It really has been a very long long time since I wrote about fixed deposits because I could not find any ones that are good and simple to understand. Recently, I found a good deal from CIMB Bank.
As part of their 9th Birthday celebration, CIMB Bank is offering an additional 0.09% interest per annum on all their online promotional SGD Fixed Deposit rates.
You can choose the duration of 3 months, 6 months or 12 months and if you apply online, they offer higher interest rates as shown in the table below.
| Interest Rates (% p.a.) | |||
| 3 Months | 6 Months | 12 Months | |
| Branch Rate | 1.30 | 1.45 | 1.55 |
| Online Exclusive Rates | 1.49 | 1.64 | 1.84 |
A minimum of S$10,000 per placement is required.
Using S$10,000 as an illustration,
If you place a fixed deposit for 3 months, the total accrued amount (principal + interest) that you will receive is
A = 10000(1 + (0.0149 × 0.25)) = 10037.25
A = $10,037.25
If you place a fixed deposit for 6 months, the total accrued amount (principal + interest) that you will receive is
A = 10000(1 + (0.0164 × 0.5)) = 10082
A = $10,082.00
If you place a fixed deposit for 12 months, the total accrued amount (principal + interest) that you will receive is
A = 10000(1 + (0.0184 × 1)) = 10184
A = $10,184.00
I believe the above is a good deal if you have extra cash to park aside for a short duration of maximum 12 months.