If I ask you to hold my drink, you’re not allowed to drink it. Banks have rights to do certain things with your deposits, but it’s not theirs. They can’t decide to pay salaries and deduct the amount from the deposits.
Custody isn’t title.
Custody isn’t title.
The deposit is their liability (obviously they can't spend it). The dollar is their asset. When you deposit the money into a bank that dollar is not yours anymore, the bank is not keeping it in custody for you.