Storage of cash, works of art and other valuables can be carried out in various ways. One of them is deposit. What is it and how is it implemented? This process is organized, that is, it is formalized according to certain rules and with the obligatory provision of documents confirming the transfer to storage of certain things. The place, as well as the conditions of the deposit, depend on what exactly is the subject of the agreement between the parties, which can be both individuals and legal entities. Consider the existing options for this process and start with the most familiar and common - cash deposit. What is it and how is it carried out?
Deposits: types of sales
When the money is transferred to the deposit of a banking organization, they speak of their deposit. This concept is broad and includes several storage options:
These processes practically do not differ in the way they are implemented, but only have different terms and conditions for withdrawing money. A depositor makes a contribution of a certain amount of money to an account opened with a credit institution, and that, in turn, issues a written certificate of deposit of money to him. The document is called a certificate of deposit. It confirms the right of a person (depositor) to receive the corresponding amount transferred for storage to the bank. If the deposit is made on demand, then you can get the money back at any time upon presentation of the specified document. The interest accrued during this time is not lost, therefore, this service is used if you plan to withdraw funds in the near future or as soon as necessary.
An equally popular banking service is an escrow. What does this mean? The fact that the money is transferred for storage for a certain period agreed in advance between the parties and specified in the contract. During this period, interest is accrued on the deposit amount, increased compared to interest on demand deposits. However, withdrawal of funds earlier than stipulated by the contract term will lead to their loss. In a number of countries, urgent certificates of deposit are wrapped up and can be sold to dealers and depositors of a credit institution with a loss of interest. This practice exists, for example, in the USA.
Escrow: bank cell
In a narrow sense, depositing funds with a bank means storing them in a bank cell. At the same time, the money is not used as investment by customers, but is only stored in a credit institution. In this case, we are not talking about any accrued interest and turnover of financial assets. Why keep money in a cell if you can put it in a bank account and earn money at the same time? As a rule, this practice is used in various transactions to guarantee their execution.
Exrow mechanism
This mechanism is most often used as a way to enforce a transaction between parties. As a rule, these are calculations for stocks, other securities and when buying / selling real estate. The extra-agent is an independent person who implements the agreement when the parties fulfill the terms of the transaction. The most popular type of exrow mechanism is bank escrow. This is a "reservation" of a certain amount of money in a bank cell (sometimes in a special deposit account).
The seller can receive them if he has fully complied with all the terms of the transaction specified in the tripartite agreement. If they are not met, then the deposited funds are returned to the buyer. Such a process is called "escrow." At the same time, the contract clearly spells out all the smallest nuances of the transaction, a list of documents required for the provision of documents, etc. After a thorough verification by the ex-agent of the fulfillment of all conditions, the transaction is either carried out or is broken.
The object of deposit is most often cash, but there may be securities, documents, and non-cash funds. In Russian practice, such deposit options are used less frequently.
Bank reserves and deposit ratio
Commercial banks not only accept funds for storage, but also transfer them on deposit to the country's main bank, the Central Bank of the Russian Federation. They are called mandatory reserves and serve to regulate the liquidity of the banking system. Standards for reserve requirements are set by the Bank of Russia depending on how it is necessary to influence the size and structure of the money supply in the country.
It consists of population cash and bank reserves. The former are the main offer of money, the latter determine the ability to create deposits by the banking system. The way in which the distribution of funds between cash and deposits is carried out demonstrates the deposit ratio. It shows the preferences of the population regarding the choice of the form of storage of money. How to calculate the deposit ratio? The formula is the ratio of cash to the sum of all bank deposits. The higher this ratio and the required reserves ratio, the lower will be the credit potential of the country's economy.
Deposit of works and copyright
This type of deposit, such as the transfer of works for storage, is used for a number of reasons:
- for proof of authorship;
- to fix the date of creation of the work;
- to preserve the value itself.
Representatives of creative professions often encounter such a thing as plagiarism. You can warn him and provide documentary proof of his authorship by registering the created work. This process is also called “escrow”. This is a procedure that is carried out by special services, for example, the Center for the Examination of Intellectual Property in Russia. The registry contains information about the author, as well as about the work itself. This information may be provided when resolving copyright disputes and court cases.
When registering a work, the author is given an official confirmation of his rights - a certificate of deposit. You can get it on such types of property as objects of painting, sculpture, architecture, design, musical and literary works, photographs, computer programs, etc. For this you need to provide a copy of them, as well as complete information about the place and time of creation, information about the author and his signature.
Methods of depositing a work
Deposits can be simple, open and made through registration with the Russian copyright society. The first option is related to the transfer of directly created product for storage. He himself is not studied, but only packed, sealed and left in a safe place for a certain period. The author is issued a certificate of deposit with information about the work. This option is suitable when it is necessary:
- ensure the safety of the object of art;
- confirm the date of registration of the work (proves that it was created earlier than transferred for deposit).
When registering copyright, a work and authorship are registered with the introduction of information on an intellectual property product in a single register. This type of deposit provides a solid evidence base when plagiarism is discovered to assert its unconditional rights as a creator.
Other types of deposit
Most often you can hear about such types of deposits listed above as financial resources and works of art. Often, securities and documents are deposited. To this end, they are transferred to depositories, banks, archives, reference and information funds and other special organizations.
There is a deposit in international law. In this case, we are talking about signed and approved agreements between governments, organizations of different countries, instruments of ratification, instruments of accession to the agreement, etc. They (their original text) are deposited with the depositary through a diplomatic or other authorized representative. During the deposit, the corresponding document is recorded in the protocol, which is drawn up at the international depository organization or the foreign affairs agency of the country, which is the depository.
Deposits in medicine
This term is also found in medicine. We are talking about the unique abilities of our body. He is also able to store certain substances for their subsequent use at the right time. This may be the deposition of blood, hormones, fats. They are temporarily excluded from the processes of metabolism and circulation when they are available in quantities sufficient and excessive for the functioning of the body. And in moments of deficiency, stress, illness, etc. are used to maintain normal life.
There is also a negative deposit - this is the accumulation of various toxins, radioactive and medicinal substances in human tissues and organs. They enter the body from the environment and interfere with its normal functioning.
Conclusion
We examined what is the deposit, what it is and what types of this process are found in various areas of life. Regardless of the scope of use of the term, in a general sense, escrow is the process of storing something (money, valuables, works, documents, etc.) for subsequent use for certain purposes.