diference

milan

started Jul 05, 2011 at 03:41

comment by David Kerr Jul 05, 2011 at 10:44

Hi Milan,

The difference is subtle, and in the case of some banks there is no difference. The major differentiator in naming stems from the types of funds which are placed on deposit.

With Demand Deposit accounts, it is generally possible to save regular amounts or lump sums and have access to your savings "on demand" - i.e. you can walk into a branch and demand your funds.

With Instant Access accounts, it is generally the case that lump sum funds are placed on deposit - and that access does not require notice of withdrawal in writing, in advance.

In effect, both types of account will allow you to get at your money quickly, but the former may be suited to people who save regularly.

thanks, David.