Final answer:
A savings deposit that cannot be withdrawn before maturity without a high penalty is called a certificate of deposit (CD).
Step-by-step explanation:
A savings deposit that cannot be withdrawn before maturity without a high penalty is called a certificate of deposit (CD).
With a CD, you agree to deposit a certain amount of money in the account for a stated period of time. If you withdraw the money before the maturity date, you may incur a substantial penalty.
For example, let's say you deposit $10,000 in a CD for one year with a penalty of 3%. If you need to withdraw the money after 6 months, you would be charged a penalty of $300 (3% of $10,000).