Direct deposit also known as direct credit is a banking term that describes a deposit of money straight from the source into a bank account, by electronic funds transfer, or other means where the payment is initiated by the payer not the payee. The money is transferred directly to the recipient bank through a payment system.
Direct deposits facilities are often a feature of online banking systems. The direct deposit or direct credit facility is often better known by country specific payment systems used to action these payments. For example:
A deposit account is a savings account, current account, or other type of bank account, at a banking institution that allows money to be deposited and withdrawn by the account holder. These transactions are recorded on the bank's books, and the resulting balance is recorded as a liability for the bank and represents the amount owed by the bank to the customer. Some banks may charge a fee for this service, while others may pay the customer interest on the funds deposited.