Deposit interest rates keep rising

Deposit interest rates keep rising

For the 6-month term, the interest rate difference between banks becomes more pronounced, ranging from approximately 4.5 per cent to over 7 per cent per annum.

For deposits with 12-month term or more, the rates at many banks have approached or exceeded 7 per cent per year. — Photo cafef.vn

Deposit interest rates across many terms, particularly medium and long terms, have continued to rise over the past week as banks compete to attract savings.

Notably, the National Citizen Bank (NCB) announced a significant interest rate increase across many deposit products. Specifically, the one-month term was raised by 0.2 percentage points to 4.7 per cent per year, while the 2–5 month term hit the cap of 4.75 per cent regulated by the State Bank of Việt Nam for deposits under six months.

For longer terms, NCB uniformly raised interest rates by 0.15–0.2 percentage points to 6.4 per cent per year for 6–11 months. The 12–13 month term increased by 0.3 percentage points to 6.6 per cent per year; the 15-month term increased to 6.7 per cent per year after a 0.4 percentage point rise; while the 18-month term saw a sharp increase of 0.5 percentage points to 6.8 per cent per year. For longer terms of 24–60 months, interest rates are currently at 6.9 per cent per year, up 0.6 percentage points.

In addition to deposit products, the interest rate for 24-month certificates of deposit at NCB has also been raised from 7.1 per cent per year to 7.4 per cent per year.

Besides NCB, many commercial banks, including Sacombank, VPBank, VietBank, MB and SHB also adjusted their deposit interest rates upwards.

Currently, the interest rate for the one-month term on the market stands at 3–4.75 per cent per year, while for the three-month term common interest rates range from 4–4.75 per cent per annum.

For the six-month term, the difference in interest rates between banks becomes more pronounced, ranging from approximately 4.5 per cent to over 7 per cent per annum. Some banks are offering high rates, such as PGBank at 7.1 per cent per year.

Interest rates for nine-month terms are commonly between 5.3–6.8 per cent per year. Banks such as Bac A Bank, LPBank, PGBank and NCB are offering rates around 6.4–6.8 per cent per year, while State-owned banks maintain significantly lower rates of around 4.5–5.7 per cent per year.

For deposits with a 12-month term or more, the rates at many banks have approached or exceeded 7 per cent per year. MBV and PGBank topped the list with a rate of approximately 7.2 per cent per year, followed by LPBank with 7 per cent per year and Techcombank at around 6.95 per cent per year.

Besides the usual interest rates, some banks are offering deposit packages with special interest rates of up to 7–9 per cent per year but with very large deposit value requirements.

For example, MSB applies a rate of 9 per cent per year for customers opening new savings accounts with a term of 12–13 months and a minimum deposit of VNĐ500 billion. 

Bizhub