KINDS OF MONEY

Kinds of money

1. Money based on the material that is used :

    a. Coin money is money that is made of coin

    b. Paper money is money that is made of paper

2. Money based on the institute that carry out :

    a. Cartal money

    Is money that is carry out by the government or sirculation

    bank (Bank Indonesia) as a legal instrument to pay.

        Bank Indonesia has a single right to print and circulate the

    cartal money that is called Oktroi’s Right. Cartal money

    consist of :

    1. Paper money

  Is money that is made of paper and signatured by the   directure and government of Bank Indonesia.

2. Coin money

     Is money that is made of coin (Alluminium, Gold, Silver,

     bronze or the mixture).

 b. Giral money

  Is claims or bill of someone in a bank that can be used as a

  legal instrument to pay. Payment with giral money can be done in these ways :

  1. Check, is a command letter to pay fro a customer that have

     a bill in bank so the bank pays an amount money to the

     party that is mention in the check.

  2. Credit transfer/giro, is a command letter from to bank to         move-book an amount from the customers bill that is      connect with other customers bill that has been pointed.

  3. Telegraphic transfer, is a payment through a telegram that is      done  by moving an amount money between bills in the      same bank.