TeachMeFinance.com - explain depositor
depositor -- a person or entity that places funds in an account at a financial institution.
Depositor -- One who deposits money (or the equivalent of
money, as checks, drafts, etc.) in a bank to be placed to his
credit is a depositor.
A bank agrees with a depositor that it will pay out his
money in accordance with his directions and not otherwise.
If he orders money to be paid to a specified person and then
revokes the order before the bank has either made the pay-
.ment or obligated itself to do so (as, for instance, by certifying the check) it is the duty of the bank to obey the revocation
and refuse to make the payment. If it pays the check notwithstanding
the revocation the payment cannot be charged
against the depositor.
About the author
Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English".
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