Term Deposits
Term deposits are a unique type of investment that range from one month all the way to a few years, depending only on your unique agreement. They’re a little different from regular investments but a good term deposit still earns interest. Read on to learn how you can use term deposits.
Different Types of Term Deposits
There are a few different ways you can make a term deposit. It’s important you know all your options before going ahead:
Short-term vs Long-term
If you need some quick returns, a short-term term deposit is ideal. They can be as short as one month. Very short deposits like this often come with lower interest rates. If you’re interested in larger gains over a longer period of time, you can make term deposits for up to five years or even more. These come with higher interest rates and you’ll make a great profit by the end.
Redeemable vs Non-redeemable
The difference here is simple. Non-redeemable term deposits aren’t meant to be redeemed before the end of the term, and doing so will incur a penalty. Redeemable term deposits are a little more flexible, but there may still be conditions. For example, you may only be able to redeem on the anniversary date, or it could take 30 days to get access to your money.
Take Advantage of Term Deposits Today
Although a little confusing, term deposits are a great way to add to your investment portfolio. Reach out to us today and we’ll get you set up with the perfect arrangement for you and your financial goals.
