Current deposits can ensure higher payment capacity than cash. However, many customers still confuse current deposits and savings deposits. So what is a current deposit? Please refer to the content compiled by SeABank below!

What is a payment deposit?

Payment deposits are non-term deposits in bank accounts, used for transactions such as paying bills, transferring money, etc. Therefore, if customers want to maintain payment deposits, they must have a bank account.

Learn what is the concept of payment deposit

What is a payment deposit account?

Clause 22, Article 4 of the Law on Credit Institutions 2010 stipulates that a payment deposit account is a non-term deposit opened by a customer at a bank for the purpose of using payment services provided by that bank.

Benefits of payment deposits

Current deposits are widely used by customers due to their convenience and speed. Current deposits offer a number of benefits such as:

Safe: Banks are responsible for strictly managing payment deposits, and this type of money will also be kept confidential. Unlike the easily lost nature of cash, payment deposits are minimized in this situation.
Flexible and multi-tasking: All transactions are made easily. Payment deposits are used for many purposes such as: withdrawal, salary receipt, transfer, online transactions,...
Profitability: The balance in the account will be paid interest periodically by the bank at the interest rate of non-term deposits.
Easy to manage transactions: Customers can easily check balance fluctuations by looking up “Transaction History” through the bank's Internet Banking application.
Fast payment: Customers can completely purchase and then pay online for e-commerce orders or service fees.

Highly Multi-Tasking Payment Deposit

Difference between checking deposit and savings deposit

There are many factors to distinguish between payment deposits and savings deposits. This comparison table of these two types of deposits will help you distinguish quickly.

	Payment deposit	Savings deposit
Concept	Is a type of non-term deposit.	Is the deposit that customers put in to receive periodic interest. The interest rate of savings deposits depends on the specific regulations of each bank.
Purpose	Money transfer, cash withdrawal, electronic bill payment,...	Considered a very safe investment.
Interest rate	Low interest rate, equal to the interest rate of non-term deposits.	Interest rates on non-term deposits will be lower than interest rates on term deposits.
Time of sending	Flexible, no specific delivery time specified.	Term deposits: Depending on bank regulations. Non-term deposits: No time limit.

So should customers save or make a payment? Depending on their spending needs, customers can choose the appropriate type of deposit. If customers have a surplus amount of money but do not have a purpose for using it, you should make a term deposit. In the case that customers have a surplus amount of money but not much and have a purpose for using it, you should deposit the money into a payment account.

There are many factors to distinguish between checking and savings deposits.

Steps register for payment deposit

If you want to open a payment deposit account, you need to register to open an account directly at the bank's transaction office. The process will include the following 3 steps:

Step 1: Fill out the account opening request form provided by the bank.
Step 2: Provide necessary personal information such as CCCD/ID card, signature,...
Step 3: The teller will proceed to open the account requested by the customer.

Notes when using payment deposit accounts

A checking account allows customers to enjoy a wide range of benefits. Here are some tips to help you get the most out of your account:

Information Security: Absolutely do not disclose information related to your account because bad guys can take advantage of this to affect your account. Therefore, you need to be careful when withdrawing money at ATMs, only shop and pay electronic bills at reputable units,...

Check your balance and transaction history regularly: This is the fastest way to detect any abnormalities in your account so that you can handle them promptly and limit losses.

Contact the bank hotline when you lose your card: Losing a Visa, Master, credit card or ATM card is a common situation that users encounter due to negligence during use. In this situation, you need to stay calm and call the bank's customer service number to request a card lock. This action helps you minimize damage such as bad guys making transactions such as withdrawing money, transferring money from the card.

Don’t disclose your deposit account information to others.

Conclusion

Payment deposits bring many benefits to customers in the payment of electronic bills. Hopefully, SeABank's article has helped you understand what a payment deposit account is, what a payment deposit is, distinguish between a payment account and a savings account, and grasp important notes when using a payment account. Follow SeABank now to update more interesting financial information!