What is a Fixed Term Deposit account?
A Fixed Term Deposit account is a savings account that allows you to save a fixed amount of money for a fixed period of time at a fixed interest rate. Your funds are held until the maturity date of the Fixed Term Deposit account. You cannot add funds to a Fixed Term Deposit account during the investment term.
What Fixed Term Deposit accounts are available on Clarity by Investec?
The Fixed Term Deposit accounts available on Clarity by Investec are as follows:
Investec 6-month Fixed Deposit
Investec 12-month Fixed Deposit
Investec 24-month Fixed Deposit and
Investec 60-month Fixed Deposit
Each Fixed Term Deposit account will earn a different interest rate, and the applicable rate will be confirmed when you open the account.
How do I see my Fixed Term Deposit account maturity date?
You can view the maturity date of your Fixed Term Deposit in the Account Summary for that savings account.
You can follow these steps:
Select Save from the navigation bar.
Navigate to My Savings Products.
Select the Fixed Term Deposit account you would like to view.
Your Account Summary will be displayed, where you can see the maturity date and the number of days remaining until maturity.
What are the penalty fees for early withdrawal from a Fixed Term Deposit account?
The penalty fees for early withdrawal from a Fixed Term Deposit account depend on the account, the amount being withdrawn, the remaining term and the account terms that apply. If early withdrawal is available, Clarity by Investec will show the applicable penalty or breakage information before you confirm the instruction.
Can I withdraw only part of my Fixed Term Deposit account early?
Yes, you can withdraw only part of your Fixed Term Deposit account early only if the remaining balance will still be at least R10,000. The R10,000 amount is the minimum balance that must remain in the Fixed Term Deposit account after a partial early withdrawal. If the withdrawal would cause the remaining balance to fall below R10,000, you will need to withdraw the full Fixed Term Deposit account balance.
Early withdrawals will be subject to a penalty fee, which will be shown on Clarity by Investec before you confirm the instruction.
What happens to the interest I've already earned if I break my Fixed Term Deposit account early?
If you break your Fixed Term Deposit account early, the interest you have already earned will not be affected by the early withdrawal penalty or breakage cost. However, there will be a early withdrawal penalty fee. Clarity by Investec will show the estimated impact of the early withdrawal before you confirm the instruction, including how the penalty will affect the amount paid out. Following the early withdrawal breakage, you will continue to earn interest at the agreed fixed rate for the remained of the fixed term, as long as the minimum balance remains in the fixed term deposit account
How is the early-withdrawal penalty calculated?
The early-withdrawal penalty for a Fixed Term Deposit account is calculated based on the Fixed Term Deposit account terms, the amount being withdrawn, the remaining term, the interest rate and the timing of the early withdrawal.
Can the penalty be more than the interest I've earned?
The early-withdrawal penalty on a Fixed Term Deposit account could be more than the interest you have earned. The early withdrawal penalty fee is determined based on the amount withdrawn, the remaining term, the interest rate and the timing of the early withdrawal.
When can I select my maturity instruction?
You can select or change the maturity instruction for your Fixed Term Deposit once the account has been opened.
To set or change your maturity instruction:
Select Save from the navigation bar.
Scroll to My Savings Products.
Select the Fixed Term Deposit you would like to update.
Select the three dots next to the account name or in the top-right corner of the screen.
Select Maturity Instruction.
Choose what you would like to happen to your funds when the Fixed Term Deposit reaches maturity.
You can change or update your maturity instruction up to 24 hours before the date of maturity.
What maturity instructions can I choose?
You can choose to have your funds:
Transferred to your ZAR wallet.
Paid to a selected beneficiary.
Reinvested into a new Fixed Term Deposit, at the applicable interest rate available at the time of reinvestment.
Important: If you do not select a maturity instruction, your funds will automatically be transferred to your ZAR wallet when the Fixed Term Deposit matures.
If I reinvest my Fixed Term Deposit account, will I receive the same interest rate?
If you reinvest your Fixed Term Deposit account, you will not necessarily receive the same interest rate as your previous Fixed Term Deposit account. The new Fixed Term Deposit account will earn the interest rate available for the selected term and amount at the time you confirm the reinvestment instruction on Clarity by Investec. Interest rates can change on a daily basis.
What happens if my Fixed Term Deposit account matures on a weekend or public holiday?
If your Fixed Term Deposit account matures on a weekend or public holiday, the maturity instruction will not be impacted by a weekend or public holiday. The maturity instruction will be processed on the day same day. Clarity by Investec will show the relevant maturity information on the account summary of the savings account.
Can I transfer my Fixed Term Deposit account maturity funds into a Notice Deposit or Instant Access account?
No, you are unable to transfer your Fixed Term Deposit account maturity funds directly into your Notice Deposit or Instant Access account. Your funds will need to first be moved to your ZAR wallet. From your ZAR wallet, you can move these funds into your Notice Deposit or Instant Access account when you need to.