Even though "credit" has the common sense meaning of "raising the balance," it has a very specific meaning in accounting and does not necessarily mean what common sense says it does. For asset accounts, "credit" means a reduction in the balance.
When you deposit cash into a savings account, you are "credited" that amount. That is from the bank's perspective. Your account is a liability to them -- they owe you, at some time, the balance in that account. So what they are doing is increasing that liability balance or crediting it.
Related Fool Articles
Recent Mentions on Fool.com
- Gilead Is About to Disappoint Investors -- but for All the Right Reasons
- SandRidge Energy Inc. Takes Another Step Forward
- Here's Why It's So Easy to Manipulate Ordinary Investors
- Here's What Went Wrong for Everything Energy Transfer in September
- IRS Form 8880 Can Save You $1,000 if You're Saving for Retirement
- The Best Travel Credit Card -- Revealed