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Encyclopedia Britannica



DEPOSIT (Lat. depositurn, from deponere, to lay down, to put in the care of)

This article appears in Volume V08, Page 60 of the Encyclopedia Britannica.

Encyclopedia Britannica - Main :: DEM-DIO
DEPOSIT (Lat. depositurn, from deponere, to lay down, to put in the care of) , anything laid down or separated; as in geology, any
mass
  of material accumulated by a natural agency (see BED), and in
chemistry
 , a precipitate or matter settling from a solution or suspension. In banking, a deposit may mean, generally, a sum of money lodged in a bank without regard to the conditions under which it is held, but more specially money lodged with a bank on " deposit account " and acknowledged by the banker by a " deposit receipt " given to the depositor. It is then not
drawn
  upon by
cheque
 , usually bears
interest
  at a rate varying from time to time, and can only be withdrawn after fixed notice. Deposit is also used in the sense of
earnest
  or security for the performance of a
contract
 . In the law of mortgage the deposit of title-deeds is usual as a security for the repayment of money advanced. Such a deposit operates as an equitable mortgage. In the law of
contract
 , deposit or simple
bailment
  is delivery or
bailment
  of goods in trust to be kept without recompense, and redelivered on demand (see BAILMENT).


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