DEFINITION of 'Notice Of Withdrawal'

A notice given to a bank by a depositor. As its name implies, a notice of withdrawal states the depositor's intention to withdraw funds from an account. This notice applies to both time-deposit and NOW accounts.

BREAKING DOWN 'Notice Of Withdrawal'

Notices of withdrawal are used only for time-deposit and NOW accounts that bear interest. Banks may require depositors to provide this notice seven days prior to making a withdrawal; however, this rule is usually waived for NOW accounts.

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RELATED FAQS
  1. How do you withdraw money from your 401(k)?

    Deciding to take a withdraw from your 401k is not a decision that should be made lightly. However, for those who needs funds, ... Read Answer >>
  2. Why would you keep funds in a money market account and not a savings account?

    Read about the differences between money market accounts and savings accounts, and see why a depositor would elect a money ... Read Answer >>
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