how demand deposits do facilitate transactions
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What are demand deposits?How do demand deposits facilitate transactions? A form in which people hold money is as deposits with banks. ... The facility of cheques against demand deposits makes it possible to directly settle payments without the use of cash.
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Demand deposits facilitate transaction:
- A demand deposit is a type of monetary account that allows the account holder to take out funds on demand.
- Demand deposits facilitate transactions since the money can be withdrawn in emergency circumstances.
- The withdrawal of money is influenced by on our wish we can withdraw and deposit as and when we want
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