Bank deposit: sample contract, interest

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Bank deposit - a means of raising funds for the conduct of their activities by banks. In return, contributors receive a certain income in accordance with the terms of the agreement. Its application revealed many nuances, some of which we will deal with.

Regulations

The basic array of norms is contained in the Civil Code, some points are regulated by the norms of the legislation on banking, deposit insurance. Bank deposits are subject to anti-money laundering regulations.

Relations with citizens are covered by the law "On the protection of consumer rights", protection against unfair competition, personal data, etc.

Thus, a bank client who believes that his rights have been violated has the right to apply to the FAS, Rospotrebnadzor and the Central Bank. Complaints are considered in accordance with the regulations on these organizations and relevant regulations.

All banks on their Internet resources post sample contracts for each deposit program or provide them for review when you come to a bank branch. It is also allowed to familiarize yourself with the rules of the bank:lists of conditions on which deposits are accepted and accruals are made.

General information

The contract will not begin from the moment the documents are signed, but from the moment the money is transferred to an account in a bank or credit institution. As a rule, only the recipient of money has obligations, the client acts only as a beneficiary.

The bank deposit agreement refers to accession agreements. The client remains to agree with the proposed conditions, making changes to them on his part is not provided.

Deposits are considered public contracts - the bank has no right to refuse to accept money. Despite additional measures to protect the rights of citizens - consumers of services, the difference in conditions in comparison with legal entities is almost not provided. Offering different terms is considered a violation of antitrust laws by creating discrimination.

Deposit insurance

The service applies only to bank deposits of individuals, and organizations or public entities (municipalities, governments of subjects) do not have appropriate protection.

The bank, accepting money, is obliged to inform about the conditions for securing a deposit, to provide information about what rights the client has. If the depositor is a legal entity, provisions on security are included in the agreement.

Non-fulfillment by the bank of the conditions of collateral or their deterioration gives the right to terminate the contract and recover damages in court.

Types of deposits

GC offerstwo types of bank deposits:

• funds are returned at the first request of the depositor or his representative;
• money will be returned within the agreed timeframe.

The law does not prohibit the use of other forms of deposit, provided they comply with the current legislation.

For example, different terms of the agreement, minimum amounts, interest rates, conditions for renewal or termination of the agreement are offered.

A bank deposit can be opened in the name of a third party or access to it is provided in connection with a certain event (coming of age, entering the bark, the birth of a child, etc.).

Deposits are offered with simultaneous use of several currencies with different interest rates.

Deal Conclusion Form

The following variations are practiced:

• drawing up a full contract;
• filling out an application or questionnaire, after which a certificate or other document is issued confirming the fact of making a deposit;
• one document is issued, which confirms the conclusion of the contract and contains a sufficient amount of information.

Supporting documents must meet legal requirements or bank regulations if such papers are not provided for by legislative acts.

Failure to comply with the written form gives grounds to consider the contribution invalid. The sides return to their original position,payment of interest on the deposit is not provided. True, the client has the right to demand payment for the use of other people's funds.

Parties

A financial institution that attracts deposits is prohibited from operating without state permission in the form of a license.

Another condition for attracting deposits is participation in the insurance fund.

Any organization or citizen can act as a contributor. The state or subjects of the federation (or municipalities) formally have the right to open deposits in banks, but do not use it. In order to store the increase in capital, other methods are used.

Citizens have the right to make deposits from the moment they turn 14 years old. They do not need parental or guardian permission.

Instead of the deceased citizen, the heirs act on his side, in the case of the termination of the existence of the organization - the successor or the liquidation commission.

Terms of the contract

A variety of conditions are offered, of course, bank managers try to raise as many funds as possible for longer periods of time.

The most popular are bank deposits for a year. At present, confidence in the financial system is low, and the offer to invest money for a longer period of time is not popular.

More often, the contracts contain a clause on the extension of the contract if the depositor did not appear on time for the money. A delay of at least one day is sufficient forin order to automatically extend the agreement for another period of the same period, if this is provided for by the document. Otherwise, the deposit is transferred to the status on demand.

Termination of the contract

Amendments have been made to the Civil Code, giving the right to a citizen to demand the amount of the deposit and the interest accrued on it, or part of the amounts. The exception is deposits for which savings certificates are issued with a ban on withdrawing money before the expiration date.

Cancellation of the right to early return of the deposit is prohibited and is considered void, except for agreements with a savings certificate.

By terminating the contract ahead of schedule and at the initiative of the client, the bank is obliged to pay accruals at the rates offered for demand deposits.

The procedure for issuing money is provided directly by the contract. A passport and a power of attorney are presented if someone instead of the owner has come to the bank.

Savings bearer certificates are cashed to any person who claims to issue money.

Bank deposit rates

The amount of interest that clients receive as profits should not deviate by two settlement points from the amount established by the Central Bank. If the bank goes beyond the allotted limits, fines are imposed on it. For this reason, there is no significant difference in the amount of accrued amounts.

At the time of writing, the national average was 7.25%.

The accrued interest on foreign currency deposits is lower, but their profitability in terms of rubles is the same.

Change in rates

The rate is determined by the terms of the agreement. In its absence, calculations are made on the basis of the key rate of the Central Bank.

The Bank has the right to change the interest on demand deposits, unless otherwise specified in the agreement with customers.

The Bank has no right to change the interest rate on deposits made for a certain period. Exceptions are provided by federal laws.

In the case of legal entities, changing the rate on such deposits is permitted according to regulations and law.

In deposit agreements and savings certificates, the law does not allow changes in the interest rate.

Interest rules

The accrual of interest on bank deposits is made from the next day after the money is deposited into the account. The day the funds are returned or debited is also included in the time period for which accruals are made.

Accruals are paid quarterly. If they have not been paid, then they are added to the deposit, and accruals are also already being made on them. The amount for which accruals are made increases quarterly.

Deposit account

An account is opened where the deposited funds are stored. In this regard, the bank and the client have a number of rights and obligations.

Firstly, the account holder has the right to give instructions on the movement of funds (for example, transfer a payment to a third party).

The Bank is obliged to keep the secret of the deposit and carry out operations in accordance with the provisions of the law and its own rules. Transfer delaysare paid at the expense of the bank by accruing interest under the scheme of using other people's funds.

The rules for servicing a bank account and a bank deposit must not contradict the provisions on the deposit. For example, the bank does not receive fees for services rendered as a result of opening and using an account. The client is limited in using funds and withdrawing them from the account, based on the terms of the deposit.