Generally, companies park their surplus funds or the funds that are certainly not required urgently with the Banks by opening a Term Deposit Account. These term deposits may be opened for a shorter or longer durations depending upon the funds requirements.
Below is the format of request letter to be given to the Banks for opening a Term Deposit Account.
Request Letter to Bank for Opening Term Deposit
The Bank Manager
________________ (name and address of the Bank)
Subject: Application for Opening of New Term Deposit of Rs. ________________ (amount)
We ________________________ (name of the company) hold a Current Account bearing number _____________________ (current account number) at your Branch and wish to open a Term Deposit. The details of the said Term Deposit are provided below:
We hereby request you to open a Term Deposit as per the above instructions and issue us a certificate of Term Deposit.
Kindly do the needful and oblige.
For ________________________ (Name of the company)
Authorised Signatory Authorised Signatory