Guide to best fixed deposit rate in Singapore [April 2024]

Summary of best fixed deposit rate in Singapore

• Banks in Singapore have largely maintained or lowered their interest rates on fixed deposit accounts in April 2024.
• For example, CIMB has cut its 6-month fixed deposit rate to 3.25% p.a. from 3.35% p.a. previously. UOB has cut its 10-month fixed deposit rate to 2.60% p.a. from 2.70% p.a. previously.
• The best 12-month fixed deposit rate we found was 3.20% p.a. offered by DBS and SBI. The best 3-month fixed deposit rate we found was 3.35% p.a. offered by Bank of China and ICBC.
• The best 6-month fixed deposit rate we found was 3.25% p.a., which is lower than the cut-off yield of the latest 6-month T-bill auction. 

The Telegram community has shown keen interest in a few instruments instruments – fixed deposit accounts, regular deposit accounts, T-Bill and Singapore Savings Bond (SSB).

If you are struggling to choose where to park your money, then you should continue to read on.

I will share with you my strategy and thoughts. (it’s free to read on so why not!)

The best fixed deposit rate in Singapore (April 2024) 

Let’s start by talking a little more about fixed deposits. 

Fixed deposits earn you a guaranteed amount of interest for the money you put in over a specific period of time. 

Typically, you will lock in a sum of money (usually a minimum of $10,000) and the bank will pay you interest after a fixed period. 

The downside to a fixed deposit is that you will have to pay a penalty fee if you want withdraw your money early.

What I noticed for the latest fixed deposit rate in Singapore for April 2024 is that banks have largely maintained or lowered their interest rates on fixed deposit accounts in April 2024.

For example, CIMB has cut its 6-month fixed deposit rate to 3.25% p.a. from 3.35% p.a. previously. UOB has cut its 10-month fixed deposit rate to 2.60% p.a. from 2.70% p.a. previously.

• The best 3-month fixed deposit rate we found was 3.35% p.a. offered by Bank of China and ICBC.
• The best 6-month fixed deposit rate we found was 3.25% p.a. offered by CIMB.
• The best 9-month fixed deposit rate we found was 3.10% p.a. offered by Bank of China.
• The best 12-month fixed deposit rate we found was 3.20% p.a. offered by DBS and SBI.
• Amongst the local banks, DBS is offering a fixed deposit interest rate of 3.20% p.a. for 12-month fixed deposit, with a maximum deposit amount of S$19,999.

As an incentive for you to read this article, I’ve compiled a list of the fixed deposit interest rates offered by banks in Singapore.  

Join the Beansprout Telegram group to get the latest updates on the best fixed deposit rates.

How do fixed deposit rates compare to Singapore treasury bill (T-bill)?

Beansprout has written enough on the Singapore treasury bill (T-bill) , so I will not be going into too much detail on them. 

The yield for the most recent 6-month Singapore T-bill auction was 3.75%, higher than the best 6-month fixed deposit rate offered by banks.

The yield for the most recent 1-year Singapore T-bill auction was 3.45%, higher than the best 12-month fixed deposit rate offered by the banks.

What is also important to note is that fixed deposits are covered under the Deposit Insurance Scheme.

This means that in the event that the bank faces problems repaying your money, all your insured deposits will be insured up to S$100,000 by the Singapore Deposit Insurance Corporation Limited (SDIC).

The Singapore T-bill is backed by the Singapore Government, but this does not make them entirely risk free. 

For example, you may lose part of your capital if you decide to sell your T-bill before six months. In this case, it might not just be the interest rates you are losing out on! 

Let me try to summarise my thoughts comparing fixed deposit rates with the Singapore T-bills below.

Learn more about the Singapore T-bill here.

How do fixed deposit rates compare to Singapore Savings Bonds (SSBs)?

The Singapore Savings Bond (SSB) provides you with a simple and low-cost way to generate safe returns. Backed by the Singapore government, the SSB allows you to lock in long-term interest rates while offering flexibility of redeeming with no penalty. 

The 1-year return on the most recent issuance of the Singapore Savings Bonds (SSB) is 3.3%, lower than than the best 12-month fixed deposit rate offered by the banks.

The minimum investment amount for the SSB is S$500, while the minimum fixed deposit amount is typically S$5,000 and above.

Learn more about Singapore Savings Bonds here.

How do fixed deposit accounts compare to best savings accounts in Singapore?

As seen from the Telegram group, many people are also interested in the best savings accounts apart from fixed deposit accounts. 

However, do note that the interest rates offered by savings accounts are subject to change, and you are not able to ‘lock-in’ the interest rates like for fixed deposits.

The highest maximum effective interest rate offered by savings accounts currently is 7.88%, above the best fixed deposit rate.  

Check out the best savings accounts with the highest interest rates here. 

How do fixed deposit rates compare to best foreign currency fixed deposit rates in Singapore?

Some of you may have noticed that foreign currency fixed deposit accounts are now offering a higher interest rate compared to Singapore dollar fixed deposit accounts.  

This is because banks in Singapore have raised their foreign currency fixed deposit rates in with higher US interest rates.

The best 6-month US Dollar fixed deposit rate we found was 5.25% p.a. offered by SBI, for a minimum deposit of US$25,000. The best 12-month US Dollar fixed deposit rate we found was 5.00% p.a. offered by RHB, for a minimum deposit of US$5,000.

While USD fixed deposit rates are higher compared to Singapore dollar fixed deposit rates, you should beware of foreign currency risk. Also, foreign currency fixed deposits are not covered by the Singapore Deposit Insurance Scheme.

How do fixed deposit rates compare to cash management accounts in Singapore?

You might have heard of Moomoo Cash Plus or Webull Moneybull discussed amongst investors in recent months. These are all cash management accounts that are seen as relatively safe and highly liquid alternatives to cash in the bank. 

By putting your money in a cash management account, you will be investing in money market funds or bond funds. These professionally managed funds will put your cash in instruments such as bank deposits or short-term debt to earn higher interest rates. 

In recent months, we have seen some cash management accounts offering a return of close to 3.8% p.a. for Singapore dollar funds and above 5% p.a. for US dollar funds. 

Compared to fixed deposits, cash management accounts offer more flexibility as they can be redeemed at short notice, usually in a few days. 

Unlike fixed deposits, cash management accounts are not capital guaranteed and are not insured under Singapore Deposit Insurance Corporation (SDIC).

To learn more about cash management accounts and select the best cash management account for your portfolio, check out our comprehensive guide.

How do fixed deposit rates compare to the yield of other products?

The best 6-month fixed deposit rate is currently below the average dividend yield of large-cap Singapore REITs, the yield on selected cash management accounts, and yield on the latest 6-month T-bill.

However, the best 6-month fixed deposit rate is above the 10-year average interest rate of the latest SSB.

Are there better fixed deposit rates for priority banking accounts in Singapore?

Some banks may also offer priority banking customers a higher interest rate for fixed deposit accounts.

For example, RHB offers priority banking customers a promotional interest rate of 3.30% p.a. for a 6-month fixed deposit, above the normal fixed deposit rate of 3.25% p.a.

HSBC Premier offers priority banking customers a promotional interest rate of 3.65% p.a. for a 3-month fixed deposit, above the normal fixed deposit rate of 3.00% p.a.

CIMB offers priority banking customers a promotional interest rate of 3.55% p.a. for a 6-month fixed deposit, above the normal fixed deposit rate of 3.50% p.a.

To find out the best fixed deposit interest rates for priority banking accounts, check out our comprehensive guide.

What are the fixed deposit rates offered by banks in Singapore?

🌱Bank of China fixed deposit rates

Bank of China offers the highest 3-month fixed deposit rate of 3.35% p.a. 

The other advantage of placing your fixed deposit with Bank of China is that the minimum deposit amount is relatively low at just S$500.

However, Bank of China adjusts its fixed deposit rate fairly regularly, and you can find out the latest fixed deposit rate offered by Bank of China here.

🌱 SBI fixed deposit rates

SBI offers the highest 12-month fixed deposit rate amongst Singapore banks in April 2024, with a rate of 3.20% p.a. for a 12-month fixed deposit.

The minimum deposit required to earn this promotional interest rate is S$50,000.

Find out more about the promo here. T&Cs apply. 

🌱 Citi fixed deposit rate

Citi offers a 3-month fixed deposit rate of 3.10% p.a. The minimum deposit amount required is S$50,000. You can find the latest fixed deposit rates offered by Citi here.

🌱 RHB fixed deposit rates

RHB currently offers a 6-month fixed deposit rate of 3.15% p.a., and 12-month fixed deposit interest rate of 3.00% p.a. Premier banking customers of RHB can earn an even higher rate of 3.20% p.a. for a 6-month fixed deposit.

The minimum deposit amount to enjoy the RHB promotional fixed deposit rate is S$20,000. However, do note that the fixed deposit rates offered by RHB are promotional rates that are subject to change without prior notice. You can find out the latest fixed deposit rate offered by RHB here

🌱 Hong Leong Finance fixed deposit rate

Hong Leong Finance is offering a fixed deposit promotion with an interest rate of 2.95% per annum for a 3-month or 4-month fixed deposit. The minimum deposit required is S$50,000.

Hong Leong Finance adjusts its fixed deposit rate fairly regularly, and you can find out the latest fixed deposit rate offered by Hong Leong Finance here.

🌱 CIMB fixed deposit rates

CIMB is offering a promotional 6-month fixed deposit rate of 3.25% p.a. Preferred banking customers of CIMB can earn an even higher rate of 3.30% p.a. for a 6-month fixed deposit. 

To earn the promotional interest rate, the minimum deposit required is S$10,000. The promotional rate is available until 30 April 2024, and you can find out more here.

🌱 Maybank fixed deposit rate

While Maybank has a decent headline 3.30% p.a. interest rate for a 12-month and 15-month fixed deposit, it comes with additional requirements which will make your effective interest rate earned lower. 

For every S$1,000 deposited into selected Maybank Current or Savings accounts with a minimum deposit of S$2,000, you can deposit S$10,000 into the deposit bundle promotion. As the deposits into their current or savings accounts which comes with a lower interest rate, this would lower the effective interest rate for a 12-month deposit to about 3.00% p.a. 

You can find out the full terms and conditions of the Maybank fixed deposit bundle promotion here.

🌱 ICBC fixed deposit rate

ICBC offers a 3-month fixed deposit rate of 3.35% p.a. and a 6-month fixed deposit rate of 3.20% p.a. While these rates are lower than the fixed deposit rates offered by other banks in Singapore, the good news is that you will be able to enjoy these promotional rates with a minimum deposit of S$500 when you apply via e-banking.

If you decide to apply over-the-counter, the promotional fixed deposit rates are slightly lower at just 3.30% p.a. for a 3-month fixed deposit. The minimum deposit amount is also much higher at S$20,000.

ICBC adjusts its fixed deposit rate fairly regularly, and you can find out the latest fixed deposit rate offered by ICBC here.

🌱 DBS fixed deposit rate

DBS offers the highest fixed deposit interest rate amongst the Singapore banks. You can earn an interest rate of 3.20% p.a. for 12-month fixed deposit, with a maximum deposit amount of S$19,999.

Unlike other banks, DBS offers a higher fixed deposit interest rate for smaller deposit amounts. For example, the interest rate you would earn falls to just 0.05% for deposits of S$20,000 and above.

You can find the latest fixed deposit rate offered by DBS here. 

🌱 UOB fixed deposit rate

UOB is offering a promotional interest rate of 2.80% p.a. for a 6 month fixed deposit using fresh funds until 30 April 2024. You can find the latest fixed deposit rate offered by UOB here. 

The fixed deposit rate of 2.80% p.a. is still lower than the highest effective interest rate that can be earned on the UOB One account of 5.0%.

🌱 HSBC fixed deposit rates

HSBC is offering a 3-month and 6-month fixed deposit rate of 3.00% p.a.  HSBC Premier customers can enjoy a higher 3-month fixed deposit rate of 3.25% p.a. You can find out more about the fixed deposit rate offered by HSBC here. 

🌱 Standard Chartered fixed deposit rate

Standard Charted offers a 6-month fixed deposit rate of 3.00% p.a. If you are a priority banking client of Standard Chartered, you can earn a preferential fixed deposit rate of 3.10% per annum. If you are a priority private banking client of Standard Chartered, you can earn a preferential fixed deposit rate of 3.20% per annum. 

To earn the promotional rates, you will need to deposit fresh funds of at least S$25,000. You can find the latest fixed deposit rates offered by Standard Chartered here.

🌱 OCBC fixed deposit rate

OCBC is now offering a promotional interest rate of 2.70% p.a. for a 6-month fixed deposit. 

In addition, it has recently launched a promotional 6-month fixed deposit rate of 2.90% p.a. for internet banking customers.

Compared to UOB, the minimum deposit amount required is higher at S$30,000. You can find the terms and conditions of the OCBC fixed deposit here.

OCBC allows you to earn this fixed deposit rate with your CPF Ordinary Account (OA) funds. However, you will need to apply at a OCBC branch. With the low fixed deposit rate of 3.10% p.a., you may also consider investing your CPF OA funds in T-bills.

Alternatively, the OCBC 360 savings account also offers a higher maximum effective interest rate of 7.65% p.a.

Final thoughts on fixed deposit

After many months of competing for the highest fixed deposit rate in Singapore, it is worthwhile to note that some have now started to lower their interest rates once again.

It will be interesting to see whether other banks will follow suit in bringing down the interest rates on fixed deposit accounts in the next few months.

As usual, you can get updates on the best fixed deposit rates on Beansprout's Telegram group.