/ 26 March 2010

Best rate for a large deposit

A reader asks: Can you let me know the best rate I can get for a one-year fixed deposit for an amount between R5-million and R10-million.

Maya replies: The rate a bank will offer will depend on their demand for cash at the time, so it is worthwhile taking time to speak to each bank. An example is Investec, which offers excellent interest rates that are linked to returns from unit trust money market funds, which tend to be higher than normal money market accounts through the bank. Their Private Money Fund offers interest rates of 7,48% on deposits above R3-million. This is a 40-day notice account and the rate is actually higher than their one-year fixed rate. You can get further rates at www.investecmoney.co.za.