Deposit account
A deposit account for the purpose of securely and quickly providing frequent access to funds on demand, through various different channels.A money deposit at a banking institution that cannot be withdrawn for a preset fixed 'term' or period of time and will incur penalties for withdrawals before a certain date.The terms and conditions may specify the methods by which a customer may move money into or out of the account, e.g., by cheque, internet banking, EFTPOS or other channels.These "physical" reserve funds may be held as deposits at the relevant central bank and will receive interest as per monetary policy.By transferring the ownership of deposits from one party to another, banks can avoid using physical cash as a method of payment.