Fixed time deposit is a type of deposit which is received for a certain period of time without movement and attracts higher interest rate than the prevailing saving interest rate.
DThe minimum period of accepting fixed time deposit shall be three months. The rates of interest vary according to the duration of the deposit received i.e. the longer the deposit remains in the bank the higher is the interest rate earned.
If the customer withdraws the deposit before the agreed upon maturity period, he/she shall forfeit the contract interest rate, i.e., no interest will be paid on the deposited amount.
Interest will be calculated only for the duration of the certificate, i.e., no interest will accrue after expiry of the certificate unless replaced by a new one.
The minimum balance acceptable for fixed time deposit is birr 50,000.
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