ECONOMICS
MONEY
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Saving account deposits and fixed deposits
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Saving account deposits and current account deposits
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Current account deposits and fixed deposits
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All types of deposits
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Detailed explanation-1: -Demand deposits include saving account deposits and current account deposits. These are called demand deposits as it is very liquid and can be used for purchase of goods and services immediately.
Detailed explanation-2: -Current bank account is opened by businessmen who have a higher number of regular transactions with the bank. It includes deposits, withdrawals, and contra transactions. It is also known as Demand Deposit Account.
Detailed explanation-3: -Difference Between Current Account and Savings Account. A savings account is a deposit account which allows limited transactions, while a Current Account is meant for daily transactions.
Detailed explanation-4: -A demand deposit is money deposited into a bank account with funds that can be withdrawn on-demand at any time. The depositor will typically use demand deposit funds to pay for everyday expenses. For funds in the account, the bank or financial institution may pay either a low or zero interest rate on the deposit.
Detailed explanation-5: -The most common types of demand deposits are checking, savings, and money market accounts. A demand deposit is the most accessible type of bank account, but it pays the least amount of interest and may come with fees.