Final answer:
c. Demand deposits are bank deposits that can be withdrawn anytime using a check or a debit card, such as in checking accounts, which are distinct from savings accounts and Certificates of Deposit (CDs) that have withdrawal restrictions.
Step-by-step explanation:
Bank deposits that allow the account owner to draw down on the account with a check or a debit card are called c. demand deposits. Checking accounts are examples of demand deposits because the bank must allow you to withdraw it or use it at any time, especially when you hold money for the purpose of buying things.
On the contrary, savings accounts and Certificates of Deposit (CDs) typically have restrictions on when you can access your funds. Specifically, a CD is a type of deposit where you agree to keep your money in the bank for a fixed period of time in exchange for a higher interest rate, and there is often a substantial penalty for early withdrawal.