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Tags: microfinance
Categories: Economics & Finance
Savings payments that are required as part of loan terms or as a requirement for membership, usually in a credit union, cooperative, microfinance institution, village bank or savings group. Compulsory savings are often required in place of collateral. The amount, timing, and level of access to these deposits are determined by the policies of the institution rather than by the client.
(source: http://www.gdrc.org/icm/glossary/#C)
Synonyms:
mandatory savings
