Deposit account: definition, example, and why it matters

Stripe, Square, and other processors transfer collected payments here, typically on a 2-day rolling basis. Separate from your operating account so deposits are easy to reconcile.

• Short definition. The business bank account where payment processors deposit your funds.
• Category. Deposit account is a payments term used by service businesses when billing customers.
• How Glo Invoice handles it. Glo Invoice builds deposit account into the invoice itself, so you don't track it on paper or in a spreadsheet.

Frequently asked questions

What does deposit account mean?

Stripe, Square, and other processors transfer collected payments here, typically on a 2-day rolling basis. Separate from your operating account so deposits are easy to reconcile.

Related terms

• Stripe — A payment processor that lets businesses accept cards, ACH, and wallets online.
• Card payment — A payment made by credit or debit card, processed online or in person.
• Reconciliation — Matching your books against your bank statement to confirm every transaction.