What is a checkable deposit?

A checkable deposit, also known as a demand deposit, is a type of bank account that allows you to deposit and withdraw funds as needed. The key feature is that you can access your money on demand, typically through checks, debit cards, or electronic transfers. Here's some important information:

• Accessibility: The funds in a checkable deposit are readily accessible, making it suitable for day-to-day transactions. You can make payments to businesses, pay bills, or withdraw cash from ATMs. See: Accessibility

• Interest Rates: Checkable deposits often offer relatively low or even no interest. The primary benefit is convenience rather than earning a high return. See: Interest%20Rates

• Types: There are several types of checkable deposits, including checking accounts, NOW (Negotiable Order of Withdrawal) accounts (which may offer interest), and money market deposit accounts (MMDAs), though MMDAs sometimes have limitations on the number of withdrawals. See: Types

• FDIC Insurance: Checkable deposits at most banks and credit unions are insured by the Federal Deposit Insurance Corporation (FDIC) up to $250,000 per depositor, per insured bank. This provides a safety net in case the bank fails. See: FDIC%20Insurance

• Fees: Banks may charge various fees associated with checkable deposits, such as monthly maintenance fees, overdraft fees, and ATM fees. Some accounts may waive fees if you meet certain requirements, such as maintaining a minimum balance. See: Fees