Deposit Products

There is a lot to consider when deciding where to put your money. Interest rates, account restrictions, fees, withdrawal penalties, minimum deposit requirements all these factors can make it tricky to pick a deposit account that best suits your needs. Still, deposit accounts carry less risk than most other investment vehicles and play a role in a balanced financial portfolio, so it is important to understand how they work and how to pick a good one.


A deposit account is an account at a bank or credit union that allows you to safely deposit and withdraw your money. The most common deposit accounts are savings and checking. Deposit accounts fall into two major categories: demand deposits and time deposits. With demand deposit accounts, you can withdraw money at any time without gaining permission from the bank or credit union, up to the full amount of your savings. Among the demand deposit accounts, you will commonly find checking, savings, and money market accounts. Deposits in savings and money market accounts generally earn more interest than those in checking. Time deposit accounts include certificates of deposit (CDs) and IRA CDs. These are interest-earning accounts that commonly offer better rates than regular savings accounts, but you must keep your money in the account for a set time or pay early-withdrawal penalties. The type of deposit account that works best for you depends on a number of factors, including how you want to access the money and how often.