Tuesday, August 2, 2016

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.

  1. You have to open up a special fresh funds account.
  2. Then you transfer in "fresh funds" into this account.
  3. Maintain the fresh funds until 4 Feb 2017.
  4. 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 this POSB promotion is that close to almost everybody has a POSB/DBS account, so taking advantage of this promotion is rather simple and easy. It seems like it can all be done online rather quickly.

The best part about this promotion is that there isn't a minimum amount. I suppose more people would be constrained by the maximum amount of $50,000. The alternatives available in the market today are not as attractive. 

CIMB has a 1.5% 6-month fixed deposit too, but it is for minimum amounts of $20,000. OCBC is sorely lacking with their *promotional* rate of 1.15% for a 12-month fixed deposit. What is UOB doing? Probably sitting in the corner eating glue. Nobody ever knows what the hell UOB is doing. (Just kidding, they have a 1.35% 13-month fixed deposit, which is surprisingly better than OCBC)

With the SSB at record lows (see my prediction vs the actual), this promotion is actually really, really attractive for people with excess cash looking for somewhere safe to park it. 

So, if you've been thinking of where to park your money for the next 6 months, look no further! With no minimum amount and one of the highest interest rates around, what's holding you back? Apply before the 4th of August!

FYI: Not a paid advertorial, but I would like to hint to POSB/DBS to pick up on this and pays me $100 every time I highlight their promotions, haha. Sure better than Google Adwords, trust me.

3 comments:

  1. Maybank has a 1.68% 12-month fixed deposit: http://info.maybank2u.com.sg/promotion/deposits-banking/12month-sgd-td.aspx

    ReplyDelete
    Replies
    1. Hi J,

      I checked out the link that you put up, looks interesting!

      It is a minimum $33,000 deposit though ($30,000 in the FD and $3,000 in the regular savings account). However, I think once you take into account that the BEST rate on the savings account is only 0.5%, the weighted average comes down to 1.57% in the best case. In a more realistic scenario, the average interest would be less than this 1.55%.

      The plus side is that there doesn't seem to be a cap. The downside is the rather large minimum sum and the slightly longer lock-in period.

      I've never seen such a scheme like this before though. It was very interesting to read about it. Thanks for sharing!

      Delete
  2. Am looking at this but I was deterred by the opening of new account. I wanted less accounts, not more! Haha :)

    ReplyDelete

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