In the world of finance, a cash deposit is defined as money that is injected into a checking, money market or savings account, either via money transfer, ATM machine or through a bank teller. In simple terms, a cash deposit is money placed in a financial institution for protective custody. This money can be made available for withdrawal after the transaction is completed and is the responsibility of the bank to make the funds available to the account holder.
If a transaction is done via check, some banks may impose a minimum waiting period, but in a cash deposit, the funds are made available to the depositor almost immediately, after the transaction has been completed. Normally, financial institutions require the account holder to complete certain formalities before the transaction has been completed, like filling a deposit slip that contains information about the bank account including the account holders name, account number and cash amount to be deposited in the account.