¾ÅÉ«ÊÓƵ

Nowadays many banks offer higher interest rates but needs to let you money untouched for 1 year or so.

Pretty much a CD in the us, 3 months 6 months 1 2 or 3 years. My wife's is a 1 year cd with 1/2%, inflation is eating it up. Just wondering what the interest rates are there and if they are insured?

insured to 500,000 pesos

Thanks again Mugtech.
Any idea what the rates are? Does 3% sound correct?

Duder wrote:

Thanks again Mugtech.
Any idea what the rates are? Does 3% sound correct?

Last time I did research was when I visited a few banks in October 2008.  The interest rates are always a few percentage points higher than the USA, but I was told 30% of my interest income would be withheld as income tax.  As an American citizen I most report and pay taxes on my world wide income, so the gross amount of interest would be taxable but I could take a foreign tax credit on the taxes withheld.  I have no idea what kind of 1099 INT is issued in the Philippines.  Many ex-pats prefer to have pensions and/or SS deposited directly into a USA bank with easy access in the Philippines, such as Wells Fargo.

Hum, the dreaded tax deal. OK, they are catching on to the US ways to extract money from people! HA! I was thinking to squirrel away some money and if they paid good interest maybe open an account over there, but maybe not.

I've heard just to use a US debit card to live off of.

thanks!

do you want a savings account? less 2% :a time deposit? a TD (same as CD)less than 6%? a mutual fund?higher but subject to capital gains and other taxes...
do you want to have one that would beat the inflation rate?
do you want to pay taxes?
or do you want to earn higher interest rates, no taxes to be paid, and stable historical returns but no guarantees from reputable, stable financial institutions outside of the banking industry?

Pinaymentor

pinaymentor wrote:

do you want a savings account? less 2% :a time deposit? a TD (same as CD)less than 6%? a mutual fund?higher but subject to capital gains and other taxes...
do you want to have one that would beat the inflation rate?
do you want to pay taxes?
or do you want to earn higher interest rates, no taxes to be paid, and stable historical returns but no guarantees from reputable, stable financial institutions outside of the banking industry?

Pinaymentor

Sounds like someone is selling annuities.

Annuities does not exist in the Philippines.

pinaymentor wrote:

Annuities does not exist in the Philippines.

Too bad, the commissions for the sales people are much higher.