explain the role of checking demand deposit in form of money
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Demand deposits provide the money consumers need for purchasing daily expenses, where funds can be withdrawn at any time from the depository institution. Demand deposit accounts can have joint owners, where both owners must sign to open the account, but only one account holder has to sign to close the account.
DDA accounts provide the money consumers need to make a purchase. Funds can be accessed at any time. If depositors were required to notify their financial institutions before withdrawing funds, the depositors would have challenges making everyday purchases and paying bills. However, DDA can also mean direct debit authorization, which is a debit from an account for purchasing a good or service.
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