FNB savings account is a personal account that can be opened by a cheque account holder and can earn up to 6.80% interest. The interest rate on the FNB savings account ranges from 6.05% to 6.80%, depending on the amount invested.
Individuals who save R100,001.00 or more into the account earn the highest interest rate of 6.80%. For its savings account, FNB uses a tier-based interest earning system that is based on how much an individual saves.
Individuals who save between R1 and R19,999.00 earn the lowest interest rate of 6.05%. The effective interest rate on this account is 6.22%.
Individuals who save between R20,000.00 and R24,999.00 earn the second lowest interest rate of 6.25%. This account’s annual effective interest rate is 6.43%.
Individuals who save between R25,000.00 and R74,999.00 earn the third highest interest rate of 6.70%. The account’s effective interest rate is 6.91%.
Individuals earning R75,000.00 to R99,999.00 earn a nominal interest rate of 6.80%, with the possibility of earning 7.02% if they keep their investment for a full year.
The FNB savings account automatically capitalises interest earned each month. This is done to take advantage of the compounding effect. The account’s capital is guaranteed for the remainder of the investment term.
The FNB savings account can be used for any purpose, and account holders can open multiple savings accounts. We’ll go over the account’s features in greater detail below.
Qualifying criteria:
This account is exclusively available to individual Cheque Account clients.
Application
Applications can be done online on the FNB website, alternatively by visiting an FNB branch, or by signing up with your phone.
To sign up with your phone you have to:
- dial *120*321#
- Select Save and Invest.
- Choose the Savings Account option.
- Then select start saving.
Free Bank your change
This FNB unique feature is free to activate and it’s free of charge. Bank my change allows you to save every time you swipe your transactional card.
Regular transfers and withdrawals
You can set up scheduled transfers to automatically transfer funds from your cheque account to your FNB Savings and Cash Investment account.
This is a disciplined approach to saving, particularly toward a specific goal. Your desired amount of money will be transferred to your savings account on the day you specify.
There is no waiting period before you can access your money. Simply log into your internet banking and request a transfer from your savings account to a transactional account to make a withdrawal.
Interest earned
The interest rate is based on the balance of your account, with the minimum interest rate of 6.05% with a minimum saving of R1.00. The interest rate increases as the account balance increases (the more you save the more you earn).
The bank compounds your interest from your FNB savings account balance.
Competitive advantages of the FNB Savings Account
- There are no monthly fees
- Easy access to your funds whenever there is an urgent financial need.
- It is flexible since there is no limit on the number of deposits and withdrawals you make.
- Access to the eBuck rewards program for free.
- There are different ways to open the account.
- Capital in the FNB saving account is guaranteed.
Competitive disadvantages of FNB Savings Account
The account is only available to FNB cheque account holders, therefore, you will unnecessarily need to open a cheque account to open the FNB savings account.
Conclusion
The FNB Savings Account is one of the best savings accounts available. Sign up with them to begin your journey of saving money today.
With the information given above, you can easily open your savings account today.
