What is PL account?

Answer 1

A PLS account means Prize Linked Savings account. This is where a savings institute such as a credit union or bank awards a grand prize for people who open and/or contribute to a savings account. It works similar to a lottery to encourage people to save.

Every time someone contribute to their account they are given a ticket. The institute takes the money gained from interest acquired by the loaning of the savings people have and offers it as a whole lump some payout to the person with the winning ticket.

Many states have issues with this because it is seen as a gambling scheme that will affect the states lottery system.

Answer 2

The PL account is in simple terms is the "profit and/or loss" account. For example within T accounting if you have sales of 500 and cost of sales of 300 your T accounts would show a debit of 500 in sales, a credit of 300 in purchases. Books must balance however (double entry bookkeeping) and so the PL t account would be where you input your final credit entry of 200, the profit. The PL account is also transfered to the Income statement, as are the other entrys. Hope this answers your query, Byron