UOB Fixed Deposit Promotions & Interest Rates in Singapore – MoneySmart Review 2019
Fixed deposits are a great low-risk investment vehicle to put your money in, especially when the alternative is to let it sit in the bank.
Let’s have a look at UOB fixed deposits to see what they offer.
UOB fixed deposit rates (Nov 2019)
|UOB fixed deposits|
|Promotional interest rate||1.60% (till 30 Nov 2019)|
UOB fixed deposit promotions
It’s no secret that fixed deposit board rates — i.e. non-promotional rates — are crap.
For UOB, the maximum fixed deposit interest rate is 1.65% p.a., which sounds decent, until you realise that no matter the amount, you’ll need to lock up your cash for 36 months to enjoy it.
Whether you’re looking at the minimum deposit sum or tenure duration, it sucks on both counts.
UOB’s fixed deposit promotional rate is 1.60% p.a. which is actually lower. But don’t knock it yet — compared to the above-mentioned board rate, it is actually more worthwhile because you only need to lock up $20,000 for 10 months.
Without this promotion, a 10 month deposit with UOB would yield interest of a measly 0.45%. There is only 1 UOB Fixed Deposit promotion available right now.
UOB fixed deposits are best for people prefer local banks
To be frank, the promotional interest rate of 1.60% isn’t very competitive. If you’re willing to lock up $20,000 for 10 months, you can find much better rates out there.
However, if you’ve read our article on the best fixed deposit promotions in Singapore, you’d know that the frontrunners are all foreign banks. In particular, the Malaysian banks Maybank and CIMB are in the lead.
Personally, I see no issue with it. These banks are all very established and many Singaporeans bank with them.
OCBC vs UOB vs DBS/POSB fixed deposit promotions
However, if you’re more conservative and prefer a local bank, then UOB’s fixed deposit promotions are the best.
DBS/POSB doesn’t have good rates worth mentioning, and OCBC’s best rate is lousier (1.55% p.a. for min. $20,000 deposit for 12 months).
Other fixed deposits with a short tenure
Additionally, UOB’s promotion is quite unique in that it is for 10-month deposits. I personally find it quite an awkward tenure, because it’s just 2 months shy of a year, which is the usual lock-in period.
Regardless, if you’re looking for short tenures under 12 months, here are other banks to consider:
|Bank/financial institution||Min. deposit amount||Tenure||Promotional interest rate|
|ICBC||$20,000||3, 6, 9 or 12 months||1.80% p.a.|
|ICBC||$500||3, 6, 9 or 12 months||1.70% p.a.|
|CIMB||$10,000||3 or 6 months||1.70% p.a. (online only, expires 30 Nov)|
|UOB||$20,000||10 months||1.60% p.a. (expires 30 Nov)|
|Standard Chartered||$25,000||9 months||1.60% p.a. (expires 30 Nov)|
|Hong Leong Finance||$50,000||3 months||1.50% p.a.|
The “most worth it” ones to go for are ICBC’s 3-month tenure promotions. If you have at least $20,000 to dump in, then you can get the maximum rate of 1.80% p.a.
If you have less (but more than $500), the interest rate is lowered to 1.70% p.a., which is still quite competitive.
Are you putting any of your money into fixed deposits right now? Share your tips and recommendations in the comments!