Poroshenko signs law on rights of banks to offer fixed deposits without early deposit withdrawal

13:48, 04.06.2015 1 min read

Ukrainian President Petro Poroshenko has signed a law on the conditions of returning fixed deposits (draft law No. 1195) which allows banks to offer fixed deposits without the option to withdraw deposits early.

"I signed the law on the conditions of returning fixed deposits, which would promote the stabilization of the banking system," Poroshenko wrote on his Twitter page.

The draft law divides deposits into fixed deposits and fixed deposits with the option of early withdrawal, and retains the category of called deposits.

Amendments to the Civil Code have been made stating that under the banking deposit agreement, the bank is obliged to issue deposits and rates accrued when the term of deposits stipulated in the banking agreement expires.

The new conditions for deposits will apply to the period after the day when the law takes effect and will not apply to deposits that have been already opened.

Commercial banks and the National Bank of Ukraine have welcomed the adoption of the law.