Nedbank Makes It Easy For South Africa To Save

Statistics released by the Financial Services Board (FSB) have revealed that the South African population is one of the worst nations in the world when it comes to saving. The Central Bank noted that with a savings-to-GDP ratio of just 15.4%, South Africa ranks poorly when compared to many other markets, even other developing economies.

Dharmesh Bhana: Head of Funding at Nedbank says the lack of savings in our population has become a major concern for both Government and the financial services industry. ‘The low savings rate needs to be addressed as a matter of urgency. As such, it is critical that all stakeholders work together to encourage people to start prioritising saving.’

He says that by starting early, consumers build savings into their everyday expenses as opposed to just putting away what they have left at the end of the month. “As a bank for all and great place to save and invest, we continue to offer affordable means of saving to help instill a culture of saving and to empower clients build financial fitness.

It is against this backdrop that Nedbank is promoting their 12-month Fixed Deposit account, with a highly competitive interest rate, and at the lowest deposit required. The 12-month Fixed Deposit account offers an interest rate of up to 7,25% for 12 months and 6,40% for 6 months. Furthermore, to access this unrivalled benefit, clients need only a

minimum of R1 000.

‘We believe the 12-month Fixed Deposit account offers real benefits to clients, making it easy for those who may only have small deposits to consider adding savings as part of their lifestyle.

Importantly, it also helps those who have already started saving but may be tempted to cash in the money to pay for short-term expenses, as they can only access the cash after 12 months – thereby preventing them from making impulse withdrawals,’ says Bhana.

The 12-month Fixed Deposit forms part of Nedbank’s recognition of National Savings Month in addition to the 32Day Notice and new Tax Free Savings accounts . Tax Free Savings Accounts offers consumers the opportunity to invest up to R30 000 annually, and R500 000 over their lifetimes - with no tax payable on interest earned.

Nedbank also offers easy to use financial management tools such as My FinancialLife™ and MyMoneyMap™ aimed at empowering the SA population to manage their finances, understand their spending habits, save, and more importantly, achieve their financial goals and aspirations. Similarly, MyMoneyMap™ seeks to encourage kids to learn about money principles and save from an early age - working with their parents.

This is another way Nedbank continues to make the things that really matter happen.

For more information, visit www.nedbank.co.za.