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Demand Deposits, Time Deposits, and Deposit Products

Chinese source: 活期、定期与存款产品
Locale: en-US
Audience: Internal learning

Key Terms

ChineseEnglishUsage Note
活期Demand Deposit Account (DDA)Use checking/savings when the product type is clear.
定期Time Deposit / Certificate of Deposit (CD)CD is natural in U.S. retail banking.
存款产品Deposit ProductA rule set, not just a name.
产品工厂Product FactoryConfigures product behavior.

Concept

Demand deposits and time deposits are the most basic deposit product forms. Account fields such as balance, rate, term, withdrawal, rollover, and interest posting are all driven by product rules.

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Product rules decide how an account opens, how money can be used, and how interest is calculated.

Demand Deposit vs. Time Deposit

DimensionDemand DepositTime Deposit
TermUsually no fixed maturity date.Has value date, term, and maturity date.
LiquidityUsually flexible for withdrawal and transfer.Withdrawal depends on term and product rules.
RateUsually lower and follows demand deposit rules.Usually follows agreed term and rate.
Common actionsDeposit, withdrawal, transfer, fee, interest posting.Opening, withdrawal at maturity, early withdrawal, rollover, interest payment.
Key fieldsLedger balance, available balance, interest cycle.Value date, maturity date, term, rate, rollover method.

What a Deposit Product Contains

A deposit product is a set of rules: eligible customers, currency, minimum opening amount, incremental amount, partial withdrawal, term, maturity, rate, rate spread, interest accrual, interest posting, payment, rollover, fees, channel limits, account status, and transaction controls.

Product and Sub-account

One customer account may contain multiple sub-accounts, each with a different product. Therefore, account inquiry must reach the sub-account level before you can understand balance, product, rate, maturity, and status.

Operations Console vs. Product Factory

ExampleProduct Factory RuleOperations Result
Early withdrawal allowed?Early withdrawal rules.[1026] Time Deposit Withdrawal eligibility.
What happens at maturity?Rollover rules.[2087] Maturity Instruction Maintenance and [3210] Rollover History.
How is interest calculated?Rate and interest rules.[3206] Interest Simulation, [3204] Interest Payment History.
Are fees charged?Fee rules.[1003] Manual Fee Charge and fee details.