The procedure for calculating and paying interest...

The procedure for calculating and paying interest on deposits certified by deposit (savings) certificates

Interest rates on certificates are established by the authorized body of the credit organization.

The interest is paid by the credit institution regardless of the time of its purchase, if the holder of the certificate receives the right to claim a deposit or deposit on a certificate, the interest rate initially due to the issuance of the certificate, due to the owner at the expiry of the circulation term.

In case of early presentation of a savings (deposit) certificate for payment by a credit institution, the deposit amount and interest on demand deposits are paid if the conditions of the certificate have a different amount of interest.

If the period of receipt of the deposit (deposit) under the certificate is overdue, the credit institution is obliged to pay the amounts of the deposit and interest specified in the certificate at the first request of its owner. For the period from the date of claiming the amounts on the certificate until the date of actual presentation of the certificate for payment, interest is not paid.

A credit institution can not unilaterally change (reduce or increase) the interest rate established in the certificate when it was issued.

The credit organization accrues interest on savings (deposit) certificates for the balance of debt on the principal debt, recorded in the corresponding personal account at the beginning of the business day. Accrual of interest on the certificate is carried out by the credit organization at least once a month and not later than the last working day of the reporting month. Payment of interest on the certificate is carried out by the credit institution at the same time as the certificate is paid when it is presented.

According to paragraph 2 of the Regulation on the procedure for maintaining accounting records of transactions related to the issue and repayment by credit institutions of savings and deposit certificates approved by the US Central Bank on 30.12.1999 No. 103-P, interest on the amount of the certificate is calculated from the day following the date of receipt deposit (deposit) to a credit institution, on the day of demanding the amount of the deposit (deposit) inclusive. At the same time, the actual number of calendar days in a year (365 or 366 days respectively) and the interest rate (in percent per annum) indicated on the certificate form are taken as base. If the days of interest accrual period for a certificate fall on calendar years with different number of days (365 and 366 days respectively), interest accrual for days falling on a calendar year with the number of days 365 is made at the rate of 365 calendar days per year, and for days , falling on a calendar year with the number of days 366, is calculated at a rate of 366 calendar days per year.

Calculation of interest can be carried out according to the formulas of both simple and compound interest. If in the conditions of issuance of certificates the method of interest calculation is not indicated, then the calculation is carried out using the simple interest formula.

When the date of the deposit or deposit demand comes, the credit organization makes a payment against the presentation of the certificate and the owner's application specifying the account for which the funds are to be credited. Funds from the repayment of the deposit certificate can be sent at the request of the owner only to his correspondent, settlement (current) account.

For citizens, payment can be made either by transferring the amount to the account, or by cash.

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