Term Savings: Are They Available in Your Country?

[Suba]

In my country, besides regular savings, banks also offer term savings or planned savings products. There are no bank administration fees. The purpose of term savings is to help savers achieve their financial goals. Savers can choose a one-year or three-year term, or even monthly deposits, as agreed with the bank. However, these term savings cannot be withdrawn at any time when the funds are needed. If the saver is forced to withdraw funds, a penalty will be imposed.

With term savings, after the saver makes an initial deposit, they can then deposit monthly from the target funds that must be accumulated, as agreed with the bank.

Some of the benefits of term savings include:
Higher interest rates than regular savings
Improved financial discipline
Implementation of better financial planning

 

[Augusta]

I only know about fixed deposit here which is having the same characteristics like this termed savings . I don't know if it is same

 

[eLdavis]

I don't know if banks have this option here, but there are lots of apps that have this option where they lock your money and you won't be able to access it until the agreed time. Apps like piggyvest does this.

 

[Springtime]

Yes, we have term savings here. Banks offer better interest rates for term savings. But if you withdraw money within the agreed term, there will be penalty charges.

 

[Suba]

Term savings and deposit products are different, in deposits only an initial deposit is required and then the money is locked for a certain period of time, whereas in term savings, apart from the initial deposit, the owner of the term savings account can still deposit money every month.

 

[Starmix]

In my country it is called Time Deposit to mean savings cannot be withdrawn any time you want. It has specific number of years for a time deposit. I also have my three - year time deposit.

 

[Bigshow]

Yeah here its allowed and also fixed savings is also allowed here i must say i wanna venture on that one