Daylight overdrafts occur when
A)FIs in different time zones clear transactions.
B)FI debits exceed credits during the day.
C)FI credits exceed debits during the day.
D)the sum of all debits transmitted over the system exceed the sum of all credits during the day.
E)the sum of all credits transmitted over the system exceed the sum of all debits during the day.

Question

Quizplus · Accepted Answer

Daylight overdrafts happen when a financial institution's (FI) outgoing payments (debits) exceed its incoming payments (credits) during the business day, leading to a temporary overdraft position.

Daylight Overdrafts Occur When