For example, if an individual withdraws ₹2,000 from an ATM, this action  represents a withdrawal from their bank account.

How to Understand :  

The withdrawal process is the converse of depositing; it entails the transfer of money  out of an account .

Importance :

Withdrawals provide essential access to cash, allowing individuals to meet immediate  financial needs.

They are critical for executing payments that cannot be processed digitally, ensuring  transactional versatility.

Withdrawals are significant for managing liquidity, enabling individuals to respond to  unforeseen financial emergencies.

Tracking withdrawal activity is vital for assessing personal cash flow and maintaining  awareness of financial habits.