What is a Demand deposit?

see full answer

Want to Fund your own JEE / NEET / Foundation preparation ??

Take the SCORE scholarship exam from home and compete for scholarships worth ₹1 crore!*

An Intiative by Sri Chaitanya

Account holders can withdraw money as and when they want

To withdraw money after a specific time

To earn the highest interest rate

Both 2 & 3

answer is A.

(Unlock A.I Detailed Solution for FREE)

Ready to Test Your Skills?

Check your Performance Today with our Free Mock Test used by Toppers!

Take Free Test

Detailed Solution

A Demand deposit is when account holders can withdraw money as and when they want.
Demand deposit accounts (DDAs) are certain kinds of bank accounts that let depositors withdraw money whenever they choose, with no warning. DDA accounts have the option, but not the obligation, to pay interest on the money deposited in them. Savings and checking accounts are typical DDA types. Anytime you choose, you can access the account's assets without telling the institution. If the account has the required amount in it, the institution must give it to the account holder. By approaching the teller, using an ATM, or—more and more—going online, the account holder can quickly withdraw the required amount. Since the funds are accessible "on demand," this type of account is known as a "demand deposit."

Watch 3-min video & get full concept clarity

Result Producing online coaching for JEE/NEET of south India

Largest All India Test Series for JEE/NEET

Best Books for IIT JEE

Best Books for NEET

🔥 Start Your JEE/NEET Prep at Just ₹1999 / month - Limited Offer! Check Now!

Get Expert Academic Guidance – Connect with a Counselor Today!

Result Producing online coaching for JEE/NEET of south India

Largest All India Test Series for JEE/NEET

Best Books for IIT JEE

Best Books for NEET