Definition

Noun: 1. A unique identifier for a financial institution: An ABA transit number is a standardized code used to identify a specific bank or savings association within the United States. It facilitates the routing of money transfers, such as direct deposits, wire transfers, and automated clearing house (ACH) transactions, between financial institutions.

Usage

The ABA transit number is a critical piece of information for processing electronic financial transactions within the U.S. banking system. - It is used by employers to set up direct deposit for employee paychecks. - It is required by individuals or businesses to initiate wire transfers to a specific bank account. - It is used for automatic bill payments and other ACH transfers.

Examples

• "To set up direct deposit, please provide your bank's ABA transit number and your account number."
• "The payment failed because the ABA transit number on the form was incorrect."
• "You can usually find your bank's ABA transit number on the bottom of a personal check."

Advanced Usage

• "Routing Number": This is the most common synonym for ABA transit number in everyday usage. The terms are often used interchangeably.
• "Check Routing Number": Specifically refers to the ABA transit number as it appears encoded on paper checks.
• "RTN" (Routing Transit Number): Another common abbreviation used in banking contexts.

Variants and Related Words

• Routing Number (n): The common, modern term for an ABA transit number.
• Routing Transit Number (RTN) (n): A formal variant.
• ACH Routing Number (n): May be used specifically for transactions processed through the Automated Clearing House network, though it is often the same as the standard ABA number.
• Wire Transfer Number (n): Sometimes refers to the ABA transit number when used for domestic wire transfers.

Synonyms

• Routing Number
• Bank Code
• Routing Code

Related Phrases

• "To route a payment": To send a payment through the banking system using routing numbers.
  • The system will route the payment using the ABA transit number you provided.
• "To validate a routing number": To check if a given ABA transit number is correct and corresponds to a real financial institution.
  • The accounting software automatically validates the routing number before processing the batch.

Noun

1. an identification number consisting of a two-part code assigned to banks and savings associations; the first part shows the location and the second identifies the bank itself