Time Deposit Products

4.1 Time Deposit-Code 41 (Regular TD)

Features and Benefits

Higher Interest Earning Potential: Assures clients of yields higher than Regular Savings Account rates.
Guaranteed Yields: Assures client of interest earnings for as long as the deposit remains with the Bank within the agreed term.
Forced Savings: Clients would be "forced" to leave their funds with the Bank untouched for a particular period of time.
Standby credit facility: Deposits can be used as loan collateral. Loan term co-terminus with or earlier than the maturity of the collateral.
Insured with PDIC: Funds are insured up to P 500,000.00


Minimum Initial Deposit:	Php10,000.00
Term	30 – 1800 days
Interest Rate:	Based on prevailing market rates
Withholding tax	20% on interest earned
DST	Shouldered by the bank P1.50 for every P200 or a fraction thereof (For terms equal to or greater than one year) (For terms that are less than one year, DST is pro-rated)
Fund Access:	Certificate of Time Deposit
Transaction Record:	Certificate of Time Deposit

Requirements

To open, a minimum of Php10,000.00 is required.
Time deposits cannot be assigned or transferred by endorsement of the Certificates of Time Deposit (CTD). The time deposit certificate is non-negotiable and will be payable only to the person/s named therein (account name) or to his/her/their heirs, in case of death, subject to the rules and policies on deceased depositors.
Time deposit proceeds are deemed automatically renewed at maturity date. Presentation of the certificate will no longer be necessary to effect auto-renewal. However, pursuant to the client’s instructions, time deposit may be paid/ terminated or credited to a deposit account at maturity date.
If the deposit is withdrawn before maturity date, the applicable pre-termination rates shall apply as basis for computation. Certificates presented to the Bank on or after time deposit account closure will be cancelled and forfeited by the Bank.
The bank reserves the right to charge the client with the payment of the Documentary Stamp Tax (DST) and other applicable taxes imposed on the client’s time deposits with the bank, upon pre-termination of time deposit.

Locked-up Time Deposit Account- Code 42 (Special TD)

The account which is opened for a particular fixed period (time) by depositing particular amount of money.
Money is deposited for a fixed period for more than five (5) years;
The money deposited in this account cannot be withdrawn before the expiry of period.
The depositor is issued a Certificate of Time Deposit (CTD).

Features and Benefits

The main purpose of fixed deposit account is to enable the depositor/client to earn a higher rate of interest on their surplus funds (extra money).
The amount shall be deposited only once. For further deposits, separate accounts need to be opened.
The period for fixed deposits range should not be less than 5 years.( at least 5years & 1 day)
A high interest rate is paid on fixed deposits. The rate of interest may vary as per amount and holding period.
The interest will be received monthly or quarterly and may be deposited to the designated Deposit Account at the option of the Depositor.
Interest is not subject to withholding tax; payment of the one-time Documentary Stamp Tax (DST) applicable to the deposit, shouldered by bank.

NOTE: However, should the depositor pre-terminate the deposit before the fifth (5th) year, a final tax shall be imposed on the entire interest income and shall be deducted and withheld by the depository bank from the proceeds of the long-term deposit based on the remaining maturity thereof:

Four (4) years to less than five (4) years — 5%

Three (3) years to less than four (4) years — 12%

And Less than three (3) years — 20%

The depositor is given a Certificate of Time Deposit (CTD), which depositor has to produce/present at the time of maturity.
Standby credit facility. Deposits can be used as loan collateral. Loan term co-terminus with or earlier than the maturity of the collateral.
Insured with PDIC, up to Php500,000.00


Eligibility	Individuals, partnership firms, private company and associations, & etc.
Requirements	Documentations for opening of account
Minimum amount	Php50,000
Maximum amount	No maximum limit
Interest	The Interest Rate is related to the pre-agreed holding period and amount of the deposit. Interest are computed and received monthly or quarterly and credited to the depositors’ Savings/Current Deposit Account pre-designated.
Interest Taxability	Interest earned is not taxable
DST-one time	P1.50 for every P200 or a fraction thereof of the amount of deposit (shouldered by bank)
Premature withdrawal	As a rule, withdrawals are not allowed until maturity. However, in case of emergency, banks may allow to close the fixed account prior to maturity date. In such cases, the bank deducts 1% of the principal as bank charges & charged retro withholding taxes on the accumulated interest earned (BIR regulations per RMC No.18-2011 & RMC No. 7-2015) and a pro-rated amount of DST.

Note: Existing Locked-up Deposit Accounts-Code 52 with passbook; Upon maturity (fixed period 5 years or more)-will be transferred to Locked-up Deposit Accounts-Code 42

Requirements

To open, a minimum of Php10,000.00 is required.
Time deposits cannot be assigned or transferred by endorsement of the Certificates of Time Deposit (CTD). The time deposit certificate is non-negotiable and will be payable only to the person/s named therein (account name) or to his/her/their heirs, in case of death, subject to the rules and policies on deceased depositors.
Time deposit proceeds are deemed automatically renewed at maturity date. Presentation of the certificate will no longer be necessary to effect auto-renewal. However, pursuant to the client’s instructions, time deposit may be paid/ terminated or credited to a deposit account at maturity date.
If the deposit is withdrawn before maturity date, the applicable pre-termination rates shall apply as basis for computation. Certificates presented to the Bank on or after time deposit account closure will be cancelled and forfeited by the Bank.
The bank reserves the right to charge the client with the payment of the Documentary Stamp Tax (DST) and other applicable taxes imposed on the client’s time deposits with the bank, upon pre-termination of time deposit.