Interest rates for fixed deposits in Singapore are inching up above 4 percent, as banks continue to dish out sweet deals amid competition for cash.
At OCBC, customers of the bank’s flagship 360 savings account can get a per-annum rate of 4.08 percent for a minimum placement of S$20,000 over eight months as part of a Chinese New Year promotion rolled out this week. Non-360 customers get a rate of 3.88 percent.
The bank is also offering it’s Premier Banking and Premier Private clients a promotional rate of 4.18 percent for an eight-month fixed deposit.
“This is the highest Singapore-dollar time deposit interest rate we have offered to customers in recent history,” said OCBC Bank’s head of deposits Na Kok Peng.
An eight-month tenor was offered for the promotion as the number symbolises prosperity in Chinese, Mr Na said, adding that a shorter tenor also offers customers greater flexibility.
OCBC is the only local bank to have rates for fixed deposits above 4 percent so far.
UOB, which was among the more aggressive banks with monthly deals last year, has maintained its promotional rates this month at a range of 3.55 to 3.95 percent across varying tenors.
DBS, Singapore’s largest bank, has largely refrained from jumping on the bandwagon of promotions, instead opting to raise its board rates or general fixed deposit rates thrice last year.
At least two foreign lenders also increased their Singapore-dollar fixed deposit rates to more than 4 percent as early as last month.
A promotion on Malaysian bank CIMB’s Singapore website offers customers a rate of 4.05 percent per annum for a nine-month fixed deposit. Longer tenors of 12 and 18 months are at 4.15 percent. The bank has a minimum placement requirement of S$10,000.
At another Malaysian bank RHB, the promotional rate for a 24-month deposit is now at 4.1 percent for Singapore customers who make a minimum placement of S$20,000 via its mobile app.
