Charges to this account reflect the amount of credit given customers for interest on their deposits. Suppose that for the month ending June 30 interest on depositors' accounts amounted to $1,000. The general ledger entries covering this interest payment would be as follows:

Debit: Interest Paid on Deposits (23)

$1,000

Credit: Due to Depositors (37).....

$1,000

Of course, the amounts credited to the various depositors' accounts would be shown in detail in the depositors' ledger.