DBS Fixed Deposit in 1993
Back in 1993, my mother and I had a fixed deposit placed with DBS Bank. Back then DBS Bank was known as The Development Bank of Singapore Ltd. This fixed deposit was kept for 24 years. From a sum of $5,000, it became $7,246 in 24 years. Every year the annual interest earned was added to the initial principal sum on a compounding basis. This works out to be 1.56% per year. This interest rate for fixed deposit (1.56% p.a.) is better than the current interest rate of 0.05% p.a. Bear in mind that the Global Financial Crisis hit us in 2007/08 some 15 years ago. During the last 15 years, the interest rates for savings account were at rock bottom.
