide which BankDirect customers can use to withdraw cash.

Bank Cheque
A cheque issued by a bank at your request in circumstances where your personal cheque cannot be accepted.

BankDirect Cash Card
With a BankDirect Cash Card you can access your BankDirect accounts using an ATM to withdraw up to $2000 cash daily, provided you have sufficient funds. You can also use a BankDirect Cash Card to purchase goods and services with EFTPOS up to $2,500 daily.

Banking Consultants
When you call BankDirect you will speak to a Banking Consultant. They are available to answer any questions you may have about BankDirect's products or services. They can also help you open an account, apply for a loan, or make transactions on your BankDirect accounts. They are available 24 hours a day, 7 days a week. Just call 0800 500 400.

Bill Payments
With Bill Payments, you control when and how much you pay. BankDirect already has a number of companies set up to receive your bill payments. Once the payee is set up all you need to do is use the phone or Internet to make a same day or future payment. You can set up a Bill Payee authority by phone or Internet.

New Bill Payment Authorities must be set up in advance. This can be done by selecting 'Add New Bill Payment Authority' within NetDirect (through the Vault) and then following the steps. You can set up pre-assigned Bill Payment Authorities (such as power companies, other financial institutions, phone companies, district/city councils), but please ensure you have a recent invoice from the new Payee handy. A search feature is included on the set up screen to help you select the pre-assigned Payees you wish to load. You can also set up Bill Payment Authorities for all your other regular expenses. All you need to set up a self-selected Bill Payment Authority in NetDirect is the account number and name of the person/company you wish to pay.

Once the Bill Payment Authority has been set up, you can choose which account you wish to pay from, the amount you wish to pay and when you want to pay, up to 30 days in advance (excluding non working days).

NB. If you make a Bill Payment after 8:00pm then you have to enter the next working day's date as the date of payment. This is to allow the system to update overnight.

The BankDirect system updates overnight from 10pm to about 3am the next morning. During this time, you cannot add, alter or delete Bill Payment Authorities.

Daily Limits
A standard daily limit of $60,000 is applied to all payments made via NetDirect as an additional security precaution for NetDirect customers. The limit applies to self-selected NetDirect Payment services - Virtual Cheques, some Automatic Payments and Bill Payments, or combinations of these payments. If your self-selected payments within NetDirect on any one-day exceed the standard customer daily limit, you will be prevented from making any additional payments via NetDirect on that day and will receive an error message.If you wish to transact an amount in excess of this limit, or you would prefer to lower your daily limit, please call 0800 500 400 (or 64 9 308 0308 if calling from overseas) and we may be able to assist.

Direct Credit
The arrangement by which you receive regular payments, such as your salary, directly into your bank account.

Direct Debit
These are payments which, with your authority, are made directly from your account automatically. The amounts can be fixed or variable; if variable the person you are paying must give you prior notice of the amount.

EFTPOS
Short for Electronic Funds Transfer at Point of Sale. You can purchase goods and services, or obtain cash, by using your BankDirect Cash Card or VISA. The purchase amount is usually debited immediately from your account.

Fees
Transaction Fees
- Transaction fees are fees that are charged for the usage of an account. You may be charged differing amounts depending on the type of transaction that you perform. Examples of transactions that may be charged for are ATM withdrawals, eftpos transactions, Bill payments, and Automatic payments.
Base Fees - Base fees are fees that are charged on a regular basis regardless of usage of the account.
Service Fees - Service fees are fees that are charged for services relating to your account. These are not transaction fees or base fees and examples of service fees are, automatic or bill payment loading fees, bank cheque issue fees, replacement card fees.

FlexiLoan
An innovative type of home loan that BankDirect offers when you use a house as security. With the FlexiLoan you pay your entire salary into your 'loan account', and withdraw money to pay for your living expenses. For more information about the FlexiLoan visit the Banking Services in this Internet site, or call a BankDirect Home Loan Specialist on 0800 500 400.

Mobile Lending Managers
A BankDirect mobile lending manager can arrange to come to you, to discuss your home lending needs, call BankDirect on 0800 500 400 to arrange a visit.

NetCODE SMS
netCODE is a code that is automatically sent to your mobile phone when you submit a request to make a large transaction(s) via NetDirect such as Virtual Cheque, Automatic Payments and Bill Payments.

NetCODE Token
netCODE Tokens are electronic devices similar to a pager in size, which constantly produce unique, ever changing codes. The Tokens are used to validate a payment requiring a netCODE.

NetDirect
The name of our secure Internet Banking service.

'Not transferable' or 'account payee only' cheques
Cheques crossed with 'Account Payee' or 'Not Transferable' cannot be transferred to someone else, or cashed. They can only be paid into a bank account in the same name of whoever the cheque is made payable to.

Particulars, Code and Reference fields
These fields appear when you are making a Virtual Cheque, or Loading Automatic Payment and Bill Payment authorities. The Particulars, Code and Reference fields allow you to enter information that you want to appear on your statement and/or your Payee's statement, as a reference to the transaction. These fields are "free format", and you can enter any information you like (please note, each field is limited to 12 characters, except your reference field which is limited to 8 characters). However, some companies may ask you to put specific information in these fields for their statement (e.g. an invoice number, customer number, etc). For Automatic Payments, follow the instructions on the Automatic Payment from provided by the Payee.

For pre-assigned Bill payees, specific information must be entered into the Particulars, Code and Reference fields. If you hover your mouse over the field, a box will appear explaining what you are required to enter (e.g. "Your account number, found in the top right hand corner of your statement"). The Particulars, Code and Reference fields will be named depending on what is required to be entered for each payee. There will not always be three fields to enter information into, this depends on the pre-assigned payee's requirements.

PIN or Password
As a BankDirect customer, you will be asked to choose two PINs (Personal Identification Numbers) and a password so you can access BankDirect services. Your PINs and passwords must be kept confidential to prevent unauthorised access to your accounts.

Reducing Loan
You pay the same amount of principal in each repayment. As the loan balance reduces, so does the amount of interest you pay. Therefore the size of your repayments reduce over the term of the loan.

Savings Account
The name of the BankDirect account for regular saving. See further details in Banking Services, or call a BankDirect Banking Consultant on 0800 500 400.

Server Gated Cryptography
Server Gated Cryptography is (SGC) is the method of encryption employed by BankDirect to ensure any data sent between one computer and another cannot be 'hacked' or interpreted.

Table Loan
This is the most common type of repayment structure where you pay regular even amounts, subject to interest rate changes. If your table loan is for a long term (say 25 years), your early repayments are mostly interest with a small amount of principal. As you pay off your loan, this ratio gradually reverses.

Transaction Account
The name of the BankDirect account for making daily transactions. Refer to details in the Banking Services part of this site, or call a BankDirect Banking Consultant on 0800 500 400.

Variable Rate Loan
The Variable Rate Loan is a conventional loan from BankDirect where you use a house as security. Refer to Banking Services for more information, or call a Banking Consultant on 0800 500 400.

Viewing Transactions
Transactions can be viewed in pages. To use this feature, simply select the number of transactions you want to view by using the "Transactions per Page" drop down box in the "View/Download Transactions" selection area. You have a choice of displaying from 10 to 150 transactions on one page. The default number of transactions per page is 20. If your selection includes more transactions than the amount you have selected for the time period you have selected, then a "Next" button will appear. Simply click this button to view the next page, or click the "Previous" button to move back one page.

For credit cards, paging occurs within each statement period. So you may have two pages for "1 month prior" and then one for "Current" and then two for "Unbilled". Each statement period (month) starts a new statement page.

Virtual Cheque
Virtual Cheque allows you to securely send money to another bank account. Ideal for one time payments where you would normally use a cheque and the recipient would have to wait several days for a cheque to clear. Payment can also be made to almost any New Zealand bank account.

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