Procedure for Operating Savings Bank Account – Deposit in the Account (For CBSE, ICSE, IAS, NET, NRA 2022)

Doorsteptutor material for competitive exams is prepared by world's top subject experts: get questions, notes, tests, video lectures and more- for all subjects of your exam.

Procedure for Operating Savings Bank

Once you have opened the account, you must also know how to operate the account. In other words, you have to know the procedure to be followed for further deposits to be made in the account and for withdrawing money from the account.

Deposit in the Account

  • ‘Paying-slip’ for deposit of the initial amount while opening your account. It is a printed form, which you get in the bank. Each ‘pay-in-slip’ has two parts divided by perforation, the right-hand part known as ‘foil’ and the left-hand part known as ‘counter-foil’ . The slip has to be filled up while depositing cash or a cheque. Separate pay-in-slip form will have to be filled up while depositing both cash and cheques.
  • For deposit cash in account pay-in-slip has to be filled up giving the date of deposit, your name or account-holder՚s name if you deposit money in somebody՚s account, account number, and the amount deposited in figures and words. Besides you have to enter on the slip, in the place indicated, how many currency notes of different denominations (₹ 5, 10, 20,50, 100, etc.) are being deposited along with the amount against the types of notes. The bank has had a counter for cash receipts then sign and present the pay-in-slip there and also hand over the amount of cash. The receiver will keep the foil (right hand part) of the pay-in slip while the left-hand part (counter-foil) will be rubber-stamped, signed by him, and returned to you.
  • Instead of cash, when deposit cheque in bank, instead of going to another bank to encash it. Bank will collect the amount of the cheque and record it as a deposit in savings bank account.
  • To deposit the cheque, you have to use the pay-in-slip again, filling in particulars like the date of deposit, the account number, name of the account-holder, the serial number and date of the cheque, name and address of the bank on which the cheque is drawn, and the amount of the cheque in figures and words. After signing the slip, have to attach the cheque with the foil by an all pin (steel pin) , and present the slip at the counter for cheque receipt. The person at the counter will keep the foil with the cheque attached, and return to you the counter-foil with bank rubber stamp and his signature. In some banks, there is a box kept near the counter. The bank rubber stamp is also available at the counter. The depositor is to put the rubber stamp on the foil and counterfoil. Then after separating the counter-foil, the cheque along with the foil is to be dropped in the box through a slit.

Withdrawal from Deposit Account

You deposit your savings for use in future. The need for money may arise any time. So, you should know how to get back your money from the bank. In the above section you have learnt about the procedure for deposit of money in the savings bank account. Let us know the procedure for withdrawal of money from your account.

Procedure for Withdrawal of Money from Account

Withdrawal Form

Every bank has printed withdrawal forms, which can be used by account holders to withdraw cash from deposit accounts. The form has to be filled in, mentioning the date of withdrawal, account number, amount to the withdrawn (in figures and words) and the signature of the account holder. You have to produce it along with your pass book at the counter at which your account is handled. At the counter the officer concerned generally passes the form for payment after checking the balance in the account and the signature on the withdrawal form against the specimen signatures on record. The amount of withdrawal is recorded in the pass book, and payment is made at the counter if the amount is within a certain limit (say, ₹ 5,000) , otherwise a disc or token is given which bears a number. This has to be presented at the cash payment counter for receiving the amount withdrawn.


  • As an account-holder, you can withdraw cash from your savings bank account by making use of a cheque also. Cheques can also be issued for payment to other parties. Thus, a cheque issued to another person can be either encashed by him at the bank, or deposited in his account in some other bank.
  • Withdrawal by issue of cheque requires the same procedure to be followed as that for withdrawal by filling in and signing the withdrawal form explained above. In both cases the amount of withdrawal is recorded in the books of the bank in the relevant savings bank account. Interest allowed on the balance of deposit is also recorded in the relevant accounts maintained in the books of account of the bank. These are also entered in the Pass Book as and when presented by the account-holder to the bank.

ATM Card

Banks issue ATM card to its depositors for easy withdrawal of money from their accounts. This card is used for withdrawal of money from saving and current deposit account through Automated Teller Machine (ATM) . It is a magnetic card, which can be operated by using a particular secrete number. It is the most convenient system of withdrawal of money.

Developed by: