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 exceeds the sum of all credits during the day

Question

Quizplus · Accepted Answer

Daylight overdrafts happen when a financial institution's (FI) debits exceed its credits during the business day, leading to a negative balance in its reserve account until the end of the day's transactions.

Daylight Overdrafts Occur When