A term deposit is a fixed investment of currency into a set time limit as to when it can be withdrawn.

A term deposit investment is a non-liquid savings product with a short-term maturity date, ranging from a few months to a few years.

Because of this fixed term, we are able to pay a higher interest rate than a liquid (or demand) deposit savings account. These low-risk instruments are very safe and serve as an appealing alternative for the conservative investor.

With any term deposit, no additional deposits or withdrawals are permitted and early withdrawal will result in penalties. However, in the even of death or incompetence of the owner, early withdrawal will generally be permitted without penalty.