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Home | Savings | ( 1 ) | Subscribe

Posted by Felix Okoli on Monday July 22, 2013 at 8:56:30:

There are different types of savings accounts offered by different banks in Nigeria. Some are just for basic savings, some pay you a bonus for saving while some also offer you the flexibility of using them as current or fixed deposit accounts.

Due to the need for banks to encourage savings culture among Nigerians and also get more funds to run their business, Nigerian banks at times offer a higher than usual interest to customers for just maintaining a saving account with them. These type of accounts are called High interest yielding saving accounts.

High yielding savings account provides similar incentive like Fixed deposit a/cs since they also pay a high amount of interest. This can help a customer to meet their financial goals faster. A High yield savings account is a type of deposit accounts that is available through commercial banks and attracts a high rate of interest when compared with traditional deposit savings accounts.

Various financial institutions provide high yield savings accounts services. You should first inquire from the bank if they can offer such services or if they have such accounts; depending on your current account status and your banking history, it can attract a high interest rate for the current savings account that you have with the bank.

When evaluating high yield savings accounts, you should ensure you gather critical information on the fundamental aspects of the account; these critical aspects include: The initial deposit required the payable rate of interest, method of compounding, the required minimum balance, and the permitted number of transactions, how deposits are handled and how an individual can access the funds.

High yield savings account is a better way for individuals and families to earn a lot of interest that is only possible with standard savings accounts. This type of account can provide you with flexibility and the financial requirements that you require to beat inflation and make your savings secure. High yield savings account has convenient features such as access by phone 24/7 which makes it easy for you to check your account balance and to transfer money at your own convenience.

High interest bearing savings accounts come with a lot of benefits apart from just higher interest for your savings, you may also have higher ATM daily cash withdrawal limits, free sms alerts, free internet banking and account statements and even be treated differently by your bank branch officials since you are a value added customer to them.

With this account, you can set up alerts that can enable you to track movement of money in your account. You are also allowed to move money out of your account, get a free credit card and using your funds in the account as a collateral in some cases.

If you'd like saving money in your bank but would love to earn a bit more interest on it like Fixed deposit accounts do, don't just open a savings account, ask for a premium savings account or a savings account that pays higher interest.

In Nigeria nowadays, one can open a savings account with as low as N500 capital but you won't get much benefits on it and they'd still be some hidden charges to such accounts since it's from a low value customer. If you are however, opening a bank account with something like N500,000 but don't want to tie down your money in a fixed deposit, go for higher interest bearing savings accounts as most banks now do have that option.

High interest bearing savings account are targeted as high value customers who deserve a bit more reward from their banks for saving such an amount of money. If you still have something like N500,000 in your bank's savings account and they're paying you something like 1 to 3% interest in 2013, then it's probably time you change your bank or upgrade to a higher account.

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Comments:

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Re: High interest yielding savings account Reply by christian david. on Wednesday July 24, 2013 at 12:25:38:

i like d account but i dnt knw how to open it.can some hlpe me?




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Re: High interest yielding savings account Reply by Didi on Tuesday August 13, 2013 at 6:15:1:

Thank you for this wealth of information. Can you please suggest the top banks with best interest rates where one can open this account type? Thanks




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Re: High interest yielding savings account Reply by Magdalene on Saturday October 5, 2013 at 9:42:31:

Is it possible to open a high-interest yielding account with just N5,000.00?




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Re: High interest yielding savings account Reply by Felix Okoli on Saturday October 5, 2013 at 9:42:31:

I doubt. Most banks I know that offer high yield interest yielding accounts prefer a minimum of about N100k


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Re: High interest yielding savings account Reply by ayoola on Friday November 8, 2013 at 13:45:43:

so do u suggest such account for a student??




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Re: High interest yielding savings account Reply by Felix Okoli on Friday November 8, 2013 at 13:45:43:

If you have a good capital as a student, then you should go for it


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Re: High interest yielding savings account Reply by Pera on Sunday December 1, 2013 at 23:25:27:

Thanks 4 dis grt information.l have red diamond bank details for dis interest rate and conditions online it sees to b d best.l will try diamond bank.




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Comments:
Re: High interest yielding savings account Reply by Joseph .o. Friday on Monday December 14, 2015 at 20:14:41:

So great for the info. God enrich you more

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