The following are some of the examples for this.
- The banker has recorded bank charges, interest on overdraft etc.
- The banker has paid insurance premium, subscription for periodicals etc. on behalf of the customer as per the standing instructions.
- The banker has wrongly debited this account instead of some other account.
- The banker has paid the bills payable of the customer as per standing instructions.
- Dishonour of a cheque deposited and discounted bills receivable
In all the above cases, the entry will be first entered in the pass book of the client. And the client will know only after he verifies the entries in the pass book or statement of account. So there might be a time gap of some days before the customer includes the entries made in the pass book.
For example, the bank has debited ABC Company Limited’s account for its charges amounting to $ 500 on May 31, 2000. In case, the bank sends a statement of account upto May 31,2000, there will be a dissimilarity of $ 500 between the balance as per the cash book and the balance as per the pass book.