Minimum maturity period of Certificate of Deposit
What is the minimum maturity period of Certificate of Deposit (CD) issued by banks?
The maturity period of Certificates of Deposit (CDs) issued by banks should not be less than 7 days and not more than one year, from the date of issue. The CDs are negotiable money market instrument and issued in dematerialised form or as a Usance Promissory Note against funds deposited at a bank or other eligible financial institution for a specified time period.
Categories: Banking Awareness