Why do people keep money in transaction accounts?

People keep money in transaction accounts for easy access to funds for everyday expenses and transactions, such as paying bills or making purchases. These accounts typically offer liquidity and facilitate quick transfers, making them convenient for managing cash flow. Additionally, many transaction accounts provide features like debit cards and online banking, enhancing their usability. They may also earn minimal interest, which, while not the primary reason for holding funds, can provide a small return compared to holding cash.