bank deposit

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Bank Deposit

An amount of money held at a financial institution on behalf of an account holder for safekeeping. For example, one may keep a bank deposit in one's checking account to pay for daily expenses instead of hiding one's money "under the mattress." Most bank deposits are insured by organizations like the FDIC to reduce their risk.

bank deposit

a sum of money held on deposit with a COMMERCIAL BANK (or SAVINGS BANK). Bank deposits are of two main types: sight deposits (CURRENT ACCOUNTS), which are withdrawable on demand; time deposits (DEPOSIT ACCOUNTS), which are withdrawable subject usually to some notice being given. Sight deposits represent instant LIQUIDITY: they are used to finance day-to-day transactions and regular payments either in the form of a CURRENCY withdrawal or a CHEQUE transfer. Time deposits are usually held for longer periods of time to meet irregular payments and as a form of savings.

Bank deposits constitute an important component of the MONEY SUPPLY. See BANK DEPOSIT CREATION, MONETARY POLICY.

References in periodicals archive ?
75% on all bank deposits under 100,000 euro (PS86,490) and 9.
05 per cent tax on commercial bank deposits of more than EUR100,000.
The bank deposit ratings have dynamic nature and may be revised following events and/or changes in indicators of bank's performance, which may affect the bank's capacity to make timely and full payments on its deposits.
Sheng Songcheng, head of the statistics department at the People's Bank of China, said that the bank could remove the ceiling on bank deposit rates soon rather than raising the cap again.
Deposit insurance compensation for JSC EUROSIB BANK deposits can be received at any designated Sberbank branch.
The controversial 10% levy on interest earned from bank deposits came into force in Bulgaria on January 1, 2013.
In addition to the substantive aspect, there is also the procedure to be followed before, during and after the examination of a bank deposit that has to be spelled out.
Global Banking News-February 19, 2015--Bulgarian parliament intent on speeding up guaranteed bank deposits pay-out
Global Banking News-November 28, 2014--China said to be close to launching bank deposit insurance
Economists and the central bank have also opposed the government's decision to introduce a 10% tax on bank deposit income, saying this would dent people's savings and shake the bank system foundations due to capital outflow.