All you need to know ✔ about the current fixed deposit rates in Nigeria

macfranc007 October 13, 2017 Nigeria News today & Breaking news ▷ Read Nigerian newspapers 24/7 Francis Ladipo

If you have any savings, it’s always a wise decision to invest them into something. And one of the safest options out there is to open a fixed deposit in one of the Nigerian banks. But what bank offers the highest rates? Where can you make the most money? Those are both sound and logical questions, and you can find the answers here. If you want to learn where you can get the best fixed deposit rates in Nigeria, continue reading below!

What is a fixed deposit?

A fixed deposit, also known simply as FD, is a kind of bank service that grants you a guaranteed interest rate. Unlike other types of deposits, here you know exactly how much money you’ll receive in the end. In return, it is your responsibly as a client not to withdraw your funds before the expiration of the agreed upon period of time.

Another distinction from typical saving investments, is that you don’t receive your interest every thirty days, but only once at the end of your contract. Fixed deposits can significantly vary in their length. The shortest possible term is a single month, while the longest can be for a total of five years.

Some people may tell you that investing your money into an FD is a waste because of the small interest rates. And while that may be true, there are also several benefits of this type of investment:

An FD teaches you to save money and how to restrain yourself from spending your savings.
It provides better interest than storing your funds in a regular savings account.
You are guaranteed to have an interest, while most other investment opportunities are always a risk.
You get to determine for how long you open your deposit.
You can open several fixed deposits at different banks and enjoy several returns.

Fixed deposit interest rates in Nigeria

Let’s say you’ve decided to invest your money in a fixed deposit, but where do you go from here? It’s rather simple. You take a list of the biggest, most reliable banks in the country, and crunch the numbers to see which one of them offers the highest interest rates. Lucky for you, you can find a list of the Top 6 Nigerian banks with the best interest rates below:

Disclaimer: All of the data provided here is accurate as of the first half of 2017. Since then, some banks could have changed their rates, because that’s the way they operate. Be sure to double-check this information with a bank representative before committing to a deposit and signing anything.

6. FD interest rates at First Bank

The First Bank of Nigeria is one of the oldest and most reliable options on the market. Even though they don’t offer the best interest, you can be 100% sure that they will pay you back every last Naira.

For a sum of half a million you can enjoy the following rates:

2.5% for one month
2.7% for two months
3.0% for three months

Important notice: In some of the banks present on this list, the rate percentage depends on the amount you are ready to deposit. The more you invest – the higher the interest.

5. FD interest rates at Stanbic IBTC Bank

The fifth place for goes to Stanbic. If you choose to go with this option, you’ll enjoy marginally better rates, although the numbers still aren’t as impressive as you would expect. For an investment of half a million Naira, you’ll be presented with:

3% for one month
3.25% for two months
3.5% for three months

4. FD interest rates at Wema Bank

Just outside of the Top 3, we have the Wema Bank. This is one of the oldest banking establishments in the country, having lived through numerous incarnations and still going strong. For an average deposit of half a million Naira you’ll receive the following:

3% for one month
3.25% for two months
3.75% for three months

3. FD interest rates at Diamond Bank

The third place goes to the Diamond Bank, which promises rates almost twice as good as the ones offered by First Bank. For an average deposit of half a million Naira you’ll receive the following:

4% for one month
4.35% for two months
4.5% for three months

2. FD interest rates at GT Bank

For an investment of half a million Naira, you’ll be offered 4.5% interest no matter the period of time you sign up for. While GT offers the same rates as the previous member of our list, it gives an equal opportunity to all deposit lengths.

1. FD interest rates at Sterling Bank

The honorary first place goes to Sterling Bank. As of our last available data, Sterling can offer you the best interest rates in Nigeria. If you choose to open a deposit with them, you’ll be offered:

5% for one month
5.25% for two months
5.5% for three months

Now you know everything about fixed deposit interest rate in Nigeria, and know which bank to visit to get the best offer. Remember that the banking industry is an ever-changing system, so be on the lookout for any new opportunities. Consider sharing this article with your friends, and good luck with your investment!