Foreign Currency Time Deposit

The Foreign Currency Time Deposit refers to service that individual customers deposit foreign exchange funds with ABC in a lump sum for a specific term, receive the deposit certificate issued by ABC, and withdraw the principal and interest in a lump sum upon expiration of deposit term.

Foreign currency time deposit is subject to a minimum amount equivalent to RMB50. There are five options of deposit term: one month, three months, six months, one year and two years. 

Basic deposit currencies are U.S. dollar, Hong Kong dollar, Japanese yen, Euro, Great Britain pound, Australian dollar, Canadian dollar, Swiss franc and Singapore dollar. For deposit of any other freely convertible currency, the customer needs to convert it into any of the foregoing basic currencies at exchange rates applicable on the date of deposit.

Benefits

Safeguard funds of customers, generate interest income, and meet customers' needs for appreciation of foreign exchange funds. Rollover service is available for foreign exchange time deposit, providing simple procedure and reasonable interest rate without repeated physical presence of customers at our outlets.

Procedures

1. The customer opens an account by presenting identity certificate. To open an account, the customer needs to correctly fill out the time deposit form, deposits a certain amount and specifies the way of withdrawal. The teller issues the deposit certificate if no errors are found.
2. The customer deposits and withdraws money using passbook in specified way. Each transaction is printed or recorded on the passbook. 

3. The customer may close the account if he/she no longer needs the passbook.

FAQs

1. How is interest rate determined for foreign currency time deposit?

Interest rate of foreign currency time deposit varies with deposit amounts. Interest on small deposit amounts (less than USD3 million or equivalent) accrues at the applicable rate announced by PBOC for foreign currency time deposit; interest on large deposit amounts (USD3 million or equivalent, or above) accrues at a rate negotiated between the deposit-taking branch and the customer within the range permitted by the higher tier, and any interest rate in excess of the permitted range should be approved by the higher tier.
2. How is foreign currency time deposit withdrawn?

The customer may withdraw deposit with accrued interest upon maturity in a lump sum by submitting the deposit certificate. The depositor may request premature withdrawal in part or in whole by presenting the deposit certificate and identity certificate. Interest on prematurely withdrawn amount accrues at the foreign currency demand deposit rate applicable on the date of withdrawal, while the remaining amounts still generate interest at the original rate determined on the date of deposit. In the case of delayed withdrawal, the interest accrued after the maturity date should be at the foreign exchange demand deposit rate officially announced on the date of withdrawal.

Tips

1. Customers should properly keep their deposit certificates, passwords and identity certificates. Deposit certificates and identity certificates should be kept separately.
2.  Loss reporting of deposit certificates or passwords needs to be handled by the customer in person at the outlet.