- An investment product where a fixed sum of money is deposited into an account for a set period of time with interest paid over the term.
period, timed deposit, predefined duration, length of action, extent of time
Related Terms and Acronyms
- Guaranteed Investment Certificate (GIC) — Acronym, Important,
- An investment that pays a set rate of interest over a fixed period of time.
- Money Market Account (MMA) — Acronym,
- A bank account that restricts the type and number of withdrawals. The account also earns interest similar to money market funds.
- Term — Definition,
- The length of time you commit to repay a lender or bank at an agreed upon interest rate and payment schedule. The interest rate usually remains constant during this term unless the commitment states otherwise. For example, a five year fixed rate mortgage has a term of five years.