A cashbook is an accounting term used for an accounting book that has cash receipts plus disbursements, whereas a passbook is usually used with an account such as savings.
The cashbook is going to have all records kept inside for transactions such as cash receipts and disbursements. It can have a different balance than a passbook because it is the overall accounting book. It will have all of the records for the accounts one has. The balance is reconciled with the many transactions the account will see.
- Cashbook
The cashbook is going to have all records kept inside for transactions such as cash receipts and disbursements. It can have a different balance than a passbook because it is the overall accounting book. It will have all of the records for the accounts one has. The balance is reconciled with the many transactions the account will see.
- Passbook
Passbooks are usually used with small accounts that do not have a lot of transaction volume such as a savings account. It is for one account. A person would write down the transaction in the book along with the date. In more recent years it has been possible to use a passbook printer to put in the amounts of the most recent transaction. The bank machine will list the most current transaction such as a withdrawal or deposit into the account. It may not list everything that has gone on in the account if one did not use the passbook printer for a transaction such as an online purchase with the account number.
The passbook will have few details, whereas the cashbook tends to have all of the details about the account. The cashbook is only as up to date as the person makes it when they reconcile the account. It is not connected with the bank, but instead computer or hand written in most cases. Since the passbook is used in the passbook printer it is connected with the bank. This can account for the differences in balance of the different books in terms of how up to date one keeps both records.
