Note Notice

AAA

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.

INVESTOPEDIA EXPLAINS '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.

RELATED TERMS
  1. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. ...
  2. Maturity

    The period of time for which a financial instrument remains outstanding. ...
  3. Note

    A financial security that generally has a longer term than a ...
  4. Security

    A financial instrument that represents: an ownership position ...
  5. Term

    1. The lifespan assigned to an asset or a liability, over which ...
  6. Acquisition

    A corporate action in which a company buys most, if not all, ...
Related Articles
  1. Diversification Beyond Stocks
    Investing Basics

    Diversification Beyond Stocks

  2. Basic Investment Objectives
    Options & Futures

    Basic Investment Objectives

  3. Are High-Yield Bonds Too Risky?
    Bonds & Fixed Income

    Are High-Yield Bonds Too Risky?

  4. The Advantages Of Bonds
    Investing

    The Advantages Of Bonds

comments powered by Disqus
Hot Definitions
  1. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  2. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  3. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  4. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  5. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  6. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
Trading Center