Relationship: Deposit Account

PPB Banker-Customer Relationship Free JAIIB Capsule 164 views Updated 22 Sep 2026

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PPB · Banker-Customer Relationship

When a customer opens a savings or current deposit account with a bank, what is the primary legal relationship established?

Tap to flip and reveal the answer

The Bank is the Debtor, and the Customer is the Creditor.

Since the customer lends money to the bank, the bank owes the money back. The customer has no security from the debtor (bank).

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Relationship: Deposit Account — Full Text

When a customer opens a savings or current deposit account with a bank, what is the primary legal relationship established?

Answer

The Bank is the Debtor, and the Customer is the Creditor.

Additional notes

Since the customer lends money to the bank, the bank owes the money back. The customer has no security from the debtor (bank).

Part of Principles & Practices of Banking · Banker-Customer Relationship · Last updated 22 Sep 2026

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