Thursday, September 17, 2015

CIMB FastSaver: The 1% No-Frills Savings Account


This is the new online savings bank account that CIMB is currently offering. Basically, it is a simple, no-frills, cash savings account.

  • 1% interest on the first $50,000 (SDIC-insured)
  • 0.6% interest on balances above $50,000
  • No fall-below amount and fee
  • Online application (no need to go down to branch or send forms)


They are also having a promo now, which means if you put in the eligible cash amount, you will get the cash credit for keeping the money there for 6 months. This is on top of the 1% rate that you will receive. 

For $1,000 put in, you get a 3.02% 6-month fixed deposit. 
For $10,000 put in, you get a 2.01% 6-month fixed deposit.
For $25,000 put in, you get a 1.81% 6-month fixed deposit.

Basically, the promotion is pretty sweet. During that 6 months, any extra money deposited under the $50,000 will get 1% interest. And after that 6 months the whole account reverts back to normal and just earns 1% status quo, which is still a very good rate!

Honestly, I am a real fan of CIMB given their StarSaver account (which I recently opened and am currently using as a 2.82% high yield fixed deposit with their promotion) and their step-up fixed deposit products. When it comes to retail products, CIMB is definitely one of the front-runners that know which buttons to press to attract consumers.

However, they seem to have a real problem about cannibalizing their own market share and having products that are just slightly behind the curve for them to be the front runners.

With this FastSaver account, they've just killed off the small savers with bank balances below $50,000, since all the StarSaver account holders will switch. (I will also do so with my earmarked money that can be withdrawn in 2016)

Their step-up fixed deposits was completely destroyed by the Singapore Savings Bond, which is why the 5-year structure is not available anymore, leaving only the 12m and 18m structure.

Their Visa credit card ate up all their Mastercard credit card as well.

If you do not qualify to get the high interest rates offered by OCBC or UOB because of all the hoops that you have to jump through and tricks you have to perform, CIMB is really an excellent choice.

CIMB is really a nice, simple, clean, no-frills bank that I really enjoy. Pair it up with one of the simple credit cards with immediate no-frills 0.5% rebate. Now it is no longer an excuse not to save money because there are no products for you. It might not be the best product, but it is definitely better than nothing!

For my secondary cash savings account (after OCBC 360), I am abandoning my StarSaver account and I will open up a FastSaver account (boohoo, no promo for me!)! What about you?

11 comments:

  1. Don't seem to see this on their site
    " For $1,000 put in, you get a 3.02% 6-month fixed deposit.
    For $10,000 put in, you get a 2.01% 6-month fixed deposit.
    For $25,000 put in, you get a 1.81% 6-month fixed deposit."

    where'd you pick it up?

    ReplyDelete
    Replies
    1. Hi CWWL,

      I did the calculations on my own. At the end of 6 months:
      - with $1000, you get 1% interest + $10 and will end up with $1014.99 which is 3.02% annualized
      - with $10000, you get 1% interest + $50 and will end up with $10099.86 which is 2.01% annualized
      - with $25000, you get 1% interest + $100 and will end up with $25224.69 which is 1.81% annualized

      Delete
  2. Easy to earn 1%. No need to make any credit card spend, pay any bills or giro not sign up for salary crediting.
    Just keep a small balance of $1000 to earn the 1%.
    Heard that their application is easy, all online. No need to visit the branch nor mail in any application. Just upload ID and sign on hp or tablet or upload signature

    ReplyDelete
    Replies
    1. Hi Anon,

      Yup, this easy online application is sure to win over quite a few customers who are fed up with the 0.05% rates in their regular savings accounts at the local banks!

      I'm trying to think of it as a very liquid money market money account :P

      Delete
  3. I'm a little hesitant about this...given it's CIMB

    ReplyDelete
    Replies
    1. Hi,

      Care to show your doubts about CIMB?

      Delete
    2. Sorry just my biased perception of M'sian related stuff

      Delete
    3. Haha, I understand that Malaysian banks pale in comparison to Singapore banks, but you've got to know that the local banks are just swimming in SGD, which is why they are quite hesitant to dole out attractive rates and promotions.

      Only if we look overseas we can find people that are desperate for our SGD and is willing to compensate us higher for our deposits! I feel CIMB is quite safe and efficient and I am happy with them so far!

      Delete
  4. Based on their terms and conditions, seems that it excludes current customers with CIMB

    1. The CIMB FastSaver Sign-Up Promotion 2015 (the “Promotion”) is open to new customers
    (“Customers”) who apply for CIMB FastSaver account(s) (“Eligible Account”) with CIMB Bank Berhad,
    Singapore Branch (“CIMB Bank” or “the Bank”) between 16 September 2015 to 31 October 2015
    (“Qualifying Period”), both dates inclusive.
    2. Customers refer to individuals who do not hold any Retail Banking Deposits Accounts. Retail Banking
    Deposits Accounts include Savings Account, Current Account and Fixed Deposit Account.
    3. Customers must not have any Retail Banking Deposits Account within the past twelve (12) months
    immediately prior to the date the Eligible Account is opened.

    ReplyDelete
    Replies
    1. Hi Anon,

      You are right, that's why I'm kind of bummed out that I can't qualify for the promotion! But still, a savings account with 1% interest with no special hoops to jump through is pretty attractive!

      Delete
  5. Thank you for sharing such great information. It was very informative and has help me in finding out more detail about Savings Account!

    ReplyDelete

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