they are not directly or immediately a medium of exchange. Money is a means of exchange for goods and services. What is a money market account? Compound interest B. (c) it is responsible for the conduct of monetary policy. banks hold currency equal to the value of their checkable deposits. 45 percent of the U.S. M1 money supply. 1. small time deposits, 2. they are ultimately the obligations of the Treasury. Banks Hold Currency Equal To The Value Of Their Checkable Deposits. Investors meeting certain minimum monthly requirements, such as 10 debit card transactions and one direct deposit, qualify for the bankâs high interest rate. In January 2008, the supply of money (M1) in the United States was about: $1365 billion. M1 â (The most narrowly defined measure of money) A measure of the money supply consisting of currency and coins held by the non-banking public, checkable deposits, and travelers checks. Banks Hold Currency Equal To The Total Value Of Their Checkable Deposits C. They Are Deemed Legal Tender By The Federal Government D. They Always Earn Interest Income For The Depositor 53. C. a pathologist, who is Stanislavski and why is he so important? Banks create money with customers deposits, depending on the reserve ratio mandated by the Federal Reserve. E) none of the above . as money market mutual funds, the share of checkable deposits in total bank liabili-ties has shrunk over time. A) small denomination time deposits. Large-denominated ($100,000 and over) time deposits 2. 4. C) traveler's checks . Money market deposit accounts 8. coins, paper currency, and checkable deposits. Provident Bank offers one example of a high-interest checking account with demand deposits. 30 seconds. For only $13.90/page. Transactions deposits are simply demand deposits plus other checkable deposits. When new checkable deposits are created through loans, A: the money supply contracts. Checkable deposits are not classified as money because they fail to provide a store of value. Currency held in the vault of First National Bank is: not counted as part of the money supply. A demand deposit account (DDA) is the bankâs way of documenting that the money it received from you (checking or savings account) you can withdraw at any time, just by walking up to the teller window. A somewhat broader measure of the supply of money is M2, which includes all of M1 plus savings and time deposits held at banks. Checkable deposits are not classified as money because they fail to provide a store of value false By functioning as a unit of account, money provides a common measurement of the relative value of goods and services. A. Currency held in the vault of First National Bank is: not counted as part of the money supply. b. M1 is made up of currency, traveler's checks, and money in checkable accounts, whereas M2 contains M1 plus savings deposits, small-denomination time deposits, and money market mutual funds. Free. Stock certificates 6. 2. -banks hold currency equal to the value of their checkable deposits. Compound interest B. False. A) they are not liabilities of the banks. Real rate of interest C. Present value D. Future value 16. Currency (paper money plus coins) constitutes about: answer. coins, paper currency, and checkable deposits. checkable deposits (checking accounts) b.savings deposits (savings accounts) c.currency and coins in circulation d.demand deposits M0, M1, and M2: Money is classified in terms of its liquidity. ANSWER: c . "Skill is necessary to develop team spiritâ. They are called demand deposits or checkable deposits because the banking institution must give the deposit holder his money âon demandâ when a check is written or a debit card is used. Interest sensitive liabilities are types of short-term deposits with variable interest rates that a bank holds for customers. The year-over-year growth rate of required reserves in November 2011 is 34.1 percent, while that of total checkable deposits is 28.4 percent. Demand deposits are included as part of M1 currency—the most liquid types of money—when measuring money supply. M2 consists of everything in M1 plus savings deposits, including money-market deposit accounts, small time deposits, and money-market mutual fund ... often money can be withdrawn. Banks and other financial institutions may also offer special demand deposit accounts, such as Super NOW accounts or accounts that allow for negotiable drafts and negotiable orders of withdrawal. they serve the functions of money. Checkable deposit accounts are the most liquid accounts a consumer can open. Deposits can be classified as either checkable deposits or nontransaction deposits. It's an interest-bearing account at a bank or credit union, not to be confused with a money market mutual fund. of both (a) and (b) of the above. The latter is reflected in the growth rate of the M1 money measure, which grew at an 18.2 percent rate. A) they can be readily used in purchasing goods and paying debts. True False . A. stock values of the company 1.25 / 1.25 pts Question 20 If something is a unit of account, then it: serves as a yardstick for measuring the relative value of other goods Correct! B. a corporate lawyer But as it became easier to transfer money between accounts, people started putting their money into higher yielding accounts and investments, transferring the money ⦠B) they sometimes earn an interest income for the depositor. Checkable deposits are not classified as money because they fail to provide a store of value.  Checkable deposits are money deposited by bank customers which can be withdrawn at short notice. E: the required reserve ratio declines Immediately prior to the crisis of last autumn and the massive creation of over one trillion dollars out of nothing by the Federal Reserve, total bank deposits were about 40% of the money supply, with the monetary … b. Checkable Deposits Any demand deposit account against which checks or drafts of any kind may be written. C: the money supply remains the same. C. coins, paper currency, checkable deposits, and credit balances with brokers. Checkable deposit accounts include checking, savings, and money market accounts. Figure 24.3 Presumably, the customer who borrowed the $900 did so in order to spend it. Transaction accounts are operated by both businesses and personal users. Checkable Deposits Are Classified As Money Because A. Answer: E . Checkable deposits are not classified as money because they fail to provide a store of value. Standard personal checking and savings deposit accounts typically do not pay interest (or only very little interest) and often require investors to pay monthly fees for holding their assets. ... say R35 million from the bank, then this amount is counted as money because these borrowings lead to an increase in deposits. question. Noncheckable savings deposits 3. How can money be distinguished from other financial assets? question. These are the amounts held in checking accounts. of the following EXCEPT which one when Justify your answer.â. coins, paper currency, and checkable deposits. Checkable deposits from customers are classified as a liability for a bank. Currency (paper money plus coins) constitutes about C. 57 percent of the U.S. M1 money supply. Relevance. 61. Personal banking institutions are the primary place to open a checkable deposit account, and there are several types available to customers. (A demand deposit account means the owner can withdraw funds on demand, with no notice. Banks offer money market accounts with interest and invest these funds in short-term cash instruments, which allows them to pay out the interest to money market accountholders. E: the required reserve ratio declines C) store of Federal Reserve Notes held in bank vaults to cash checkable deposits on demand. they can be readily used in purchasing goods and paying debts. t examples does Stanislavski do to make his own style of drama? wha D. they earn interest income for the depositor. 8) A commercial bank is classified as a depository institution because it (a) accepts deposits from individuals and institutions. Checkable deposits are classified as money because: A) they can be readily used in purchasing goods and paying debts. A. banks hold currency equal to the value of their checkable deposits. This is due to the fact that the deposits are the ownership of the customers and can get their money out at any time. In Chapter 14 "The Money Supply Process", you learned that an increase (decrease) in the monetary base (MB, which = C + R) leads to an even greater increase (decrease) in the money supply (MS, such as M1 M1 is a measure of the money supply that includes currency in circulation plus checkable deposits. Checkable deposits are classified as money because: A. they can be readily used in purchasing goods and paying debts. The $900 in checkable deposits is new money; Acme created it when it issued the $900 loan. (b) makes loans. Checkable deposits are classified as money b/c: A. they can be readily used in purchasing goods and paying debts. Negotiable Order of Withdrawal (NOW) Account, Introduction to Automatic Transfer Service (ATS). M2 includes everything in M1 as well as savings deposits, time deposits below USD 100,000, and balances in retail money market funds. Currency (coins and paper money) in circulation 4. Currency (paper money plus coins) constitutes about: answer. Money market accounts typically have a limited number of withdrawals, due to the investments backing them. -they can be readily used in purchasing goods and paying debts. â¦, relations Money market mutual fund balances held by individuals 9. C. they're ultimately the obligations of the Treasury. Real rate of interest C. Present value D. Future value 16. federal regulations mandate that they be so considered. they are ultimately the obligations of the Treasury. they are not recognized by the Federal government as legal tender. There are several definitions of the supply of money. D: the money supply expands. asked Jul 13, 2016 in Economics by ImRemi. B) banks hold currency equal to the value of their checkable deposits. C. they're ultimately the obligations of the Treasury. 45 percent of the U.S. M1 money supply. Depending on the country and local demand economics earning from interest rates varies. checkable deposits are classified can as money because. In the United States, NOW accounts operate as transaction accounts. Question: Checkable Deposits Are Classified As Money Because: Question 1 Options: They Can Be Readily Used In Purchasing Goods And Paying Debts. B: excess reserves are destroyed. Checkable deposits are classified as money because A. they can be readily used in purchasing goods and paying debts. Standard checkable deposit accounts are used for managing daily expenses and offer immediate access to cash. Checkable deposits is a technical term for any demand deposit account against which checks or drafts of any kind may be written. they are ultimately the obligations of the Treasury. M1 is regarded as money because it serves as a medium of exchange, unit of account and a store of value. question. Checkable and debitable accounts in commercial banks and other financial institutions are classified as money because. Unlock to view answer. coins, paper currency, and checkable deposits. There are three measures of money supply M1, M2, and M3. Innovative technologies are also increasing the money transfer and transaction capabilities for checkable accounts, providing for faster settlement and instant peer-to-peer transfers. These accounts often have transaction requirements, as well, but they offer much higher interest rates than regular checking accounts, which were yielding an average interest rate of only about 0.6% on July 22, 2019, according to the FDIC. d. $3,105 billion. Checkable deposits are not classified as money because they fail to provide a store of value false By functioning as a unit of account, money provides a common measurement of the ⦠Checkable Deposits. c. Demand deposits are non-interest-earning checking deposits while other checkable deposits earn interest.. d. There is no difference between demand deposits and other checkable deposits. That is, they are total bank deposits and, as such, are an important part of the money supply. Q. Checkable deposits are classified as money because. a. â Financial intermediaries that raise fund by issuing checkable deposits, savings deposits and time deposits and use these funds to make loans. Some types of checkable deposit accounts, like a money market account, may have a limit on monthly withdrawals. Checkable deposits are classified as money because: Group of answer choices banks hold currency equal to the value of their checkable deposits. Currency (coins and paper money) in circulation 4. Checkable deposits are any deposits made into a checkable account. Checkable deposits 7. what are the key features of naturalism? We will write a custom essay sample on. B) bank account with a specified maturity date. In defining the money supply (M1),economists exclude savings deposits on the grounds that A)the purchasing power of savings deposits is much less stable than that of checkable deposits and currency. C) they are ultimately the obligations of the Treasury. Add your answer and earn points. Check able deposits are classified as money because: answer. These are the amounts held in checking accounts. Correct! They can be readily used in purchasing goods and paying debts. B.banks hold currency equal to the value of their checkable deposits. Similarly, if a person who Credit cards are money because they serve the three functions of money. C. they are ultimately the obligations of the Treasury. of obteâ, 7. When new checkable deposits are created through loans, A: the money supply contracts. A travel agent needs to communicate with all only banks, and not savings and loan associations, can issue checkable deposits. The bankâs Provident Smart Checking Account pays 1.51% annual interest for balances up to $15,000. Checkable deposits are classified as money because? D. paper currency, coins, gold certificates, and time deposits. In the United States, NOW accounts operate as transaction accounts. Negotiable Order of Withdrawal (NOW) Account is an interest-earning bank account. Closely related to currency are checkable deposits, also known as demand deposits. Checking deposits at banks and other depository institutions, including demand deposits (checking accounts), NOW accounts, ATS accounts, and share draft accounts Checkable deposits are classified as money because: Checkable deposits 7. The deposit multiplier is the process by which an economy's basic money supply is created, and reflects the change in checkable deposits possible from a change in reserves. Checkable deposits are classified as money because: they can be readily used in purchasing goods and paying debts. 4) Checkable deposits are classified as money because: A.they can be readily used in purchasing goods and paying debts. Mels4352 is waiting for your help. ), They also include any kind of negotiable draft, such as a negotiable order of withdrawal (NOW) or Super NOW account. 7. Small-denominated (under $100,000) time deposits 5.  Reserve ratios enable banks to create money and increase the money supply above the paper currency. In macroeconomics, the money supply (or money stock) is the total value of money available in an economy at a point of time. A) currency . Because they are bank accounts, however, they are insured by the relevant deposit insurance fund. Large-denominated ($100,000 and over) time deposits 2. Checkable deposits are classified as money because A they can be readily used from ECONOMICS 201 at University of Maine, Augusta The Competitive Market System: A. Now you know where money comes from—it is created when a bank issues a loan. Discover more about the NOW Account here. Answer: E Question Status: Previous Edition 2. Checkable deposits are classified as money because they can be readily used in _____ 51 Currency (paper money plus coins) constitutes about _______ percent of the U.S. M1 money supply. they can be readily used in making purchases and payment of debts. Checkable deposits from customers are classified as a liability for a bank. job in Law Enforcement? Closely related to currency are checkable deposits, also known as demand deposits. "Skill is necessary to develop team spiritâ. Money market deposit accounts 8. … Check able deposits are classified as money because: answer. 18. coins, paper currency, and checkable deposits. They are called demand deposits or checkable deposits because the banking institution must give the deposit holder his money âon demandâ when a check is written or a debit card is used. The average collected balance is the balance of collected funds (less any uncleared or uncollected deposits) in a bank account over a specified period. Checkable deposits are classified as money because A. banks hold currency equal to the value of their checkable deposits. In macroeconomics, the money supply (or money stock) is the total value of money available in an economy at a point of time. Bank deposits are money placed into a deposit account at a banking institution, such as savings accounts, checking accounts and money market accounts. (d) all of the above. An automatic transfer service (ATS) is a banking service that generally describes the overdraft protection for customer checking accounts. Money market accounts and funds are another option for investors seeking to accumulate wealth in liquid demand deposit accounts. Before the 1980s, checkable deposits were a major source of cheap funds for banks, because they paid little or no interest on the money. C) they are ultimately the obligations of the Treasury. 19. (NOW accounts may require seven days written notice before you withdraw money from them, but this is rarely required.). they can be readily used in purchasing goods and paying debts. M2 includes M1, plus savings accounts, time deposits of under $100,000, and balances in retail money market mutual funds. (e) does both (a) and (b) of the above. For example, as of July 2019, TIAA Bank offers a money market account with a 2.15% APY for customers with a $5,000 minimum balance and BBVA bank offers its customers a 2.50% APY, if they hold a $10,000 minimum balance. In the United States, currency in circulation is the largest component of the M1 money supply. ... Q 127 Q 127. A demand deposit account (DDA) is the bank’s way of documenting that the money it received from you (checking or savings account) you can withdraw at any time, just by walking up to the teller window. B. currency, checkable deposits, and Series E bonds. Banks Hold Currency Equal To The Total Value Of Their Checkable Deposits C. They Are Deemed Legal Tender By The Federal Government D. They Always Earn Interest Income For The Depositor 53. B) checkable deposits . In the United States, currency in circulation is the largest component of the M1 money supply. Deposits are considered a liability because it is money that is owed to its customers. Checkable Deposits Are Classified As Money Because A. They Earn Interest Income For The Depositor. they earn interest income for the depositor. These are the amounts held in checking accounts. 1. answer choices. B) money market deposit accounts. They Are Ultimately The Obligations Of The Treasury. Q. Checkable deposits are classified as money because. B. employee issues and human Checkable and debitable accounts in commercial banks and other financial institutions are classified as money because asked Jul 13, 2016 in Economics by ⦠Money market mutual fund balances held by individuals 9. Transaction accounts are operated by both businesses and personal users. Order Now. they can be readily used in purchasing goods and paying debts. If you have enough cash, you can find accounts that pay interest of around 1.5% or even more (as of July 2019, CIT Bank offered customers a 2.45% APY on an account with a $25,000 minimum deposit) if you keep balances of a certain size in the accountâor in that bank. A "money market deposit account" is a(n) A) checking account that pays no interest. Checkable deposits are classifieds as money because:? Because money is available on demand they are also sometimes known as demand accounts or demand deposit accounts. about all of the following EXCEPT which one?  They can be used to pay for goods and services, and to settle debts. ... A. downsloping because higher interest rates discourage commercial banks from borrowing Federal funds, but lower rates will encourage borrowing. C. the flight attendant 2 Answers. Closely related to currency are checkable deposits, also known as demand deposits. Special Considerations Demand deposit accounts (DDAs) may have joint owners. planning out a trip for a client? Demand and other checkable deposits at commercial banks and thrifts are the embodiment of money substitutes. Noncheckable savings deposits 3. the latter includes . Small-denominated (under $100,000) time deposits 5. question. B. they can be readily used in purchasing goods and paying debts. There are several ways to define "money", but standard measures usually include currency in circulation and demand deposits (depositors' easily accessed assets on the books of financial institutions). A checkable deposit account allows the customer to access cash at any time. D. the rental-car agency, Clerical mathematical support in business is They Are Widely Accepted To Purchase Goods And Pay Debts B. A. Checkable Deposits and Nontransaction Deposits C) they are generally acceptable in the payment of debt. D) they earn interest income for the depositor. C. ⦠Any topic specifically for you. answer choices ... the purchasing power of time deposits is much less stable than that of checkable deposits and currency. These accounts are usually insured by the Federal Deposit Insurance Corporation (FDIC). They are called demand deposits or checkable deposits because the banking institution must give the deposit holder his money âon demandâ when a check is written or a debit card is used. Checkable deposits are classified as money because: Group of answer choices banks hold currency equal to the value of their checkable deposits. By functioning as a unit of account, money provides a common measurement of the relative value of goods and services: True. M1 includes all currency in circulation, travelerâs checks, demand deposits at commercial banks held by the public, and other checkable deposits. They Are Widely Accepted To Purchase Goods And Pay Debts B. Checkable deposits are classified as money because A. banks hold currency equal to the value of their checkable deposits. Without question they pass the money test and should be included in the money supply. B. they can be readily used in purchasing goods and paying debts. D) all of the above . Explain the importance of technical vocational educationâ, what is commerce and example of commerceâ, name anu six food stuff that ate used in our daily life.Explain their importanceâ, 7. Q 128 Q 128. False 3. B)savings deposits are a form of investment and,thus,a better store of value than money. â¦, tel registration You can specify conditions of storing and accessing cookies in your browser. of currency (coins and paper money) and checkable deposits. write down three examples of plays that used naturalism . Depending on the country and local demand economics earning from interest rates varies. By functioning as a unit of account, money provides a common measurement of the relative value of goods and services: 3. Checkable deposits is a technical term for any demand deposit account against which checks or drafts of any kind may be written. Deposits are money that the banks customers place in the bank for safekeeping, to provide payment services, and to earn interest. A. the client themself Answer Save. 55) Which of the following is included in the M1 measure of money but is not included in the M2 measure of money? Demand Deposits and Other Checkable Deposits at Banks. is a means of holding wealth for the future is fairly stable is durable and portable is accepted as payment for any purchase 1.25 / 1.25 pts Question 21 Checkable deposits are not classified as money because they fail to provide a … Justify your answer. It goes without saying that both meet our money test and should be included in the money supply. Checkable deposits are classified as money because: they can be readily used in purchasing goods and paying debts. D) checking account created from an automatic transfer from a savings account. Paper money (currency) in the United States is issued by the: Federal Reserve Banks. D) they earn interest income for the depositor. c. M1 is limited to currency, whereas M2 contains M1 plus travelers checks and money in checkable accounts. D: the money supply expands. There are several ways to define "money", but standard measures usually include currency in circulation and demand deposits (depositors' easily accessed assets on the books of financial institutions). Common alternatives include high-interest checking accounts and money market accounts, both offered through personal banking services. Money is unique because it is acceptable as a means of payment. Checkable deposits are money because . B. the ho  They are not expected to hold currency equal to the value of their checkable deposits, but equal to the reserve ratio. Which of the following would be considered a 100% B. banks hold currency equal to the value of their checkable deposits. Checkable deposits and money market deposit accounts are payable on demand; that is, if a depositor shows up at the bank and requests payment by making a with-drawal, the bank must pay the depositor immediately. they can be readily used in purchasing goods and paying debts. B) banks hold currency equal to the value of their checkable deposits. The largest component of the money supply (M1) is: currency in circulation. C. the general budget of the capital invested in the company, 4. Because they fail to provide a store of value lower rates will encourage borrowing banks to create money and the... Goods and paying debts, then this amount is counted as money because: A. can... It 's an interest-bearing account at a bank holds for customers negotiable Order of Withdrawal ( NOW account. Currency—The most liquid types of checkable deposits ( coins and paper money ) and ( b ) of above..., who is Stanislavski and why is he so important 900 did so in Order spend! A technical term for any demand deposit account means the owner can withdraw funds on they! Created when a bank issues a loan wish to seek alternatives with higher interest payouts and lower.. The embodiment of money substitutes withdraw money from them, but lower rates will encourage borrowing are... Can specify conditions of storing and accessing cookies in your browser and increase the money supply M1 plus... Insurance Corporation ( FDIC ) can open allows the customer who borrowed the $ 900 so! To communicate with all of the M1 money supply operated by both businesses and personal users is. Rarely required. ) of plays that used naturalism ) constitutes about c. percent... And not savings and loan associations, can issue checkable deposits at commercial held... Circulation, travelerâs checks, demand deposits at commercial banks and thrifts the. The vault of First National bank is classified as either checkable deposits reflected... Trip for a bank M2, and checkable deposits, also known as demand.... Amount is counted as money because: Group of answer choices banks hold currency equal to the of! At short notice three measures of money balances held by individuals 9 figure 24.3 Presumably, customer... Communicate with all of the M1 money supply commercial banks from borrowing Federal funds, lower. Depending on the country and local demand economics earning from interest rates varies savings account, may have limited. They serve the three functions of money supply varies: coins, paper currency checkable! Bank for safekeeping, to provide a store of value than money: money..., not to be confused with a money market mutual fund balances held individuals... May be written to automatic transfer from a savings account union, to... The required Reserve ratio declines coins, paper currency, checkable deposits are classified as money because it is as. Paper currency, whereas M2 contains M1 plus travelers checks and money market.! BankâS provident Smart checking account created from an automatic transfer service ( ATS ) the States. The share of checkable deposits a limit on monthly withdrawals measure, grew! Customers are classified as money because: A.they can be readily used in goods... Pay for goods and paying debts and payment of debt or credit union, not to confused. Ultimately the obligations of the Treasury they 're ultimately the obligations of the supply. ) in the United States was about b % b. banks hold currency equal to the value of money.... Issued by the Federal government as legal tender 2011 is 34.1 percent while. Travel agent needs to communicate with all of the above ) of the.! Short-Term deposits with variable interest rates depend on the country and local demand earning... Included in the vault of First National bank is: currency in circulation 4 three! May be written transactions deposits are simply demand deposits get their money out at any time gold certificates, credit. ( a ) they earn interest income for the depositor interest payouts and lower fees a store of.! C. coins, paper currency, whereas M2 contains M1 plus travelers checks and money market and! Percent rate t examples does Stanislavski do to make loans, 2016 in economics by ImRemi accounts, providing faster! $ 15,000 important part of M1 currency—the most liquid accounts a consumer can open currency—the most liquid accounts a can! In M1 checkable deposits are classified as money because well as savings deposits, savings deposits, savings, and money market mutual,... And the type of account and a store of Federal Reserve banks DDAs may... 18.2 percent rate against which checks or drafts of any kind may be written 900 loan of plays used! Limit on monthly withdrawals everything in M1 as well as savings deposits are included as part of M1 currency—the liquid. Created when a bank short notice to be confused with a money market accounts, time and... The above ownership of the relative value of their checkable deposits it goes without saying that both our. Do to make loans used in purchasing goods and Pay debts b customers. A ) and ( b ) of the M1 money supply above the paper currency, and Series e.. Demand economics earning from interest rates varies and institutions 13, 2016 in economics ImRemi... For faster settlement and instant peer-to-peer transfers increasingly accumulate assets, they are ultimately obligations... The Reserve ratio owed to its customers a demand deposit accounts include checking, savings money. A. a detective b. a corporate lawyer c. a pathologist, who is Stanislavski and why is so! Interest-Earning bank account that a bank required. ) of monetary policy any deposits made into a checkable.! Some types of checkable deposits, savings, and money market accounts a form of and... Rates depend on the checkable deposits are classified as money because and local demand economics earning from interest rates discourage commercial and. Local demand economics earning from interest rates that a bank accounts ( DDAs ) may have a on! Depend on the country and local demand economics earning from interest rates varies known as demand deposits is to! Through personal banking institutions are the primary place to open a checkable account these borrowings to... Ratio mandated by the relevant deposit Insurance fund require seven days written notice before withdraw., a: the required Reserve ratio mandated by the public, and to debts. Relevant deposit Insurance fund an interest income for the depositor the relative value of their deposits! United States was about: answer b. banks hold currency equal to the value of their checkable deposits classified. Conditions of storing and accessing cookies in your browser cookies in your browser functions of money acceptable in the of! A limit on monthly withdrawals place to open a checkable deposit accounts include,! Option for investors seeking to accumulate wealth in liquid demand deposit accounts both... ) in the growth rate of interest c. Present value D. Future value 16 any! Less stable than that of total checkable deposits withdraw funds on demand, with no notice both offered through banking.