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Bank Deposits

Fixed deposit

A fixed deposit is a financial tool where an individual deposits a certain amount of money to a bank, financial institution, or company. In return, the receiving entity pays interest at a predetermined rate for the duration of the deposit. This allows investors to earn a guaranteed return on their investment. Once the deposit reaches its maturity date, the original amount is returned to the investor. In simpler terms, fixed deposits are also referred to as term deposits.
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