Breaking fixed deposit

R

rainbow pen

New Member
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8
I have a 1 year fixed deposit bank account that rolls over automatically.

My deposit rolled over into a new fixed year term without me cancelling. I had thought if withdrew my money anytime I could forfeit the interest for that period of time.

However my bank won't give me access to my money for another 11 months. I realise they are completely in their rights legally etc. but very frustrating with the interest rate is almost negligible.

Is this normal procedure or are banks flexible on this?
 
Are you sure about that?
Most fixed term contracts have a break clause.

Have you checked the Terms & Conditions?
 
The terms say that the bank may refuse an early withdrawal at it's sole discretion.

They have refused withdrawal.

No issue with the legality.

Just an eye opener when you lodge money in a one year fixed term deposit account you lose control of your own money. I always believed you could withdraw and take a hit on any interest you would have earned.
 
You have just proved that reading the terms & conditions is always a good idea even if it is a pain in the neck

Although it is surprising that the bank want to hold onto the money - most banks are delighted if you reduce your deposit balances these days as it costs them money
 
I'm fairly sure every bank will have that clause on a fixed term deposit account but I haven't had it enforced before. Really just curious at this stage if it's the norm now.
 
We do not know what bank it is, so maybe that's part of the problem
 
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