Client money: Difference between revisions

Client money (view source)

915 bytes removed , 26 November 2019

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 **And so, lo and behold, there are: they are called '''{{tag|bank}}s'''.
 **When you deposit your money with a bank you have its credit risk. But, as we all now know, banks are special: they’re carefully regulated, well capitalised and generally designed to be appropriate places to look after your money.
-====In a {{nutshell}}====
-A normal bank deposit is an unsecured liability of the bank’s to repay an amount of money: it is a form or loan, repayable on-demand. a bank deposit does is not any kind of right over any money deposited by the bank: it can’t be.
-Only banks are entitled to hold deposits. Everyone else to whom you give cash, apropos nothing, must deposit it with a bank. The bank will record that the account is in the name of the depositor as trustee for its client. In that case there is no debtor/creditor relationship with the payee as long as the payee promptly transfers the [[cash]] on to a bank with whom you will have a debtor/creditor relationship. Note this is also title transfer (you can’t {{isdaprov|not}} title transfer cash), but within a prescribed period, the transfer goes to a third party bank. (if the intermediary were to go insolvent in the mean time it’s tough luck).
-}}
 {{client money and banks}}