A repository has two different meanings. One type of deposit involves transferring funds to another party for conservation. With this definition, the deposit refers to the money that an investor transfers to a savings or current account account of a bank or credit union. Bank deposit contracts are similar to guaranteed investment contracts (CICs), except that they are issued by banks and not by insurance companies. The issuer (the bank) guarantees the investor`s return on investment and pays a fixed or variable interest rate until the end of the contract. In the meantime, the bank is striving to get a higher return on the investment than it is willing to pay to the investor. In general, the return on a bank deposit contract increases with the length and size of the investment. When a person puts money into a bank account, they earn interest. This means that at fixed intervals, a small percentage of the total amount of the account is added to the amount that is already in the account. Depending on the bank or institution, interest rates can condense at different interest rates and frequencies. During this use, the money paid always belongs to the person or entity that deposited the money and that person or entity can withdraw the money at any time, transfer it to another person`s account or use the money to buy goods. Often, a person has to deposit a certain amount of money to open a new bank account known as a minimum deposit.
Depositing money into a typical current account is considered a transaction deposit, which means that the funds are immediately available and liquid, without delay. 6.1. If the specific part of the agreement contains an automatic renewal clause, the agreement is automatically extended, without any specific notice, at the end of the filing period indicated in the section of the agreement, for the same period as before. If the bank does not accept deposits for this period at the time of automatic renewal, the bank has the right to extend the contract by the time the bank accepts deposits or not to apply an automatic extension of the agreement. 6.2. In particular part of the agreement, the applicant has the right to choose what is considered a deposit amount after automatic renewal: (i) the sum of the deposit amount indicated in particular in the part of the agreement and the interest incurred and payable until the date of the renewal of the agreement, or (ii) the amount of the deposit indicated in the special part of the contract. 6.3. At the time of the renewal of the contract, the interest rate is automatically replaced by the interest rate, which is then applicable by the bank to this type of deposit and is determined by the type, duration, amount and currency of the deposit.