Comments on: Of Time Deposits and Unit Investment Trust Funds

By: ka edong

ka edong — Sat, 08 Sep 2007 07:24:29 +0000

Thanks for sharing, Melinda.
Do you blog? do you write?
Sounds like you have some knowledge to share …

edwin

By: mel

mel — Fri, 07 Sep 2007 03:18:25 +0000

Regarding the penalty imposed on accounts having balance that is below ADB, in the bank’s perspective, eventhough we think we are not practically not causing any harm to the bank with a below-ADB account but the bank still has to do some maintenance for this account such as sending of monthly customer statements etc. for such accounts that they do not profit anyhow (since it’s too little) so I think it’s just fair that the bank collects us this sort of ‘maintenance’ fee. For dormat accounts charging, i haven’t heard of a retail bank imposing charges for such accounts, i think this applies more on trade finance business type of accounts wherein, the facilities and maintenance offered by banks are much more expensive and designed for bigtime business transactions, thus, the bank expects more activities on this type of account, or else, charge the account holder for not doing so.

By: ka edong

ka edong — Thu, 07 Dec 2006 13:17:32 +0000

Interesting. I guess its just a matter of searching for a good deal. Of course, there are risks involved and that needs to be considered when searching for a facility to invest in.

Thanks for the notes, pilipino and Danniel!

ka edong

By: pilipino

pilipino — Thu, 07 Dec 2006 09:41:25 +0000

try rural bank of carmen (cebu) i hear they give 20% if u leave for 5ys insur P250000 and also rural bank of paranaQue and rural bank of bais (cebu) they give monthly interest

By: Danniel Yan

Danniel Yan — Mon, 23 Oct 2006 02:36:08 +0000

I don’t get it. BPI offers a higher interest rate for smaller investment? (Time Deposits at BPI have a minimum of P100,000 with an interest rate of 1.375% per annum.For smaller denominations, there is a Platinum savings account that earns P2.125% per annum for a minimum monthly average daily balance of P25,000)

Also, on the topic of banking, can somebody please explain why banks charge a hefty P200/month on dormant accounts and below min. ADB. Isn’t it advantageous for them that a client’s money is sleeping there. They can use it and earn from it. As for the below minimun ADB, can the account just simply not earn any interests at all? I mean, the money is there with the bank. It’s not as if the bank suffers any loss when it doesn’t move for a long time.