Capitec Savings Account
This is a complete list of the best savings accounts in South Africa 2021.
As Grant Cardone would usually say, store 40% of your income every month, if you want to enjoy financial freedom in the future.
Q: HI.I will like to know what exactly do i need to do if i want to start saving money for rainy days.assuming that i deposit R500 per month in my account for the next 10months.how much will i get at the end of my depositing term or whatsoever.lets call it a short term investment.please provide me with full information on what to do and where to go.am having an account with capitec bank.thank you. Capitec Bank Overview Capitec Bank is a south african retail bank established in 2001 and is currently listed on the Johannesburg Stock Exchange (JSE). It is a provider of consumer banking and business banking services and has a branch network over 400.
Saving money is never easy with the cost of living in South Africa.
How would you find the best savings account that offers access to money when you need it and the best annual interest rate?
We'll list the top savings account that offers great benefits in South Africa.
Let's get started.
Savings Account Benefits
Opening a savings account with a bank must give you peace of mind knowing your money is kept safe and will grow in investments over time.
Secondly, what determines a great savings account would be the annual interest rate and easy access to cash.
Look:
If you don't open a savings account, you could misuse the money or risk losing your money.
So, before you think of opening a savings account, it would be wise to shop around and do some good research. This will help you find savings account that best suit your financial plans.
Whichever savings account you're going to go with must pay interest on money in your account. Also, the bank will contribute to your account every month.
The rates depend on the minimum deposits and of course, the bank policies. Some banks pay higher savings account rates due to competition.
Now, here's the best savings account you can choose from in South Africa.
The Best Savings Account in South Africa
South African banks offer various types of savings account, e.g. fixed and tax-free savings accounts.
These accounts were created to assist the working class in South Africa to secure their hard-earned money.
1. FNB Savings Account
FNB helps people save and invest money for unforeseen emergencies and expenses.
The account offers a maximum of 6.05% interest rate per year.
You'll have immediate access to your savings at no fee.
2. Capitec Bank Save
Capitec Bank is popularly known for its offering savings account to students, low-income, and the middle working class.
They offer four different types of savings account:
Transaction and savings - A minimum of R25 earning a minimum of 4.75% interest per year.
A flexible savings plan - You get to choose the amount you'd like to save and the frequency of your deposit. Earn a minimum of 4.75% interest per year with access to the savings anytime.
A fixed-term savings plan - Invest a single amount from R10 000, choose the terms between 6 - 60 months, and earn up to 8.55% interest.
Tax-free savings account - Invest money in your Capitec savings tax-free account and earn interest from R1. Your total savings will not be taxed during the withdrawal unless you've saved over R500 000.
3. African Bank Fixed Deposits
With a minimum deposit of R500, you can earn a maximum interest rate of 10.75% annual payout.
Depending on the terms you choose, African bank offers the best rates in South Africa.
Use the African Bank savings calculator to guide your investments.
4. Absa Tax-Free Savings Account
Invest from R1 000 into the Absa account without paying tax on the interest earned.
You'll have access to the money whenever you need it. There are no monthly fees, so you can add funds into your savings account whenever you want.
You can only save up to R33 000 per year according to tax laws to avoid penalties from SARS.
5. Bidvest Bank Savings Account
Depending on the duration of the investment, you put in a minimum of R10 000 into the Bidvest savings account. Earn up to 7.88% when you invest for 12 months.
It's a fixed deposit account which means you invest once and benefit from the interest charge per month.
They also offer other savings account that requires a minimum of R1 000 but a low-interest rate of 3.2%.
How to open a savings account
All you need to open a savings bank account in South Africa is your SA ID book or valid passport and proof of residence.
Some banks require a minimum deposit into your savings account, so you would need to ask customer service for more details.
Set up a goal and select how long you would like to keep your money in the savings account.
You can open the account online or in-person at the bank. You would need to submit the above-mentioned document in both application methods.
Once your account is active, you can start your saving journey and enjoying the benefits.
Spending your savings
You had a big plan with the money you kept in the savings account. Spend the money however you feel fit - the choice if completely yours.
- Maybe you were saving for a major purchase such as a car you love so much.
- You saved money for vacations with the beloved family.
- Perhaps, it's just an emergency savings account, you know best.
Invest your money with a bank that urges you to bank better and live better. You are in good hands with a Capitec Fixed-Term Saving Account.You can invest up to R20 million with a Fixed-Term Savings Account.
Investments are quite very important – for as long as we are alive, we are going to need money – it is such a peace of mind knowing that you have money saved, even when problems knocks at your door you know, that financially you’ll be covered if money is needed.
Don’t hesitate when it comes to saving and investing your money. You can choose to invest with Capitec with the fixed term account from 6 to 60 months.
iRead: Capitec Tax-Free Investment Account
You will only have to make a single deposit and the minimum deposit that you can make is R10 000. You can earn up to 8.65% nominal interest.
You can choose to reinvest your interest or have it deposited into your savings account; you get fixed rates throughout the term. Your money will be available for use in maturity date and there are no monthly fees.
Here’s a table of Capitec Interest Rates
| Term (Months) | R10 000 – R24 999 | R25 000 – R99 999 | R100 000+ | |||
| Nominal | Effective | Nominal | Effective | Nominal | Effective | |
| 6 | 6.90% | 7.12% | 7.00% | 7.23% | 7.25% | 7.50% |
| 7 – 9 | 7.05% | 7.28% | 7.20% | 7.44% | 7.30% | 7.55% |
| 10 – 12 | 7.25% | 7.50% | 7.80% | 8.08% | 7.85% | 8.14% |
| 13 – 18 | 7.30% | 7.55% | 7.90% | 8.19% | 7.95% | 8.25% |
| 19 – 24 | 7.40% | 7.66% | 7.95% | 8.25% | 8.05% | 8.35% |
| 25 – 36 | 7.65% | 7.92% | 8.00% | 8.30% | 8.10% | 8.41% |
| 37 – 48 | 7.80% | 8.08% | 8.10% | 8.41% | 8.15% | 8.46% |
| 49 – 60 | 8.00% | 8.30% | 8.55% | 8.89% | 8.65% | 9.00% |
For more information, visit www.capitecbank.co.za
Capitec Savings Account Interest
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