The commercial bank accepts various types of deposits from the public. These deposits are payable after a certain time period. There are different types of deposits that are accepted by the commercial banks like demand deposits, savings deposit, current account deposit, permanent deposit and recurring deposit. Out of this, demand deposit is considered to be a form of money. Demand deposits can be withdrawn by the user as and when the amount is required without any restrictions using cheques. Thus it is also considered as a modern form of money.
