What are the differences between a savings account and fixed deposit? In short, savings account lets put in and withdraw money at any time without penalty on your interest earnings. As for fixed deposit, you have to put in a specific amount of money that needs to be locked down by the bank for a period of time. If there is a withdrawal during the lock down period, you will lose ALL or 50% of your total return.
Therefore, despite having to put our savings in fixed deposit, most of us will still have a substantial amount of savings in our savings account as well. Who doesn’t need to prepare liquid cash for daily expenses and emergency use, right? In that case, why not put them into a savings account that generates you return equivalent to or even higher than fixed deposit?
Putting money into savings account has never been so rewarding! Last year we brought to you an article on OCBC 360 savings account which offers up to 4.10% of interest . In case you missed it, here’s the link to that article : Have your savings account gain interest like fixed deposit. Just recently, OCBC has launched a brand new savings account, the OCBC Booster account that could let you earn up to 4.45% interest! That’s right, it’s a whopping 4.45% which is better than any fixed deposit rate at the time of writing. OCBC Booster account is available in both conventional and islamic banking.
“You don’t need a Fixed Deposit account to get higher interest rate!”
Is it true that you can really earn up to 4.45% of interest? The answer is YES! All you need to do is to maintain a minimum of RM 30,000 in the account to earn the first 3.25% of interest. Then, sign up for a savings plan or put in a lump sum into Unit Trust investment to earn another 1.20% of interest, which brings the total to 4.45%.
As OCBC calls it “Wealth Bonus”, this 1.20% can be earned through 2 methods for conventional banking:
And as for Islamic banking, there’s only 1 method available:
If you’ll like to know more, here’s the link to the official page : OCBC Booster Account or you could drop by any OCBC branch to enquire more on this. Just don’t let your money sit in a normal savings account!
OCBC 360 and OCBC Booster saving accounts both have their own unique features to cater to different target market. Although OCBC 360 may give you slightly lower return (4.1%), the requirements to fulfill are also more lenient and more achievable for certain people. Do have a read on both the accounts and decide for yourself on which suits you best!
Now go forth and SAVE!!
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