Small Saver Certificate - SSC

AAA

DEFINITION of 'Small Saver Certificate - SSC'

A deposit savings account that has no minimum balance requirement. SSCs were created in 1980 to provide banks and thrifts with a deposit vehicle having an 18-month maturity, in order to compete with money market funds. However, the interest rate ceiling on timed deposit accounts having maturity dates of more than 31 days was eliminated in 1983.

INVESTOPEDIA EXPLAINS 'Small Saver Certificate - SSC'

Today, lenders issue SSCs in small denominations like $500. They can have maturities of as few as 12 months. Interest on SSCs typically compounds monthly. The annual percentage yield (APY) depends on the maturity term of the small saver certitficate.

RELATED TERMS
  1. Deposit Interest Rate

    The interest rate paid by financial institutions to deposit account ...
  2. Maturity

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

    The amount charged, expressed as a percentage of principal, by ...
  4. Bank

    A financial institution licensed as a receiver of deposits. There ...
  5. Thrift Bank

    A financial institution focusing on taking deposits and originating ...
  6. Debit Card

    An electronic card issued by a bank which allows bank clients ...
Related Articles
  1. Insurance

    Are CDs Good Protection For The Bear Market?

    Certificates of deposit promise stable income in any market, but do they deliver?
  2. Forex Education

    How To Compare Yields On Different Bonds

    Find out how to equalize and compare fixed-income investments with different yield conventions.
  3. Investing Basics

    APR and APY: Why Your Bank Hopes You Can't Tell The Difference

    Banks use these rates to entice borrowers and investors. Find out what you're really getting.
  4. Personal Finance

    4 Tips To Cut Your Monthly Bank Fees

    We asked banking professions to share their biggest tips for tackling bank fees, and hopefully save more even before spring hits.
  5. Savings

    Best (And Worst) Places To Change Money In Vegas

    Skip the booths at the airport and find an ATM when you want to exchange currency. Or try to use your credit card. Another good source: casinos!
  6. Investing Basics

    What is an Asset Class?

    A group of securities that exhibit similar characteristics, behave similarly in the marketplace, and are subject to the same laws and regulations.
  7. Investing

    Rethinking About Retirement Investing?

    There are plenty of reasons to rethink your retirement investing, wherever you fall on the spectrum between fatalistic acceptance and cheerful confidence.
  8. Savings

    How To Save On Currency Exchanges in NYC

    You will get the best exchange rate in New York, but it's good to arrive in the U.S. with some dollars in your pocket. Here are tips for tourists.
  9. Savings

    Best (And Worst) Ways To Change Money In Europe

    Which are the cheapest– and most costly – ways to exchange money when you're in Europe? See if you made the right choices on your last trip.
  10. Investing

    Want To Learn Financial Tips For Women?

    Although Men Are From Mars, Women Are From Venus was focused more on love than money, some of the analogy also works fairly well in the world of finance.

You May Also Like

Hot Definitions
  1. Fiat Money

    Currency that a government has declared to be legal tender, but is not backed by a physical commodity. The value of fiat ...
  2. Interest Rate Risk

    The risk that an investment's value will change due to a change in the absolute level of interest rates, in the spread between ...
  3. Income Effect

    In the context of economic theory, the income effect is the change in an individual's or economy's income and how that change ...
  4. Price-To-Sales Ratio - PSR

    A valuation ratio that compares a company’s stock price to its revenues. The price-to-sales ratio is an indicator of the ...
  5. Hurdle Rate

    The minimum rate of return on a project or investment required by a manager or investor. In order to compensate for risk, ...
  6. Market Value

    The price an asset would fetch in the marketplace. Market value is also commonly used to refer to the market capitalization ...
Trading Center