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Beware CD early withdrawal musts

By Sheyna Steiner ·
Wednesday, May 30, 2012
Posted: 11 am ET

Last week, the Mississippi Supreme Court backed up a lower court's initial ruling in a case revolving around a woman's right to withdraw funds early from a CD without the necessary documents.

Carolyn Epperson tried to withdraw money from her certificate of deposit before the maturity date at SouthBank in 2005, the Northeast Mississippi Daily Journal reported Friday.

Because she did not present the original certificates of deposit, the bank turned her away and she filed a lawsuit.

The story is complicated by a family drama but the take-home message for CD holders is to pay attention to the terms before signing anything. The requirements for early withdrawals will be spelled out in the contract.

Some types of certificates of deposit, for instance structured CDs, may not allow early withdrawals at all.

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