Post by shikharani00188 on Oct 29, 2024 4:18:51 GMT
Refund of the deposit amount at the end of the contract term
Early return of the deposit amount
Why is it unprofitable to close a deposit early?
Is your deposit coming to an end or do you want to withdraw money early? In this article, we will tell you how to correctly arrange a deposit return and what subtleties you need to remember in order not to lose your profitability.
Refund of the deposit amount at the end of the contract term
This is the simplest situation. Usually, the bank deposit virtual phone number service agreement stipulates that at the end of its term, the entire amount together with accrued interest is automatically transferred to the specified client's current account.
If the deposit term end date falls on a non-working day, it is moved to the next nearest working day. In this case, interest is accrued up to and including the actual deposit term end date.
At Expobank, on the deposit expiration date, you can independently transfer funds to your bank card or account via the Expo Online Internet bank. The transfer is instant, and you can use the money immediately. If you need to withdraw cash from the deposit, you need to go to the bank branch, informing them in advance so that the amount can be prepared for you at the cash desk.
If the deposit is subject to prolongation and you have not claimed the money on the expiration date, the deposit will be automatically extended for the next term under the bank's current terms. In this case, you will need to contact the bank branch to return the deposit. To ensure the required amount of cash at the office cash desk, it is also recommended to call the bank in advance at the contact center at 8-800-500-07-70.
Deposit return: all the nuances – Expobank
Early return of the deposit amount
According to the Civil Code, namely paragraph 2 of Article 837, any bank must return the money or part of it to the depositor upon his first request. Therefore, the client can always withdraw his funds from the deposit, even if its term has not yet expired. However, it is not profitable to do this, and here is why.
If the deposit agreement does not stipulate the possibility of partial withdrawal of funds, then in order to withdraw the entire amount or part of it, the depositor will have to terminate the deposit early. In this case, the bank has the right to recalculate all accrued interest at a reduced rate - "on demand". As a rule, it is 0.01% per annum. Even if the interest has already been paid to the depositor to a separate account, the bank will recalculate and issue a refund of the deposit amount minus this interest.
To close a deposit early, you will need to go to a bank branch with your passport. Most banks do not allow you to do this remotely. At the office, you will need to write an application to close the deposit, after which you can receive the funds at the cash desk or ask to transfer them to your current or card account.
But there are also deposits for which partial withdrawal of funds is possible. As a rule, the client can withdraw capitalized interest or part of the deposit body early, without closing the deposit itself and without going to the branch. Sometimes banks set the amount of the minimum balance, limit the amount of withdrawal or the number of withdrawals.
For example, under the "Reliable Maximum" deposit from Expobank, holders of the banking services package have access to early partial withdrawal of funds, but no more than 50,000 rubles per transaction. The number of transactions depends on the deposit term: for deposits for a term of 91 or 181 days, one withdrawal is available, for 367, 730 or 1095 days - two.
Why is it unprofitable to close a deposit early?
Let's look at an example. Oksana opened a term deposit for 1,000,000 rubles for a year at a rate of 9% per annum. After 10 months, she decided to renovate her apartment and wanted to withdraw the money.
Now the amount of her deposit has grown to 1,077,538 rubles, taking into account the capitalization of interest. If Oksana closes the deposit early, all accrued interest will be recalculated at a rate of 0.01%. That is, Oksana will receive her initial 1,000,000 and about 5 thousand rubles more. But she could have waited just two months until the end of the deposit term and received 1,093,807 rubles. It turns out that by closing the deposit early, Oksana misses out on 88,807 rubles.
Of course, there are life situations in which it is necessary to close a deposit early. Therefore, it is important to carefully choose deposits with conditions that best suit your needs. If you understand that you may need money sooner, pay attention to deposits with the possibility of early withdrawal of the entire amount or part of it, or to savings accounts. For example, Expobank offers the savings account "Optimal" .
Read this article to find out how savings accounts differ from deposits .
