Debit or Credit

When I moved into town I opened a bank account to arrange for direct deposits of my military pay. I opened the account with two newly received checks... the additional income was from government disability. Days later I returned to withdraw money for rent or grocery and was blocked by a bank agent threatening to call authorities on me if I did not leave the bank. She claimed I had a "deficit" in my account. I hadn't written a check nor made a withdrawal. The debit/credit process was explained to me by her... in total opposite of the standard GAAP process taught in college accounting courses everywhere via the FUNDAMENTALS OF ACCOUNTING by McGRAW HILL PUBLISHERS.

THERE IS A BIG DIFFERENCE in recording a debit transaction if you are the banking institution as opposed to the bank account holder. Recording a debit transaction done by shoppers at a local market are slightly more obvious... money is removed from the shoppers bank account balance immediately. If he uses a credit card, the amount of credit available is diminished by total cost of purchases... not his bank balance. Here, also, is a big difference in recording what is yours in reference to your business asset, and what is yours in reference to the bank's records of your business's bank assets. Once you designate moneys as set aside for a business, that amount is no longer recorded under your personal account... it beomes the business's money and increases that account, while reducing your personal asset account by the amount set aside... given to, your business. For this explanation, reference will be made to personal banking deposits and expenditures. We will let your business be your own... under your name in a personal account. But remember, under your name are also the annual tax returns... business and personal. Do accounting principles change?

McGRAW HILL PUBLISHERS, FUNDAMENTALS OF ACCOUNTING,

"A change in accounting principle can be required by newly issued guidance or as the result of a decision by the reporting entity to adopt a different accounting principle on the basis that it is preferable. How often do accounting rules change?

In general, accounting policies are not changed, since doing so alters the comparability of accounting transactions over time. Standard practice only changes a policy when the update is required by the applicable accounting framework, or when the change will result in more reliable and relevant information. It remains standardized, not only within an institution but around the world for equalization purposes."

The progression over time that altered the means of technology in accounting measures allow for changes for recording those measures only. It does not alter the amount of any account being documented, it merely documents a coded transaction for the funds moved from one account to another.

In this, we have not addressed TAX ACCOUNTING which adds an entirely new level of deductions from and to personal and/or business accounts increasing and decreasing monies held. Real estate and Real property, like Intangibles add another level of complication to accounting, outside recording basic debit and credit.

I moved downstate to complete a dual degree in my university program which was to be funded by my VETERAN BENEFIT under VETERAN AFFAIRS as arranged by a VETERANS REPRESENTATIVE at the regional office before my having relocated. The purpose for performing this task in the area chosen was to avoid the high stress and extreme traffic pressures of completing the program of three college courses at University of Illinois in Chicago which would require a daily trek to and from Chicago's near west side from the south suburbs. The calm nature of the state's capitol city and the lesser drive distance would aid in avoiding disruption of my condition. Once relocated, I applied for a new personal checking account at UCB... an entity not yet in our suburban hometown region to the north. I deposited my checks from two government agencies and left with account origination documents. I used one of the "new account" checks to purchase a small amount of groceries at less than $25. Later, I returned to inquire as to "why the check used to pay my rent was not clearing on my bank account" and was told that it "...was not my account." The bank manager and senior bank representive doubled the statement made that my money was not my own. My money was not returned and the two of them insist to this day that they were correct in their accounting. The Veterans Disability Benefit and the Social Security Disability funds alloted me for and during the ongoing treatment and observation of continued development of injury from a military incident were denied at that bank despite their recording personal identification via state and federal credentials. They withheld my money. By the next month I secured an account at a different bank and closed the UCB account. They insisted that "debit/credit" function was opposite of that shown above.