A depositor is a person who puts money into a bank account. When you receive birthday money and take it to the bank to save, you become a depositor at that bank. Your parents are depositors when they deposit their paychecks into their checking account.

Banks rely on depositors because they use that deposited money to make loans to other customers (who pay interest on those loans). In return, the bank keeps your money safe and may even pay you a small amount of interest for letting them hold it.

Being a depositor gives you certain rights and protections. In the United States, the government insures depositors' money up to $250,000 per depositor, per insured bank, through a program called FDIC insurance. This means that even if a bank fails, depositors get their money back. This protection was created after the Great Depression, when many banks collapsed and depositors lost their savings, causing widespread panic and hardship.