term-savings

Vocabulary Word

Definition

'Term-savings' is a fancy way of saying 'long-term savings plans, often in a bank.' These plans usually have a specific time limit, meaning that you can't withdraw the funds until the time is over, often for better interest rates.

Examples in Different Contexts

In personal savings, 'term savings' refer to savings accounts or certificates of deposit (CDs) that lock funds for a fixed term to earn interest. A financial planner might suggest, 'Putting your emergency fund in a term savings account can earn you higher interest than a regular savings account.'

Practice Scenarios

Marketing

Scenario:

We need to boost the visibility of our savings products. Let's consider emphasizing the security and potential earnings.

Response:

Let's launch a campaign highlighting the benefits of our term-savings products.

Accounting

Scenario:

She has idling cash that should be put to work. How can we help her optimize it for future needs?

Response:

For her, starting a term-savings account would be a smart way to maximize returns on her extra cash.