It is a time deposit account which not only offers a return at a predetermined rate of interest to Turkish Lira deposits of our customers, but also protects the value of their savings against foreign currencies.
Features
This account may be opened once or more than once by all natural persons resident in Turkey (natural persons having a legal residential address in Turkey, also including the Turkish national workers, self-employed people and independent entrepreneurs working abroad).
Minimum rate of interest will be equal to the policy rate of interest announced by CBRT.
The account will be opened with maturities of 92, 181, 272 and 366 days, and if the end of maturity coincides with a holiday, the end of maturity will be applied as the next business day.
Account opening threshold is equal to TL 10,000.
Partial money cannot be withdrawn from this account throughout the maturity, or money cannot be deposited in this account at any time other than the date of maturity.
Withholding tax rate will be equal to Zero (0). However, withholding tax rate may vary in line with the regulations or decrees pertaining thereto.
All payments related to this account will be made in TL currency.
Account opening and closing transactions via ON Communication Centre may be executed between 11:00 and 15:30 hours in business days.
Beginning-of-maturity and end-of-maturity exchange rates to be used in calculations will be USD/TRY exchange buying rate announced by CBRT at 11:00 hours on account opening and closing dates.
At the end of maturity, the account will, after accrual of interests and after payment of Exchange Difference, if any, thereon following announcement of foreign exchange buying rate by CBRT at 11:00 hours at the date of maturity, be closed and transferred to the Customer’s demand deposit account.*
The account may be closed by the account holder before the date of maturity. However, if the account holder wishes to close the account before the date of maturity, the Bank does not pay any interest. Furthermore, the foreign exchange buying rate announced by the Central Bank of the Republic of Turkey at 11:00 hours on account opening date will be compared to the foreign exchange buying rate announced by CBRT at 11:00 hours on account closing date, and if the foreign exchange buying rate announced by CBRT at 11:00 hours on account closing date is lower, the account balance will be updated according to that exchange buying rate, and in this case, the account holder may incur a loss from principal sum deposited as of the beginning date of maturity.*
Log-in on the ON mobile app or ON Internet Branch now and easily open your account via Accounts step.
If you are not yet registered in ON, download our mobile application ON. At the step “I Want to be a Customer”, fill in the form, and after a video talk with our specialized customer representatives, be easily registered in ON! You can transmit your exchange rate-protected deposit account request to our specialized customer representatives during video talk.
Example 1 : Scenario Where Increase in Exchange Rate is Higher Than Interest Return
Account opening exchange rate:
1 USD = 10 TL
Account opening amount:
TL 100.000
Maturity:
92 Days
Example Interest Rate:
23,00%
Net interest payable to customer:
TL 5.797,26
Exchange rate at the end of maturity:
1 USD = 15 TL
Return on increase in exchange rate:
TL 50.000 (%50 increase in exchange rate x TL 100.000 = TL 50.000)
The difference 50.000 – 5.797,26 = 44.202,74 TL will be separately paid to the customer.
Thus, total return payable to the customer will be TL 50,000.
At the end of maturity, customer’s account balance will be TL 150,000.
Example 2 : Scenario Where Increase in Exchange Rate is Equal to or Lower Than Interest Return
Account opening exchange rate:
1 USD = 10 TL
Account opening amount:
TL 100.000
Maturity:
92 Days
Example Interest Rate:
23.00%
Net interest payable to customer:
TL 5.797,26
Exchange rate at the end of maturity:
1 USD = 10,2 TL
Return on increase in exchange rate:
TL 2,000 (2% increase in exchange rate x TL 100,000 =TL 2,000)
As the deposit interest return (5.797,26 TL) is higher than the increase in exchange rate (TL 2,000), the customer will only be paid the deposit interest.
The customer will earn an income of TL 5.797,26.
At the end of maturity, customer’s account balance will be TL 105.797,26.
Example 3 : Scenario Where Exchange Rate Decreases in Comparison to Beginning of Maturity
Account opening exchange rate:
1 USD = 10 TL
Account opening amount:
TL 100.000
Maturity:
92 Days
Example Interest Rate:
23,00%
Net interest payable to customer:
TL 5.797,26
Exchange rate at the end of maturity:
1 USD = 8 TL
As the exchange rate has not increased, the customer will only be paid the deposit interest.
The customer will earn an income of TL 5.797,26.
At the end of maturity, customer’s account balance will be TL 105.797,26.
Example 4: Scenario Where Account is Closed Before the End of Maturity, and Exchange Rate Decreases
Account opening exchange rate:
1 USD = 10 TL
Account opening amount:
TL 100.000
Exchange rate as of the date of early closing:
1 USD = 8 TL
A balance of TL 80,000 calculated over 1 USD = 8 TL exchange rate current as of the date of early closing will be transferred to the customer account. In this case, the customer’s principal will have been decreased by TL 20,000.
Example 5: Scenario Where Account is Closed Before the End of Maturity, and Exchange Rate Remains Same or Increases
Account opening exchange rate:
1 USD = 10 TL
Account opening amount:
TL 100.000
Exchange rate as of the date of early closing:
1 USD = 12 TL
An amount of TL 100,000 calculated over 1 USD = 10 TL exchange rate current as of the date of account opening will be transferred to the customer account.
