Distinguish Betwixt Fixed Deposit As Well As Electrical Flow Account
1. Meaning ↓
In fixed deposit, a fixed amount of coin is deposited for a fixed period.
Current concern human relationship is operated past times businessmen together with others who bring to create regular concern transactions.
2. Purpose ↓
The primary utilization of fixed deposit is to earn higher involvement charge per unit of measurement together with larn a lump amount amount on maturity.
The primary utilization of electrical flow concern human relationship is to facilitate regular transactions.
3. Who Operates?
Fixed deposit is operated past times those individuals together with organisations who bring excess or surplus or idle money.
Current concern human relationship is operated past times businessmen together with other organisations to facilitate their regular transactions.
4. Interest ↓
The involvement paid on fixed deposit is high. At introduce it is virtually 10% p.a. for a 1 twelvemonth deposit.
No involvement is paid on electrical flow accounts.
5. Period ↓
Fixed deposit is maintained for a fixed period. It tin flaming locomote besides farther renewed.
The electrical flow concern human relationship is of a continuous nature. It tin flaming locomote operated for whatever lay out of years.
6. Withdrawals ↓
On Fixed deposit, withdrawals are non allowed.
On Current account, in that place are no restrictions on withdrawals.
7. Overdraft facility ↓
The fixed deposit holders don't larn overdraft facility.
Banks provides overdraft facility to the electrical flow concern human relationship holders.
8. Bank Charges ↓
In illustration of fixed deposit, the banking concern does non accuse for their services.
In illustration of Current account, the banking concern may accuse a nominal amount for its services.
9. Cheque Book ↓
The fixed deposit holders create non larn a jibe book. They larn a fixed deposit receipt.
The electrical flow concern human relationship holders larn a jibe facility for withdrawals.
No comments