Hike rates

State-owned banks hike rates – Taipei Times

Several major lenders are to raise interest rates for depositors today, after the central bank raised its benchmark rediscount rate from 1.375% to 1.5% on Thursday.

After major lenders raised their term deposit rates by 12.5 basis points, depositors who hold NT$1 million ($33,647) in term deposit accounts are to receive an additional NT$3,750 in interest per year.

Taiwan’s state-owned bank (臺灣銀行), the country’s largest lender, will raise its floating rate for one-year term savings deposits by 0.125 percentage points to 1.215% to fully reflect rate adjustments. of the central bank.

Photo: ANC

As a result, depositors who have NT$1 million in one-year time savings accounts with the bank will receive NT$12,150 in interest per year, he said.

The bank is also to raise its variable two-year term savings deposit rate by 0.125 percentage points to 1.25%, while its variable three-year term savings deposit rate is to increase by 13 percentage points. base, higher than the central bank’s hike, at 1.285%. , it said.

The state-run Land Bank of Taiwan (土地銀行) will increase the floating and fixed rates of all its time savings deposit accounts by 0.125 percentage points, the variable rate of the savings deposit account -one year time reaching 1.215%.

Public investment lender First Commercial Bank (第一銀行) will raise its floating one-year, two-year and three-year savings deposit rates by 0.125 percentage points to 1.215%, 1.395% and 1.395% respectively, to from today.

It will also raise fixed rates by no less than 0.145 percentage points to 1.235%, 1.26% and 1.27% respectively for its one-year, two-year and three-year term savings accounts.

The state-run Taiwan Cooperative Bank (合庫銀行) will raise its floating rates for one-year to three-year term savings deposits and fixed rates for its term savings deposits by one year to three years by 0.125 percentage point.

While deposit rates are expected to rise in line with central bank rate hikes, market watchers said the banking industry will soon raise mortgage rates by more than 12.5 basis points to have a bigger interest margin. high, which should improve bank profitability.

Comments will be moderated. Keep comments relevant to the article. Remarks containing abusive and obscene language, personal attacks of any kind or promotion will be removed and the user banned. The final decision will be at the discretion of The Taipei Times.