Note Notice

DEFINITION of 'Note Notice'

A notice that a lender mails to borrowers notifying them that notes – securities they have invested in – have matured. The notice will include the amount due and maturity date. While there is no regulatory time frame for how far in advance a note notice must be sent out, standard notification time is at least 10 days prior to the note's maturity date.

BREAKING DOWN 'Note Notice'

Certificate of deposit (CD) holders will receive a note notice prior to their CD's maturity date. CD investors have the option of withdrawing their funds (principal and interest) at maturity or reinvesting them in another investment vehicle. If customers do not withdraw their funds upon a CD's maturity, most banks will automatically renew the CD investment for the same term at the quoted current interest rate.

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