Search Results for: fixed deposit

CIMB Fixed Deposit at >1.2% p.a

Just applied for the CIMB FD at 1.2% for 6 months with $20k. I have been thinking if I should apply for this or park my money into shares. Guess I’m not that stocks-savvy to take the plunge. Regardless, this FD will earn me an interest of around $120. With my BOC Smartsaver max out at $60k, this 1.2% interest is slightly better than me leaving the remaining money in my Fastsaver. Will keep a look out for other deals to park my extra cash. Btw, the FDs promotions this year have been...

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My ARA Asset Management fixed deposit adventure.

When I shared my full year results end of last year, I mentioned ARA Asset Management’s offer of $1.78 a share and how it translates to 35% to 78%capital gains for me if the offer is to be accepted. At the time, I had a fixed deposit maturing and ARA Asset Management’s share price was at$1.71. So, I decided to plonk the money from the fixed deposit into their stock. It looked like it would be a sure win, an arbitrage opportunity, and I would get a 4% “interest rate” so to speak within half a year or so. At the time, I knew...

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Chinese New Year 2017 Fixed Deposit Promotion

Banks usually offer higher promotional interest rates during Chinese New Year. Standard Chartered Bank seems to be the first mover that launch its Chinese New Year 2017 Time Fixed Deposit promotion. CIMB did not offer special interest rates for fixed deposits this year. Instead, they are giving away gift sets such as abalone and it is limited to a number of placements. I shall update the table below when more subsequent banks introduce their Chinese New Year promotions. 2017 Fixed Deposit Promotions Bank Interest Rate Minimum Sum Holding Period Remarks SCB 1.15 % S$25,000 7 months Fresh funds 1.18...

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POSB 1.55% 6-month Fixed Deposit Promotion

Hi all, FYI in case y’all aren’t in the know, but POSB is having a 1.55% p.a. interest for 6 months if you deposit fresh funds. (T&C here) The way that this works is slightly different from previous fixed deposit promotions. You have to open up a special fresh funds account. Then you transfer in “fresh funds” into this account. Maintain the fresh funds until 4 Feb 2017. Your capital amount and Cash Gift (the interest) will be credited to your main reference account. This 1.55% promotion isn’t too bad, but it’s not super awesome. The good thing about...

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Behind Fixed Deposit Home Loan Rates

Fixed Deposit Home Rate (FHR) loans are loans with interest rates tied to fixed deposit interest rates. Recently, such loans have become quite popular among property owners looking to finance their properties. They like such loans because the interest rates are much more stable than those of the Singapore Interbank Offered Rate (SIBOR) loans. In addition, it is perceived that if banks were to raise the FHR rates, they would also incur higher interest costs for their source of funds, thus making such moves unlikely. However, is that really the case? Currently, the FHR loans available in the market...

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Chinese New Year 2016 Fixed Deposit Promotions

Chinese New Year 2016 is approaching soon. Every year this time, banks will offer promotional fixed deposit rates. Last year, I placed my money with POSB for 12 months at a promotional interest rate of 1.88 percent. I also got the S$88 lucky Ang Bao (“red packet”) that was offered for the first 10,000 customers. Personally, I felt that the promotional interest rates this year was not fantastic and in fact, most banks are offering lower interest rates as compared to last year. If you compare it with the Singapore Savings Bonds, the interest rate look even worst. February Singapore...

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Rude Shock – DBS increased Fixed Deposit Rates

Woke up to a rude shock today….DBS bank has increased the fixed deposit rates! The US federal government increased their interest rates on 16 December 2015 and after 7 calendar days, DBS bank follows suit. Within 2 months of repricing my home loan at a repricing fee of $500, my home loan has increased. Previous loan if i had carried on = 0.96%(1 month sibor) + 1% spread=1.96%Current loan = 1.1% spread + 0.675%  average of 12 and 24 months ( in red box)= 1.775%Total interest savings for first three years = $3700Net savings after including repricing fee =...

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2015 December Fixed Deposit Rates Update – 1.80% P.A.

First some clarifications: Fixed Deposit is not for real investment.  My review on Singapore’s FD is limited to S$50,ooo and below; and tenure term not exceeding 12 months.  Fixed Deposit is for parking the emergency fund and allowing immediate access to the fund when needed.  These are also based on the following considerations: Singapore’s Deposit Insurance Scheme maximum coverage up to S$50,ooo only. Long tenure term will potentially affect your cash-out value for your emergency fund, as you may suffer a penalty fee for early withdrawal. Back to the update: The highest interest rate in the market now is 1.80% p.a., offered...

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Fixed Deposit Home Rate – The Alternative Interest Rate To SIBOR

Interest rates are going up. This has been the concern for the past few months for many people. A rise in interest rates hurts borrowers and benefits savers. If you are a borrower, a rise in interest rates will really affect you. If you have existing loans such as car loans, housing loans and student loans, a rise in interest rates will mean you’ll have to pay more every month to repay these loans.   If you have existing loans especially housing loans, here is some good news for you. There are ways to mitigate this rise in interest...

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2015 November Fixed Deposit Rates Update – 1.80% P.A.

First some clarifications: Fixed Deposit is not for real investment.  My review on Singapore’s FD is limited to S$50,ooo and below; and tenure term not exceeding 12 months.  Fixed Deposit is for parking the emergency fund and allowing immediate access to the fund when needed.  These are also based on the following considerations: Singapore’s Deposit Insurance Scheme maximum coverage up to S$50,ooo only. Long tenure term will potentially affect your cash-out value for your emergency fund, as you may suffer a penalty fee for early withdrawal. Back to the update: The highest interest rate in the market now is 1.80% p.a., offered...

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Banks offering higher fixed deposit interest rates amid Singapore Savings Bonds competition. Will housing loan rates go up?

One of the after effects of the government http://www.investmentmoats.com/budgeting/singapore-savings-bonds-ssb-start-issuing-september/ is that with a viable product for the consumer masses, with a limited money supply, the competition will be more. Straits Times today tallied how the banks are offering higher fixed deposit rates in light of this competition from SSB. Looks attractive and affordable. Compare this to the prevailing SGS Bonds yield to maturity: The fixed deposit come in competition with the sgs bonds in the 1.1 years range, which is roughly 0.66%. Looks like they are upping it. But like what analysts say, they may be trying to offer...

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Fixed Deposit Rates Update – 1.70% P.A.at CIMB Bank

First some clarifications: Fixed Deposit is not for real investment.  My review on Singapore’s FD is limited to S$50,ooo and below; and tenure term not exceeding 12 months.  Fixed Deposit is for parking the emergency fund and allowing immediate access to the fund when needed.  These are also based on the following considerations: Singapore’s Deposit Insurance Scheme maximum coverage up to S$50,ooo only. 2. Long tenure term will potentially affect your cash-out value for your emergency fund, as you may suffer a penalty fee for early withdrawal. Back to the update: CIMB Bank’s 12-months FD rates of 1.70% p.a. for S$50,000 is currently...

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Fixed Deposit Just Matured… Now What?

6 months ago, I took part in the DBS fixed deposit promotion that offers 1.5% for a 6 month tenure. In a few days time, that fixed deposit will mature and I will have back a respectable heap of cash that will be sitting around waiting to do nothing. So what should I do with it? Almost exactly a year ago, I was saying that one of my goals was to open up another bank account for my excess cash, and it would probably be with CIMB. Of course, it was not until recently that I had the delightful...

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Singapore Savings Bonds – Why They are Almost Exactly Like Your Friendly Fixed Deposit Accounts

More details about the Singapore Savings Bonds (SSB) was announced by the Monetary Authority of Singapore (MAS) last Monday. This is an entirely new initiative by the Government to ensure that citizens have another long term savings option with better than CPF returns. We think it is a great product that all eligible Singaporeans should subscribe to. At the same time, we also understand that in general, retail investors are more acquainted with equities. Far and few are familiar with bonds and the bond market. For many, bonds are an extremely foreign instrument. They are thought to be the domain...

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Fixed Deposit Rates Update – 1.368% P.A.at Singapura Finance

First some clarifications: Fixed Deposit is not for real investment.  My review on Singapore’s FD is limited to S$50,ooo and below; and tenure term not exceeding 12 months.  Fixed Deposit is for parking the emergency fund and allowing immediate access to the fund when needed.  These are also based on the following considerations: 1. Singapore’s Deposit Insurance Scheme maximum coverage up to S$50,ooo only. 2. Long tenure term will potentially affect your cash-out value for your emergency fund, as you may suffer a penalty fee for early withdrawal. Back to the update:  With all the talks about higher interest rates, the FD...

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