Question : Which of the following is a feature of a savings certificate?
Option 1: Low interest rate
Option 2: Flexible withdrawal option
Option 3: Fixed maturity period
Option 4: No penalty for premature withdrawal
Correct Answer: Fixed maturity period
Solution : The correct answer is (c). Fixed maturity period
A feature of a savings certificate is a fixed maturity period. Savings certificates are financial instruments offered by banks or other financial institutions that provide a fixed rate of return over a specific period of time. During this fixed maturity period, the funds deposited in the savings certificate cannot be withdrawn without penalties or limitations. The maturity period can range from a few months to several years, depending on the terms and conditions set by the issuer.
