BANKING AFFAIRS

Detailed explanation-1: -A savings account is an interest-bearing deposit account held at a bank or other financial institution. Though these accounts typically pay a modest interest rate, their safety and reliability make them a great option for parking cash you want available for short-term needs.

Detailed explanation-2: -A checking account is a deposit account with a bank or other financial firm that allows the holder to make deposits and withdrawals. Checking accounts are very liquid, allowing for numerous deposits and withdrawals, as opposed to less liquid savings or investment accounts.

Detailed explanation-3: -A demand deposit account (DDA) consists of funds held in an account that can be withdrawn by the account owner at any time from the depository institution.

Detailed explanation-4: -Banks allow people to deposit their money as savings. These savings earn them a small interest when withdrawn. The deposits made can be withdrawn at any time. This is called demand deposit.

Detailed explanation-5: -Traditionally, there are four types of bank deposits in India, which are-Current Account, Recurring Deposits, Savings Accounts, and Fixed Deposit Accounts. Each type has its advantages.