Time Deposit Assumptions

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The Time Deposit account area of your balance sheet is another area that could be affected by prepayments. However, here, the affect will be reversed from the loan area. Customers may choose to take advantage of a rising rate environment, if the penalty for early redemption is offset by the new higher earnings rate. For example purposes, we placed a set of prepayment assumptions on the Tcd-<100n - 12 Month account.

 

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