Certificate of Deposit


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Related to Certificate of Deposit: negotiable certificate of deposit

Certificate of Deposit

A written recognition by a bank of a deposit, coupled with a pledge to pay the deposited amount plus interest, if any, to the depositor or to his or her order, or to another individual or to his or her order.

A form of Commercial Paper that serves as documentary evidence that a savings account exists.

certificate of deposit (CD)

n. a document issued by a bank in return for a deposit of money which pays a fixed interest rate for a specified period (from a month to several years). Interest rates on CD's are usually higher than savings accounts because banking institutions require a commitment to leave money in the CD for a fixed period of time. Often there is a financial penalty (fee) for cashing in a CD before the pledged time runs out.

See: receipt
References in periodicals archive ?
Moreover, the company stated that they continue to offer customers the three -year certificate of deposit as the bank increased the rates of the three-year certificate to be 10.25 percent per annum paid annually, 10.20 percent semi-annually, 10.15 percent quarterly, and 10 percent monthly.
It-j: represents the real three month certificate of deposits rates offered by the Central Bank of Jordan as a policy indicator, the three month certificate of deposits rates, the spread between the Jordanian three month certificate of deposits rates and the effective U.S federal funds rate, or the spread between banks lending rate and deposit rate respectively in time period 1,2, ..., T, (the core explanatory variable in bank loan models).
Under existing UCC Article 9, if a certificate of deposit is an instrument, a security creditor can perfect a security interest only by possession.
For the foregoing reasons, Tax Executives Institute recommends that Finance and Revenue Canada give favourable consideration to the introduction of a Tax Certificate of Deposit mechanism.
Sallie Mae, a US saving, planning and paying for college company a subsidiary of SLM Corporation (NYSE: SLM), has increased its 12-month certificate of deposit rate to 1.15 percent APY with an interest rate of 1.14 percent.
United Overseas Bank Limited (U11.SG) (OTC: UOVEY) has said that it has set up an HKD30bn certificate of deposit programme.
Online bank, CIT, has announced its Certificate of Deposit (CD) rate.

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