Keystone Bank has been robbing me blind for years!!! Chai!! Ok... Alright... Odimma... No problem.... I know what to do!

duni04:

I started trading equities when I was 20 and i've never lost anything. Its when you ignorantly buy into a company without checking the history or fundamentals that you get burnt. Even if you ignorantly buy into a stock and the price dips, you only lose when you sell prematurely. If you're patient enough to wait for the price to climb back while enjoying the divends they pay you, where's the loss?

What is the worth of the dividends they are paying?! 50 kobo per share? One Naira?!!
How much has the most profitable coy in Nigeria paid it's shareholders in the last 5 years?!!!

yemivictor:


Please throw more light.

To help him out a bit - look at the value of 7up stocks 4 months ago it was about N100 there about look at the value today N153 - so if you had invested your 1m there 4-5months ago, which would have given you 10000unit of seven up if you decided to offload now it would have appreciated by N53- subtract charges and taxes on sale you would walk home with N48-N49 - that's how it's done- the rest - is for those that want to know- and sorry it's not gambling it's a knowledge based market more information helps you make more money - less information helps you loose money*

Thanks.
l think ama try First Bank then.

l fixed 500k with GTB

  NOTIFICATION ON MATURING TIME DEPOSIT INVESTMENT.  
Thank you for taking advantage of the benefits of our products and services.  
 
We write to inform you that your time deposit investment with us will mature as detailed below:  
   
Amount Invested: :       NGN502,465.76
Effective Date: :        November 10, 2014  
Tenor: :        30 days
Maturity date: :        December 10, 2014
 
if 2,465.76 Naira is the said 6.25 returns then it's poor.

..

Dalby:
The interest rate given is annual not monthly, so the calculations are wrong.
N500,000 at 7% means N35,000 / year.
for 30days i.e 1 month it is N35,000/12 since 12 months make a year N2,916.67. At the end of 30days you have N502,916.67.

This is the right calculation. I made the inquiry at Gtbank and got something like that. I then wondered why I will tie down my 500k for a whole month just to get a little over 2k. Meanwhile, a savings account with Gtb with a little over 200k gives me an interest of 1,500 or thereabout monthly.

@OP, Your calculation for interest made is totally different from yours. I have been into fixed deposit transaction with banks for long. Let me take you through:

Provided that PRINCIPAL = N500,000; Rate = 9.25%; Time = 30days (30/365)

Interest= ^{(P x R x T)}/₁₀₀

I= (500000 x 9.25 x ³⁰/₃₆₅)/₁₀₀
I=NGN3801.37

If you feel that I'm wrong, move to any bank to inquire how they work out their interest.

MaximusMeridius:
It is a statistical fact that 90% of the untrained (non professionals) who trade equities, forex commodities etc go broke within a year.

There is a difference between trading and investing.



There is nobody who "trades" (even professionals) who hasn't lost money or loses on a fairly regular basis, so I can say for a fact that Duni is telling a big fat lie when he/she says i have never lost money. He who has never lost money is a disaster waiting to happen, because part of being a succesful trader is knowing how to deal with losses. Successful traders aim to have more winners than losers, be disciplined and keep their losses small and ride their winners.


Those who succeed are the 10% who take the money of the 90%. If you take trading advice from Nairaland, you are almost certain to end up among the 90%

gbam.

yemivictor:


What is the worth of the dividends they are paying?! 50 kobo per share? One Naira?!!
How much has the most profitable coy in Nigeria paid it's shareholders in the last 5 years?!!!

Nestle #12+ dividend per share, okomu oil #10 dividend and bonus(free shares) one for one .oando #3+ per share e.t.c , if you read books about stocks you will be making money every day/week, but if you enter with big eyes will be playing lotto in stock and you know how lotto works?. for example if a stock price is at #5 and you buy 20000*5=100,000 and the stock go up to #25, and you sell 25000*25=500,000.

yemivictor:


What is the worth of the dividends they are paying?! 50 kobo per share? One Naira?!!
How much has the most profitable coy in Nigeria paid it's shareholders in the last 5 years?!!!

GTB paid share holders N4 of recent - and that's it's interim dividend payment- nestle about N12 shares owned the list is endless - but because you want to buy share you purchase Daar communication or japaul and you come here and say the capital market this, the capital market that - without investment advice And you were complaining the market crashed- when you were supposed to stay their- and allow the foreign investors pull their funds dumping stocks in your laps, but no you followed them to sell - yes you would loose- and that's because you know more then us- get investment advice before you invest at most it would cost you a CSCS account opening

yemivictor:


You say there are several other ways to invest your money yet you failed to mention just one. Diaris God o!!

Oga ur comment shows u havent been following this thread, pls check my posts about two pages back i av listed over 5 other investment, stop accusin pple ok and beside are u gonna pay me for the info??
B very careful ok?

naijacutee:
Last month, I happened upon some money from an old investment which had matured. Rather than have it collect “one one naira” in my standard savings account, I decided not to be the fly that follows the corpse to the grave, and put it in a fixed deposit. Fixed deposits are a very popular investment option in Nigeria, and you’ll hear about them 8 times of out 10 if you do happen to ask for advice regarding how to invest money. The attraction to this sort of investment is that returns are guaranteed, and the duration of your investment is flexible. We probably like this sort of investment because they help us mitigate risks – in a country where nothing is guaranteed, we don’t tend to tie money down in long term investments and fixed deposits are the perfect solution to this investment problem. In the course of my search for a decent return on my investment, I “burnt” at least N5,000 in credit, calling banks and waiting in queues for information, and was only able to reasonably compare two banks – GTBank and First Bank.

What is a fixed deposit?
A fixed deposit is a lump sum deposited with a bank for a varying period, in exchange for interest.
How to put your money in a fixed deposit: You will need to have an existing account with the bank of your choice, and then you deposit the sum into this account. You will then need to inform your bank of your intention to “fix” the said sum for “X” number of days. It is very important that before you make your decision, that you shop around for the best rates. You are not obliged to fix your money with your existing bank, just because you bank with them. You can earn a significantly higher amount by just picking up the phone. It is the more difficult route when you consider call waiting times, credit spent etc but it is worth it, and what’s more I have done some of this hard work for you.

How long is my money fixed for?
Most banks offer flexible periods of 30 days, 60 days, 90 days, 180 days and one year.

How do I get paid?
Usually, the money is removed from your account and the interest is paid into your account. So for example, you want to fix N500,000 for 60 days and the bank has offered you an interest rate of 7%. You have N550,000 in your account. Once you confirm you’re making the arrangement and sign all the necessary documentation, the N500,000 “disappears” from your account to be “fixed”. At the end of 60 days, you get paid back your original N500,000 + an additional N35,000 interest accrued. A simplified version of what really happens behind the scenes is that the N500,000 is given to another customer who has asked for a loan – but he will be charged 20% interest (or N100,000). After 60 days, you get back your N500,000 + N35,000 (7% interest from the other customers N100,000). Not bad business for banks, if you ask me.

Bank interest rate comparisons
For my enquiries, I called First Bank and GTBank.
I rated both banks on customer service quality (pet peeve of mine, because time is money) and interest rates.
tbankvsfirstbank

Interest rates
First Bank
7 days (First bank does not offer this service)
30 days – 9.25%
60 days: 9.50%
90 days: 9.75%
365 days: 10%
GTBank
Available from N100,000 to N1m.
7 days – 3.75%
30 days – 180 days : 6.25%
Some notes:
Call times. My initial contact with both banks was on a Friday afternoon, at about 5.30pm. My second contact attempt with GTBank after the first one proved futile was at 3.20pm on a Sunday.
Omissions. I initially wanted to include Accessbank in this exercise, but have been unlucky in getting through to a knowledgeable person on customer service. The frontline staff I have spoken to, all seem to lack basic knowledge regarding what services their banks offer and where to get information outside the limits of their knowledge. I would recommend that training is provided for all front line staff as a matter of urgency, as customers otherwise have no way of getting informed about competitive rates for your most lucrative services.
Am I an agent? I work for neither of these banks. My selection of this two is purely by chance and accessibility of contact information via the bank websites. I simply picked the banks with the most prominent contact information via websites. My reviews are unbiased, and if I haven’t reviewed any others yet, don’t worry – “life is turn by turn”.

Courtesy: http://www.mrpepe.com/banking/which-is-the-best-account-for-a-fixed-deposit-gtbank-or-firstbank/

:

Op don't be deceived with whst the banks tell you. I have fixed 1M before for 90 days at 9% interest rate with access bank. What I got was 44k. when I asked the manager how come, I was told it's compound interest and not simple interest like you thought. If you ask me, fixed deposit is a poor investment option. Before fixing your cash ask the banker what is your expected earning before tying down your cash...you just might be disappointed

olajide8:


To help him out a bit - look at the value of 7up stocks 4 months ago it was about N100 there about look at the value today N153 - so if you had invested your 1m there 4-5months ago, which would have given you 10000unit of seven up if you decided to offload now it would have appreciated by N53- subtract charges and taxes on sale you would walk home with N48-N49 - that's how it's done- the rest - is for those that want to know- and sorry it's not gambling it's a knowledge based market more information helps you make more money - less information helps you loose money*

Fantastic analogy up there, Olajide, and much thanks.
However, if i'm going to offload at N153 as you have stated above, how easy is it to find a maga that'd buy at such a high rate?

uboma:



No bank here in Nigeria will pay you 35k for fixing 500k for 60 days. The Fixed Deposit rates varies from bank to bank. However the more money you invest in FD and the longer the tenor, the more you get...

Point noted

best place to invest money is insurance they offer high interest rate than banks

How are you calculating your interest? Its per annum. You have to divide for 365 and multiply the result by the number of days you want to fix the money for.
All these big money you are stating as interest is very wrong. No bank gives you 35k on 500k for those number of days. Are they into round-tripping

Please take this post down. This is nonsense. Ultimately misleading. Moderator!!!

naijacutee:
Last month, I happened upon some money from an old investment which had matured. Rather than have it collect “one one naira” in my standard savings account, I decided not to be the fly that follows the corpse to the grave, and put it in a fixed deposit. Fixed deposits are a very popular investment option in Nigeria, and you’ll hear about them 8 times of out 10 if you do happen to ask for advice regarding how to invest money. The attraction to this sort of investment is that returns are guaranteed, and the duration of your investment is flexible. We probably like this sort of investment because they help us mitigate risks – in a country where nothing is guaranteed, we don’t tend to tie money down in long term investments and fixed deposits are the perfect solution to this investment problem. In the course of my search for a decent return on my investment, I “burnt” at least N5,000 in credit, calling banks and waiting in queues for information, and was only able to reasonably compare two banks – GTBank and First Bank.

What is a fixed deposit?
A fixed deposit is a lump sum deposited with a bank for a varying period, in exchange for interest.
How to put your money in a fixed deposit: You will need to have an existing account with the bank of your choice, and then you deposit the sum into this account. You will then need to inform your bank of your intention to “fix” the said sum for “X” number of days. It is very important that before you make your decision, that you shop around for the best rates. You are not obliged to fix your money with your existing bank, just because you bank with them. You can earn a significantly higher amount by just picking up the phone. It is the more difficult route when you consider call waiting times, credit spent etc but it is worth it, and what’s more I have done some of this hard work for you.

How long is my money fixed for?
Most banks offer flexible periods of 30 days, 60 days, 90 days, 180 days and one year.

How do I get paid?
Usually, the money is removed from your account and the interest is paid into your account. So for example, you want to fix N500,000 for 60 days and the bank has offered you an interest rate of 7%. You have N550,000 in your account. Once you confirm you’re making the arrangement and sign all the necessary documentation, the N500,000 “disappears” from your account to be “fixed”. At the end of 60 days, you get paid back your original N500,000 + an additional N35,000 interest accrued. A simplified version of what really happens behind the scenes is that the N500,000 is given to another customer who has asked for a loan – but he will be charged 20% interest (or N100,000). After 60 days, you get back your N500,000 + N35,000 (7% interest from the other customers N100,000). Not bad business for banks, if you ask me.

Bank interest rate comparisons
For my enquiries, I called First Bank and GTBank.
I rated both banks on customer service quality (pet peeve of mine, because time is money) and interest rates.
tbankvsfirstbank

Interest rates
First Bank
7 days (First bank does not offer this service)
30 days – 9.25%
60 days: 9.50%
90 days: 9.75%
365 days: 10%
GTBank
Available from N100,000 to N1m.
7 days – 3.75%
30 days – 180 days : 6.25%
Some notes:
Call times. My initial contact with both banks was on a Friday afternoon, at about 5.30pm. My second contact attempt with GTBank after the first one proved futile was at 3.20pm on a Sunday.
Omissions. I initially wanted to include Accessbank in this exercise, but have been unlucky in getting through to a knowledgeable person on customer service. The frontline staff I have spoken to, all seem to lack basic knowledge regarding what services their banks offer and where to get information outside the limits of their knowledge. I would recommend that training is provided for all front line staff as a matter of urgency, as customers otherwise have no way of getting informed about competitive rates for your most lucrative services.
Am I an agent? I work for neither of these banks. My selection of this two is purely by chance and accessibility of contact information via the bank websites. I simply picked the banks with the most prominent contact information via websites. My reviews are unbiased, and if I haven’t reviewed any others yet, don’t worry – “life is turn by turn”.

Courtesy: http://www.mrpepe.com/banking/which-is-the-best-account-for-a-fixed-deposit-gtbank-or-firstbank/

lindaikeji..nl

Nice post. Pls wats d minimum mount that can be fixed wit firstbank? Is the interest on monthly basis? Thanks

duni04:
10% in 365 days??! When you can make10% in 1 day on equities. Only really ignorant people still subscribe to fixed deposits.

please sir,which one is equities?
I would like to know about it.
Thanks

Interesting. Thanks

naijacutee:
Last month, I happened upon some money from an old investment which had matured. Rather than have it collect “one one naira” in my standard savings account, I decided not to be the fly that follows the corpse to the grave, and put it in a fixed deposit. Fixed deposits are a very popular investment option in Nigeria, and you’ll hear about them 8 times of out 10 if you do happen to ask for advice regarding how to invest money. The attraction to this sort of investment is that returns are guaranteed, and the duration of your investment is flexible. We probably like this sort of investment because they help us mitigate risks – in a country where nothing is guaranteed, we don’t tend to tie money down in long term investments and fixed deposits are the perfect solution to this investment problem. In the course of my search for a decent return on my investment, I “burnt” at least N5,000 in credit, calling banks and waiting in queues for information, and was only able to reasonably compare two banks – GTBank and First Bank.

What is a fixed deposit?
A fixed deposit is a lump sum deposited with a bank for a varying period, in exchange for interest.
How to put your money in a fixed deposit: You will need to have an existing account with the bank of your choice, and then you deposit the sum into this account. You will then need to inform your bank of your intention to “fix” the said sum for “X” number of days. It is very important that before you make your decision, that you shop around for the best rates. You are not obliged to fix your money with your existing bank, just because you bank with them. You can earn a significantly higher amount by just picking up the phone. It is the more difficult route when you consider call waiting times, credit spent etc but it is worth it, and what’s more I have done some of this hard work for you.

How long is my money fixed for?
Most banks offer flexible periods of 30 days, 60 days, 90 days, 180 days and one year.

How do I get paid?
Usually, the money is removed from your account and the interest is paid into your account. So for example, you want to fix N500,000 for 60 days and the bank has offered you an interest rate of 7%. You have N550,000 in your account. Once you confirm you’re making the arrangement and sign all the necessary documentation, the N500,000 “disappears” from your account to be “fixed”. At the end of 60 days, you get paid back your original N500,000 + an additional N35,000 interest accrued. A simplified version of what really happens behind the scenes is that the N500,000 is given to another customer who has asked for a loan – but he will be charged 20% interest (or N100,000). After 60 days, you get back your N500,000 + N35,000 (7% interest from the other customers N100,000). Not bad business for banks, if you ask me.

Bank interest rate comparisons
For my enquiries, I called First Bank and GTBank.
I rated both banks on customer service quality (pet peeve of mine, because time is money) and interest rates.
tbankvsfirstbank

Interest rates
First Bank
7 days (First bank does not offer this service)
30 days – 9.25%
60 days: 9.50%
90 days: 9.75%
365 days: 10%
GTBank
Available from N100,000 to N1m.
7 days – 3.75%
30 days – 180 days : 6.25%
Some notes:
Call times. My initial contact with both banks was on a Friday afternoon, at about 5.30pm. My second contact attempt with GTBank after the first one proved futile was at 3.20pm on a Sunday.
Omissions. I initially wanted to include Accessbank in this exercise, but have been unlucky in getting through to a knowledgeable person on customer service. The frontline staff I have spoken to, all seem to lack basic knowledge regarding what services their banks offer and where to get information outside the limits of their knowledge. I would recommend that training is provided for all front line staff as a matter of urgency, as customers otherwise have no way of getting informed about competitive rates for your most lucrative services.
Am I an agent? I work for neither of these banks. My selection of this two is purely by chance and accessibility of contact information via the bank websites. I simply picked the banks with the most prominent contact information via websites. My reviews are unbiased, and if I haven’t reviewed any others yet, don’t worry – “life is turn by turn”.

Courtesy: http://www.mrpepe.com/banking/which-is-the-best-account-for-a-fixed-deposit-gtbank-or-firstbank/

Thanks so much OP (Nairaland really making sense these few days).

I have been looking for Intel on fixed deposit accounts for a while now and you just helped me. My questions are:

(1.) Of the two banks you used as comparison, which is best to apply a fixed deposit action with, and;

(2.) Do you happen to know of other banks with higher interest rates?

yemivictor:


Fantastic analogy up there, Olajide, and much thanks.
However, if i'm going to offload at N153 as you have stated above, how easy is it to find a maga that'd buy at such a high rate?

Their are always buyers - buying for different reasons and that's why the price goes up- the law of demand and supply - some are buying to own the company, others are buying because of the bonuses, some are buying for the dividends - their are tonnes of reasons why would always buy or sell

Donfill:
best place to invest money is insurance they offer high interest rate than banks

Insurance my foot.

peeta4u:
Nice post. Pls wats d minimum mount that can be fixed wit firstbank? Is the interest on monthly basis? Thanks

Read through the thread from the first page to the last and get the answer to your question.

MaziOmenuko:


This is the right calculation. I made the inquiry at Gtbank and got something like that. I then wondered why I will tie down my 500k for a whole month just to get a little over 2k. Meanwhile, a savings account with Gtb with a little over 200k gives me an interest of 1,500 or thereabout monthly.

It's still not true. You can't save 200k and get 1500 interest in a month. Fixed deposit of 200k can't give you that amount not to talk of ordinary savings.

Are you Buhari?

melchuksky:
I have @least 1mill in my acct

melchuksky:
I have @least 1mill in my acct

Are you Buhari?

Caracta:


You can fix for a year and give an instruction for it to be rolled over at maturity, either principal only or principal + interest. It can go on for as long as you want. It's risky though. Just be sure it's not a bank that can disappear .

Good thing is, you have the option of terminating your investment at any time, You just get to lose 20% of the accrued interest. Your principal would still be intact.

Thanks a lot for the explanation

donhils:

It's still not true. You can't save 200k and get 1500 interest in a month. Fixed deposit of 200k can't give you that amount not to talk of ordinary savings.

I didn't say the money was fixed; its a normal savings account that I hardly touch. I notice an interest accrue of over 1,5k per month on Gtb.

duni04:
10% in 365 days??! When you can make10% in 1 day on equities. Only really ignorant people still subscribe to fixed deposits.

Can u also give better enlightment on equities?
Thanks

Dalby:
The interest rate given is annual not monthly, so the calculations are wrong.
N500,000 at 7% means N35,000 / year.
for 30days i.e 1 month it is N35,000/12 since 12 months make a year N2,916.67. At the end of 30days you have N502,916.67.

Even though interest rate is sure and you are sure o ur money @ the end. I wonder why this ppl tae customer or a ool by charging 2Opercent interest on money loaned, while giving them this ur calculation o interest on ixed deposit ater the money ixed deposit matures.