Bank deposits are one of the fundamentals of banking and it is considered the safest way to manage your money both for personal banking and business banking. Whether your goal is to save money, earn interest, or managing your daily transactions, understanding how bank deposits work and their benefits will help you take well-thought financial decisions.
In this guide, we break down the basics of bank deposits, the different types of deposit accounts, the ways you can deposit money and how to open an account with Ancoria Bank.
What is a bank deposit?
A bank deposit involves placing money into a bank account. When you deposit funds in a bank account, the bank holds the money on your behalf and allows you to access them or use them according to the type of account you have chosen. In general, bank deposits are the foundation of financial management, since without depositing money in an account there is no relationship with a banking institution.
What are the deposit methods?
There are various ways that you can make a deposit to an account.
Cash Deposits
You can deposit physical cash to any Banking Centre or through a cash deposit machine, such as an ATM. Cash deposits are credited to the beneficiary’s account almost instantly.
Money Transfers
This is one of the most common deposit methods for salaries, business transactions and personal transfers. Just log in to your banking application or platform and initiate a money transfer.
Cheques
A cheque can be deposited to any Banking Centre or through ATM (if available) and even through banking applications if the chosen bank provides the service.
ATM
Many banks allow cash or cheque deposits through their ATMs. The important thing to remember when you make deposits through ATM’s is that you need to have an account at the specific bank’s machine you are using and you will deposit money to your own account not someone else’s. Namely, you can’t deposit to other bank’s accounts.
Recurring Deposits
You can schedule making recurring deposits and have peace of mind, through your banking application or platform or through a Banking Centre. This type of deposit is ideal for paying rent or sending money to family members or students.
What are the types of bank accounts that allow you to deposit money?
Choosing the right bank account depends on the way you intend to use your money.
The most common bank accounts that allows you to deposit money are:
Current Account:
A Current Account is designed for your everyday transactions. It allows you to receive your salary or other income, to make payments and transfers, to use the debit card that is linked to your account and to issue cheques, if necessary.
Savings Account:
The purpose of a Savings Account is to save money separately from your Current Account. This type of account usually earns interest helping your funds grow over time and you can use this money to achieve your long-term or short-term goals.
Fixed Term Deposit Account:
A Fixed Term Deposit Account is a time-based account and offers a fixed interest rate depending on the duration you choose. Funds in a Fixed Term Deposit Account can’t be withdrawn before maturity without paying a penalty. This type of account is ideal for long-term savings.
Are deposits guaranteed?
Deposits are guaranteed according to the Deposit Guarantee and Resolution of Credit and Other Institutions Scheme (DGS) up to €100.000 per depositor per banking institution.
You can find more about the Deposit Guarantee and Resolution of Credit and Other Institutions Scheme here.
How can you open an account to deposit money with Ancoria Bank?
Opening an account with Ancoria Bank is simple, convenient, and tailored to your needs.
For Individuals:
Current Account
You can open your first Current Account with Ancoria Bank in one of the Banking Centres in Nicosia, Limassol or Larnaca. Also, you can download the myAncoria app and open your Current Account without visiting the bank at any point. In both cases, you will receive your credentials for online banking electronically and your Debit Card, that is connected to your account, by mail. Beforehand you should gather the required documents:
- Valid ID card or passport
- Proof of address (such as a recent, up to six months, utility bill)
- Proof of source of funds (such as payslip)
Savings Account
In order to open a Savings Account with Ancoria Bank, you will need to have a Current Account. You can visit one of the Banking Centres and the dedicated Relationship Officers will assist you.
Children Savings Account
Parents or guardians can open a Children’s Savings Account at Ancoria Bank by visiting any Banking Centre. Opening this type of account requires a minimum initial deposit of €50, valid identification for both the parent and child and documentation confirming guardianship or parental rights. The account’s sole beneficiary is the minor, however parents or guardians can manage it and deposit money through myAncoria.
Fixed Term Deposit Account
For this type of account you will also need to have a Current Account first. You can visit a Banking Centre and the Relationship Officers will help you with your options and interest rates. If you already have a Current Account, you can log in to myAncoria and open your Fixed Term Deposit Account digitally, without visiting any Banking Centre. A minimum initial deposit of €500 is required.
For Businesses:
Current Account & Fixed Term Deposit Account
In order to open a Business Current Account or a Fixed Term Deposit Account for Businesses with Ancoria Bank, you will have to visit one of the Banking Centres in Nicosia, Limassol or Larnaca. Our professional Business Banking Relationship Officers will help you with anything you need. For a Fixed Term Deposit Account a minimum of €500 initial deposit is required.
