Question

Why are the deposits in the bank called the demand deposits? Explain the advantages of deposits with the banks.​

Answer 1

Answer:

Because the deposits in the bank account can be withdrawn on demand, these deposits are called demand deposits. Benefits of deposits with banks are as listed below: Apart from money being safely kept in the banks, people are also paid interest on the amount of money deposited in their bank account.

Explanation:

Answer 2

Answer:

Because the deposits in the bank account can be withdrawn on demand, these deposits are called demand deposits. Benefits of deposits with banks are as listed below: Deposits also act as direct money in case of cheque payments. Cheques against a deposit settle payments without the use of direct cash.

Explanation: