What is a checkable deposit?

Checkable deposits is a technical term for any demand deposit account against which checks or drafts of any kind may be written. (A demand deposit account means the owner can withdraw funds on demand, with no notice.) They also include any kind of negotiable draft, such as a negotiable order of withdrawal (NOW) or Super NOW account.

What are the 4 types of checkable deposit accounts?

The four types of checkable deposit accounts are checking accounts, savings accounts, high-interest accounts, and money market accounts. There is typically a trade-off between higher interest and liquidity of a deposit in an account.

Do checking and savings accounts receive checkable deposits?

Regular checking and savings accounts receive checkable deposits. Banks keep meticulous records documenting the funds in their care, the types of accounts those funds are currently stored in, and how those funds are being used.

What is the difference between demand deposits and checkable deposits?

Although sometimes used interchangeably, there is a key difference between demand deposits and checkable deposits. While both provide clients with ability to access cash on demand, demand deposits typically have a limit on the amount of cheques that can be written. Checkable deposits, on the other hand, have no limitations on transferability.