1. What is a fixed-term deposit?
A fixed-term deposit account is an account on which you place your money for an agreed period of time, during which time you can neither deposit additional money into your account nor withdraw from it. The interest rate is fixed for all the duration of the fixed term. If you know that you will need your money at a specific date, for example in 3 months from now, you can arrange for the fixed- term deposit to mature in 3 months from now.
Additionally you can choose one of our Special Deposit Products that gives you flexibility in their duration, the time at which interest is paid and the ability to withdraw part of the amount deposited before the agreed expiry date.
2. How can I open a fixed-term deposit account?
The process of opening a fixed-term deposit is short and simple. Visit our network of branches to learn about the options available to you and work with your Personal Banker to design a fixed-term deposit that meets your needs. The process for renewing it is just as simple
3. What is the procedure for renewing a fixed-term deposit account?
A few days before your fixed-term deposit expires you will receive a letter reminding you of the expiry date. You need to give instructions if, for example, you want to add to or remove money from the fixed-term deposit. You can also give instructions at the expiry of the fixed-term deposit for the interest or the entire amount deposited and the interest to be transferred to another account.
If you do not want any change in your fixed-term deposit, it will be automatically renewed with the Bank’s interest rate at that time, to ensure that there is no loss of interest even if you forget the fixed-term deposit renewal date.
After renewal, the Bank will send you a fixed-term deposit statement which will contain information about the amount renewed, the new interest rate, the next expiry date and the total amount of interest collected.
4. How is the interest calculated?
Interest is calculated based on the agreed interest rate, the balance in your account and the duration of the account. 30% of the total interest payable is deducted in favour of the Defence Contribution (this applies to permanent residents of Cyprus). If you are not a permanent resident of Cyprus, please tell us about this by filling out the special form so that the 30% Defence Contribution is not deducted.
5. When can I collect the interest?
For the Classic Fixed Deposit account you can collect the interest rate at the expiry/renewal date. However by choosing the right product from our special fixed deposit products you can choose when to collect the interest. You can collect the interest once you open the fixed-term deposit, either monthly or on expiry or even in parts on specific dates chosen
6. What is the difference between Special Deposit Products (“UpFront”, “Monthly”, “Flexi Fix”) and Fixed Term Deposit accounts (“Classic”)?
Special Deposit Products are fixed term deposit accounts with flexible characteristics. Special Deposit Products may vary according to their duration, the time at which interest is paid and the ability to withdraw part of the amount deposited before the agreed expiry date.