The Best Financial Institution for your Money
Overview
If you are looking for the best financial institution for your money, it’s important to consider your specific needs. If you are looking for a good place to invest in a fixed deposit, you need to do your research.
A fixed deposit is an amount of money you save that cannot be accessed until maturity and no additional funds may be added to this investment. Anyone wanting to place a fixed deposit should thoroughly examine all their options first.
Interest can be capitalised or withdrawn on demand, however, withdrawal of the deposit before maturity is not allowed. Customer funds are illiquid for a specific period of time with a given fixed interest rate of return. Some lending institutions may require a minimum deposit investment amount.
1 year fixed deposit rates in South Africa:
- Nedbank 83%
- Standard Bank 50%
- Investec 30%
- FNB 00%
- Mercantile 00%
- Absa 35%
- Absa Prime Linked 20%
- Capitec 10%
- Postbank 55%
If you are looking for a simple way of investing your money the Money Market can provide you with just the right solution.
The Money Market offers an alternative to higher-risk investments. Started in South Africa in 1995, this option pays higher interest and has a higher minimum balance requirement than savings accounts. The money market generally offers a safer option as it’s more predictable than the stock market. Money markets are also easily accessible to individual investors.
Further benefits offered by Money Market accounts include:
- You can add money at any time. A high interest savings account can also be a great place to keep and grow your emergency fund.
- You can make unlimited withdrawals.
- You have the ability to make third party payments.
Finding the best financial institution for your money should involve a lot of research and consideration of your specific financial needs at the time.
