Definition
Deposit contracted for a specified period of time. If the contract contains a clause indicating so, the deposit amount can only be withdrawn before the term expires with the authorization of the financial institution and with a penalty on its remuneration.
Further information
In a broader sense, this category of financial instruments also includes some non-negotiable financial assets, such as non-negotiable certificates of deposit. Term deposits of up to two years are included in the monetary aggregate M2 (and therefore in M3), while term deposits of more than two years are included in the longer-term (non-monetary) financial liabilities of the monetary financial institutions sector.
Related concepts
Update date: January 2025
