Time Deposit Rates and offer: Best HKD Time Deposit Interest Rates

Time deposits are considered as stable and safe investments as they give depositors regular and guaranteed returns - suitable for investors who prefer low returns with known risks. If you’re considering opening a time deposit account and would like to find out about how it works then look no further. This article will give you a better understanding of term deposits and how you can benefit from them.

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What is Time Deposit?

A time deposit is a bank account that gives account holders interest if they keep the money in the account for a fixed term. A certificate of deposit (CD) is one of these accounts. Compared to a regular savings account, time deposits pay a higher rate of interest. The longer the time to maturity, the more interest payment will be. If you wish to access the funds in a time deposit account ahead of its maturity, you may have to pay an early withdrawal penalty.

How Time Deposit Accounts Work?

With a time deposit account, depositors are committed to keeping their money in the account for a fixed term. The account will then pay interest on the deposit, and longer terms often means a higher interest rate. It’s wise to shop around for the best rates to see which financial institutions offer the best return on your investment. Time deposit accounts provide banks with the cash flow needed to lend money to other customers or invest the money from the time deposit in other securities that pay a higher return.

What is the difference between Time Deposit and Fixed Deposit?

A term/ fixed deposit account offers depositors competitive fixed interest rates that don’t change from the day the account is opened until maturity. Time deposit and fixed deposit can be used  interchangeably.

Hong Kong Dollar Time Deposit/ Fixed Deposit Rates: Traditional Banks

BankAnnual Interest RatesFixed TermMinimum Deposit Minimum Interest Payment
HSBC4.6%3 monthsHK$10,000HK$113
HSBC4.3%12 monthsHK$10,000HK$430
Bank of China4.8%1 monthHK$10,000HK$40
DBS4.7%6 monthsHK$50,000HK$1,175
CMB Wing Lung4.6%12 monthsHK$5,000,000HK230,000
Bank of Communications4.8%3 monthsHK$1,000,000HK$12,000
China CITIC Bank (International)4.6%6 monthsHK$10,000HK$230
Standard Chartered Bank4.7%6 monthsHK$3,000,000HK$70,500
Citiplus5.4%1 monthHK$50,000$219
As of 3rd Jan 2023

Best Savings Accounts for Time Deposit

Preferential Time Deposit Rates
up to 4.88%
Minimum Initial Deposit
HK$1,500,000
Highest Cash Rebate
HK$48,800
Earn up to 4.88% p.a. saving rates when you open a Citigold account now!
Min. Rate
0.3% p.a.
Max. Rate
5.1% p.a.
Min. Initial Deposit
HK$0
Citi Plus Account allow both time deposit and demand deposit, with rates as high as 5.4%!
Bank Promo
Min. Rate
0.3%
Max. Rate
5%
Minimum Initial Deposit
HK$0
Bank Promo:
 From 1 December 2022 to 2 February 2023, open a Mox Account successfully with the Invitation Code "SHOP800"and spend at least HK$1,600 within 45 days with Mox Credit to earn HK$800 Cash Rewards!

From 1 December 2022 to 9 January 2023, open a Mox Account successfully with the Invitation Code “MOX1500” and spend at least HK$2,500 each month for two consecutive months with Mox Credit from the Mox Credit approval date, and you can receive HK$1,500 cash rewards!

 
From now till 31 Jan 2023, new customers can enjoy up to 5% p.a. on your deposits of up to HK$500,000 throughout your first 60 days once open a Mox Account. Also, from now till 12 Feb 2023, you could enjoy up to 15% Mall Dollars on selected popular products when you spend with Mox Card at HKTVmall. 
Valid until 31 Jan 2023
Min. Rate
0.8% p.a.
Max. Rate
4.7% p.a.
Minimum Initial Deposit
HK$0

Open a savings account to starttime deposits now!

Hong Kong Dollar Time Deposit/ Fixed Deposit Rates: Virtual Banks

Virtual BankInterest RatesFixed Term Minimum Deposit Minimum Interest Payment(Calculated based on HK$10,000 deposit)
FusionBank3.8%6 monthsHK$1HK$190
WeLab Bank4.4%15 monthsHK$10HK$552
airstar4.3%12 monthsHK$1,000HK$430
ZA Bank3.31%12 months HK$1HK$331
As of 3rd Jan 2023

Time Deposit Rates of 1 Million HKD or Above

Bank6-month Interest Rate Interests12-month Interest Rate InterestsAdditional Offers
Citibank (Citigold) 2.87%HK$14,350N/AN/A
Hang Seng Bank4.68%HK$23,400N/AN/AN/A
ICBC (Asia)4.6%HK$23,0004.6%HK$46,000N/A

Why should I consider time deposit?

A time deposit can be a good savings vehicle. If you decide to open a time deposit account, be sure to spend some time shopping around for the best offers. Don’t assume traditional banks offer you the best interest rates. Sometimes, virtual banks provide more offers.

Low Risk

A term deposit gives you guaranteed returns for a fixed term with little to no chance of losing your money.

No extra charge

As long as you don’t withdraw early, there is no fee associated with time deposit

Low threshold

You don’t need to have a large deposit in order to enjoy time deposit. With some virtual banks, you can open a time deposit with only HK$1.

FAQ

What is time deposit and how does it work?

A time deposit is a bank account that gives you interest if you are committed to leaving your money in the account for a fixed term. The longer the time to maturity, the more interest payment will be.

Is it good to invest in time deposits?

Yes, it can be an effective saving vehicle as it gives depositors regular and guaranteed returns - suitable for investors who prefer low risks.