BankOp M3

Deposits

• form the lifeblood of banking institutions

• provide the primary source of funds that enable banks to:

  • Extend credit to individuals and businesses

  • Finance infrastructure and development projects

  • Support monetary policy and economic growth

Deposits are safer than

keeping money outside banks.

Deposits generate

trust in the banking system.

Banks act as

custodians and intermediaries of funds

Sources of Deposits

• Individuals (personal savings)

• Corporate entities (business accounts)

• Government (public funds, budget allocations)

• Overseas remittances (from OFWs and foreign trade partners)

How Deposits are Created

• Direct deposits via over-the-counter transactions

• Payroll credits from employers

• Electronic transfers and mobile banking

• Interbank settlements

Kinds and Characteristics of Deposit Accounts

1. Savings Deposits

2. Demand Deposits (Checking Accounts)

3. Time Deposits

4. Foreign Currency Deposits

Savings Deposits

• Purpose: Encourage saving habits among customers

• Feature: Earns interest, easily withdrawable

• Accessibility: ATMs, online banking, passbook

Demand Deposits (Checking Accounts)

• Purpose: Primarily used for business transactions.

• Feature: Funds can be withdrawn using checks.

• Advantage: Convenient for payments and disbursements.

Time Deposits

• Purpose: Encourage long-term savings

• Feature: Locked-in period (30, 60, 90 days, etc.), higher interest

• Limitation: Penalty for pre-termination.

Foreign Currency Deposits

• Purpose: Facilitate international transactions and remittances.

• Feature: Deposits made in USD, EUR, JPY, and other currencies

• Regulated under: Foreign Currency Deposit Act (Philippines context).

Opening New Accounts

1. Procedures

2. Requirements

3. Forms Used

Procedures

1. Fill out Account Opening Form and Customer Information Sheet

2. Submit valid government-issued IDs and proof of address

3. Present specimen signatures on a signature card

4. Comply with Anti-Money Laundering (AML) and KYC policies.

5. Make initial deposit as required by the bank

6. Receive account number, passbook, ATM, or checkbook.

Requirements

• At least one or two valid IDs

• Tax Identification Number (TIN)

• Proof of billing or residenc

• Two 1x1 or 2x2 photos (depending on bank policy)

Forms Used

• Account Opening Form

• Customer Information Sheet (CIS)

• Signature Card

• FATCA/AML Declaration Forms

Receiving Deposits – Duties and Responsibilities

Receiving Teller

• responsible for ensuring proper handling of customer deposits.

• verifies authenticity of deposit slips, cash, and checks

• counts cash accurately and checks for counterfeit bills

• posts deposits to the correct customer account

• issues validated deposit slips as proof of transaction

• maintains confidentiality of customer information.

Accuracy is essential since

one mistake can affect the bank’s balancing of daily transactions

Paying Operations – Duties and Responsibilities

Paying Teller

• in charge of withdrawals and disbursements

• verifies withdrawal slips and checks presented by clients.

• authenticates signatures and checks account balances.

• ensures adherence to withdrawal limits and bank rules.

• releases cash only to authorized account holders.

• prevents fraud by being alert to irregular transactions.

Paying teller must balance

being customer friendly and cautious at the same time.