term deposits
Fixed-time bank accounts
Term deposits are funds placed with a bank or financial institution for a fixed period at a guaranteed interest rate.
Unlike regular savings accounts, the money cannot be withdrawn before the term ends without penalty.
Terms range from months to years, with longer commitments typically earning higher rates: She put her inheritance in a six-month term deposit.
Also called time deposits or, in the US, certificates of deposit (CDs).
- interest rateCost of borrowing money
- savingsAccumulated money kept
- maturity dateWhen debt must repay
- rolloverVehicle flipping accident
- ladderingStaggered sequential progression
FDIC insurance · low risk · yield curve · grace period · passbook · opportunity cost · rainy day fund · time horizon · early withdrawal penalty · money market account · compound interest · principal · bank · account · safe · certificate · locked · nest egg
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Accessible bank funds
current accounts · savings accounts · cash · money market accounts · liquid assets
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Ownership stakes or inventory
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