B2 noun Neutral

Transaction

/trænˈzækʃən/

An occasion when money is exchanged or business is done; the act of buying or selling something.

Examples

3 of 5
1

I completed the transaction online using my credit card.

I finished buying the item on the internet with my card.

2

The details of the financial transaction are strictly confidential.

The information about the money exchange is private.

3

Did the transaction go through yet?

Has the money been moved or the sale finished?

Word Family

Noun
transaction
Verb
transact
Adjective
transactional
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Memory Tip

Trans-action: The 'action' of 'transferring' money.

Quick Quiz

Please keep your receipt as proof of the ______.

Correct!

The correct answer is: transaction

Examples

1

I completed the transaction online using my credit card.

everyday

I finished buying the item on the internet with my card.

2

The details of the financial transaction are strictly confidential.

formal

The information about the money exchange is private.

3

Did the transaction go through yet?

informal

Has the money been moved or the sale finished?

4

Transaction cost theory explains why firms choose to outsource certain functions.

academic

A specific economic theory looks at the costs of doing business exchanges.

5

The real estate transaction took three months to finalize.

business

The sale of the property was completed after ninety days.

Word Family

Noun
transaction
Verb
transact
Adjective
transactional

Common Collocations

business transaction a commercial deal
financial transaction an exchange involving money
online transaction a sale made on the internet
transaction fee money paid to process a deal
secure transaction a safe way to pay

Common Phrases

record a transaction

to write down the details of a sale

cancel a transaction

to stop a sale from happening

void a transaction

to make a sale legally invalid

Often Confused With

Transaction vs Interaction

Interaction is any communication; transaction is specifically a business or exchange-based event.

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Usage Notes

Often used in banking and retail. It implies a completed unit of business.

⚠️

Common Mistakes

Do not confuse with 'transportation'.

💡

Memory Tip

Trans-action: The 'action' of 'transferring' money.

📖

Word Origin

From Latin 'transactio', meaning an agreement or accomplishment.

Grammar Patterns

transaction between + parties transaction for + amount carry out a transaction
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Cultural Context

Digital transactions are replacing cash in many parts of the world, especially in Scandinavia and East Asia.

Quick Quiz

Please keep your receipt as proof of the ______.

Correct!

The correct answer is: transaction

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