What is the term for the electronic movement of money from one account to another?

The term for the electronic movement of money from one account to another is Electronic Funds Transfer. This process allows individuals or businesses to send or receive money electronically, making transactions efficient and often instantaneous. Electronic Funds Transfers cover a wide range of transactions, including direct deposits, online bill payments, and transfers between bank accounts.

In contrast, while a wire transfer is a specific type of Electronic Funds Transfer that typically involves a bank-to-bank transaction completed through a network such as SWIFT, it doesn't encompass all forms of electronic money movement. Online payments refer to transactions conducted over the internet, which may be a subset of Electronic Funds Transfers but do not cover every method. A bank draft is a payment method that does not involve electronic transfer and is a type of check guaranteed by the bank.

Understanding the broader category of Electronic Funds Transfers is crucial for grasping the various ways money can be moved electronically, highlighting its significance in modern banking and personal finance.