Many banks are still adjusting their long-term deposit interest rates, and the interest rate of over eight percent per year appears more and more in the market.
Having idle money of about 500 million dong, Thanh, residing in District 3, HCM City, intends to send it to savings to earn interest every month to cover tuition fees for her children. Researching on deposit rates on banks’ websites, Thanh found that quite a lot of banks are mobilising at interest rates from eight percent per year, even with a term of six months.
‘If I send 500 million dong to savings with six-month term and interest rate of eight percent year, I will earn about 3.3 million dong per month on average (interest received at the end of the term). This interest is enough to pay pre-school fees for my daughter,’ said Thanh.
According to Nguoi Lao Dong Newspaper, many banks are mobilising at interest rates above eight percent per year for various terms.
According to the latest interest rate table at Vietnam Joint Stock Export Import Bank (Eximbank), this bank continued to increase the long-term interest rate. The interest rate for a deposit with term of and over 15 months is eight percent per year. That rate is also applied to deposits with term of 13 months and deposit amount from 100 billion dong.
At Eximbank, if customers participate in its promotions, the interest rate for 12-month term deposits can be up to 8.3 percent per year with instant gifts.
Saigon Joint Stock Commercial Bank (SCB) also applies interest rates above eight percent per year for terms of more than 6 months when customers participate in its promotion programme. Specifically, in the ‘Tiet kiem dac loc tai’ programme, deposits with terms from six to twelve months will have different interest rates from eight percent to 8.45 percent per year. In the ‘Tiet kiem dac loc phat’ programme, the interest rate reached 8.55 percent per year (interest received at the end of the term) for terms of 13 to 36 months.
The highest deposit interest rate at Vietnam Prosperity Joint Stock Commercial Bank (VPBank) is also up to 8.6 percent per year when customers deposit between five to ten billion dong for over 18 months in the ‘Tiet kiem Phat Loc Thinh Vuong’ Programme. To enjoy the interest rate of over eight percent per year, customers need to send from 100 to 500 million dong with terms from 15 months.
At Viet Capital Joint Stock Commercial Bank (Viet Capital Bank), the deposit interest rate for terms of and over 12 months is eight percent per year. If depositors choose a longer term from 15 months, the interest rate is 8.3 percent per year, a term over 24 months the highest interest rate is 8.6 percent per year.
Although the recent interbank interest rate tends to decrease and VND liquidity is still good, long-term interest rates continue to increase to encourage depositors, especially for the term of over 12 months. According to banks, the demand for attracting medium and long-term capital will continue to restructure the mobilised capital to meet the request of the State Bank of Vietnam on the ratio of short-term capital on medium and long-term loans at only 40 percent instead of last year’s 45 percent.
