What type of account allows individuals or businesses to deposit or withdraw money as needed?

A checking account is specifically designed for individuals and businesses to manage their day-to-day finances. This type of account allows frequent transactions, enabling account holders to easily deposit and withdraw money as needed. Checking accounts typically come with features such as debit cards, checks, and online banking, making it convenient for paying bills and accessing cash.

In contrast, a savings account is primarily intended for accumulating savings over time and may have restrictions on the number of withdrawals or transactions each month. An investment account is focused on buying and selling financial securities and does not generally allow for easy access to cash. A certificate of deposit (CD) locks the funds for a fixed term with penalties for early withdrawal, emphasizing saving rather than everyday access to funds. Therefore, the primary function of a checking account makes it the most suitable choice for those needing flexible access to their money.