On July 3, almost all commercial banks announced the dong deposit rate cap at 9 percent per year for terms of from 1-month to less than 12-months. However, in fact, many other lenders and well-to-do people are negotiating to have higher saving rate level, according to the local newswire Saigon Tiep Thi.
In comparison with the dong deposit rate cap of 9 percent per year as prescribed by the State Bank of Vietnam (SBV), the actual saving rate for less than 12-month terms is higher than 5.5%.
According to a depositor with a saving worth 200 million dong for 3-6 month term at a HCM City’s district 1-located bank branch, together with the interest rate of 8.9 percent per year, the customer will enjoy additional interest rate of 1.1 percent per year. If the deposit is higher, the bonus interest rates will be also higher. After finalising procedures, the depositor will immediately receive the amount of cash for the bonus interest rate while the interest rate minuted in the passbook is still 8.9 percent per year.
At another bank branch in HCM City’s district 5, depositor with the saving worth 350 million dong can negotiate for saving interest rate of up to 13.5 percent per year and receive more gifts.
A saving worth one billion dong at bank branch in Tan Binh district is enjoying the deposit rate of 14.5 percent per year. In the passbook of this customer, the saving interest rate is 9 percent per year but this depositor will have additional interest rate of 3 percent monthly in his/her account and the remaining 2.5 percent is the supermarket coupon that will be delivered to his/her home by bank staff.
In related issue, recently the central bank issued a dispatch confirming that credit institutions that are launching more than 12-month term saving products with flexible principal withdrawal but allowing the depositors to enjoy over 12-month term saving interest rate when withdrawing before maturity is in contravention of regulations.
However, some banks are still dodging this rule by making a credit contract and the collateral will be the previous passbook. Customer can use this contract to withdraw money for their spending while banks can regularise for premature withdrawal of customers.