The best fixed deposit rate in Singapore is whatever the highest promotional offer is on the day you place your money, for a tenor and minimum sum you can actually meet. Rates move every few weeks, so the right answer is a method, not a single number: check the current promos across local and foreign banks, confirm the minimum placement and tenor, and compare the headline rate against a 6-month T-bill and the latest Singapore Savings Bond before you commit. This guide shows how a fixed deposit works, what drives the rate you are quoted, how SDIC insures your money, and when a T-bill, SSB or high-yield savings account beats an FD outright.
A fixed deposit (FD), also called a time deposit, is money you lock with a bank for a set period in exchange for a fixed interest rate agreed up front. You hand over a lump sum, pick a tenor, and the bank pays you a known rate until maturity. Nothing about the rate changes once you place it, which is the entire appeal: you know on day one exactly what you will get back.
That certainty is the trade-off. Your money is committed for the full tenor. Pull it out early and you typically lose most or all of the interest. An FD is for cash you do not need to touch for the period you choose, not for your everyday spending or your emergency buffer.
Interest is usually paid at maturity for tenors of a year or less, and the placement either renews automatically at the prevailing rate or returns to your linked account, depending on the instruction you set. The auto-renewal rate is often the plain board rate, not the promotion you originally got, so a deposit left on auto-renew can quietly roll into a much lower rate. Set a reminder for the maturity date and decide afresh each time.
Singapore dollar deposit rates track broader interest rates, which in turn follow the Singapore Overnight Rate Average (SORA) and global rate moves led by the US Federal Reserve. When rates are rising or high, banks compete harder for deposits and promotional FD rates climb. When rates fall, FD promos thin out and the headline numbers drop.
On top of the rate backdrop, banks run FD promotions to pull in fresh deposits at specific moments, often tied to a bundle: place new money, sometimes alongside opening or topping up a current or savings account. That is why the advertised rate usually carries conditions. The same bank can show a generous promo rate and a near-zero board rate at the same time, with the gap depending entirely on whether your money counts as fresh funds and whether you hit the bundle requirements.
Two banks can advertise similar headline rates while paying very different amounts once you account for tenor and minimum sum. A 1.55% rate on a 12-month tenor with a S$10,000 minimum is a different product from a 1.45% rate on a 6-month tenor with a S$500 minimum. Read past the headline before deciding.
The direction of rates matters for how long you lock. If rates look likely to keep falling, a longer tenor locks today's higher rate for longer, which works in your favour. If rates look likely to rise, a shorter tenor lets you re-place at a better rate sooner. Nobody calls the turn reliably, so most people split the difference and stay in the 6-to-12-month range where the promos are best anyway.
FD promotional rates change every few weeks, so any number printed in an article goes stale fast. Instead of trusting a figure that may already be wrong, go to the source on the day you are ready to place money.
Check the bank's own fixed deposit page for the live promotional rate, the eligible tenors, the minimum placement, and the fresh-funds condition. The local banks (DBS/POSB, OCBC, UOB) and the foreign and digital banks (Maybank, CIMB, Bank of China, ICBC, HL Bank, Standard Chartered, RHB, GXS and others) each publish their current SGD time-deposit promotions on their websites.
Aggregator sites that track FD rates across banks are useful for a quick scan of who is leading this month, but always confirm the figure on the bank's own page before you act. Promotions get pulled or revised without much notice.
Singapore dollar bank deposits are insured under the Deposit Insurance Scheme, run by the Singapore Deposit Insurance Corporation (SDIC). The cover is S$100,000 per depositor, per Scheme member, raised from S$75,000 on 1 April 2024.
The S$100,000 is an aggregate cap, not a per-account figure. If you hold a savings account, a current account and a fixed deposit at the same bank, they are added together and the total cover is still S$100,000. If you want more than S$100,000 fully insured, spread it across separate Scheme member banks.
What is covered: SGD deposits in savings, current and fixed deposit accounts, plus monies under the Supplementary Retirement Scheme. What is not covered: foreign currency deposits, structured deposits, and investment products such as unit trusts, shares and bonds. A foreign-currency FD paying a higher rate carries currency risk and sits outside this protection.
Every full bank and finance company in Singapore is required to be a Scheme member, so the digital banks and smaller foreign banks chasing your deposits with higher promos carry the same S$100,000 cover as the big local banks. The insurance is what lets you shop on rate alone within that limit. The thing to watch is the aggregation rule: chasing a slightly higher rate at a bank where you already hold a large balance can push your combined SGD deposits past S$100,000 and leave the excess uninsured.
| Product | Covered by SDIC? |
|---|---|
| SGD savings, current and fixed deposit accounts | Yes, up to S$100,000 aggregate per bank |
| SRS monies held as deposits | Yes, within the same S$100,000 cap |
| Foreign currency fixed deposits | No |
| Structured deposits | No |
| Unit trusts, shares, bonds, investment products | No |
The headline rate is only one of four things that decide what an FD is worth to you. Compare all four before picking a winner:
A quick way to compare on equal terms: work out the actual dollar interest for your sum and tenor in dollars, then read the percentage second. On S$10,000, a 1.50% rate over 12 months pays about S$150 before any early-withdrawal cost; the same 1.50% over 6 months pays about S$75. To sense-check what locking the money costs you versus investing it, our fixed deposit vs investing calculator runs the comparison.
An FD is a commitment for the full tenor. Withdraw before maturity and you generally forfeit the agreed rate. Banks handle this differently, so check the specific terms before you place the deposit.
At DBS, for example, premature withdrawal of an SGD fixed deposit means interest is calculated at the bank's lowest applicable deposit rate rather than the promotional rate, and an early withdrawal fee may apply. Other banks may pay no interest at all on an early withdrawal, or charge a flat fee. Foreign currency FDs broken early often pay zero interest.
The practical rule: only lock money you are confident you will not need for the full tenor. Keep your emergency fund in something you can reach instantly, and use an FD for surplus cash with a known horizon.
The headline rate is per annum, so a shorter tenor pays proportionally less in dollars. The plain way to convert a rate into money is: placement amount multiplied by the rate, multiplied by the number of months divided by 12. On S$10,000 at 1.50% per annum, a 12-month FD pays about S$150, a 6-month one about S$75, and a 3-month one about S$37.50, all before any early-withdrawal cost.
That arithmetic is why two offers with the same percentage can be worth very different amounts, and why a higher rate on a shorter tenor sometimes loses to a slightly lower rate you can hold for longer. Run the dollar figure for the exact sum and tenor you have in mind, then compare like for like. Our compound interest calculator does the sum if you want it checked, and the savings goal calculator helps if you are placing the FD towards a target.
At maturity you have three choices: take the principal and interest back to your linked account, re-place a fresh FD at the rate going that day, or let it auto-renew. Auto-renewal is the one to watch. The renewed placement usually rolls onto the bank's plain board rate, which can be a fraction of the promo you first got, so a deposit left untouched can quietly halve its return. Diarise the maturity date and decide again each time rather than letting it roll.
| Tenor | Approx. interest | Total at maturity |
|---|---|---|
| 3 months | S$37.50 | S$10,037.50 |
| 6 months | S$75 | S$10,075 |
| 12 months | S$150 | S$10,150 |
| 24 months | S$300 | S$10,300 |
Three things beyond the headline number decide which rate you actually qualify for. The first is the bank type. Digital banks such as GXS, MariBank and Trust Bank, plus smaller foreign banks, often lead the table with low minimums, sometimes as little as S$100, because they are still buying deposits. Every full bank and licensed digital bank in Singapore is an SDIC Scheme member, so a deposit with a digital bank carries the same S$100,000 cover as one with DBS or UOB. The cover is identical; only the rate and the minimum differ.
The second is your customer tier. The same bank can quote a Personal Banking rate and a higher Preferred or Premier rate on the identical tenor, and some Premier rates also require you to hold investments or insurance with the bank (wealth holdings). If you do not bank at that tier, the rate you see advertised may not be the rate you can get.
The third is the channel. Several banks pay a higher rate for an online or mobile-app placement than for the same FD booked over the counter, because the digital placement costs them less to process. Where a bank shows both, the online figure is usually the one worth taking. Read the rate against your own situation: bank type, your tier, and whether you place online or in branch.
A fixed deposit protects your capital in dollar terms, but not its buying power. If your FD pays less than the rate prices are rising, the money grows on paper while it buys less at the shops. That gap is your real return, and it can be negative even on a perfectly safe deposit.
The check is simple: subtract the inflation rate from your FD rate. If a 12-month FD pays 1.50% and headline inflation is running near that, your real return is close to zero, and if inflation runs higher, you are losing ground in real terms. This is not a reason to avoid FDs for money you need to keep safe and liquid, but it is the reason an FD suits short-horizon cash rather than long-term wealth building, where growth assets have a better shot at beating inflation. Our guide to Singapore inflation tracks the current figure, and the inflation glossary entry explains how it eats returns.
The insurance is only as useful as the payout behind it, so it helps to know what actually happens. If a Scheme member bank fails and MAS activates a payout, SDIC's stated target is to send most depositors their compensation within seven working days. You do not file a claim for the basic cover; SDIC pays from the bank's records, by PayNow to your NRIC or FIN where possible, otherwise by cashier's order to your registered address.
The S$100,000 limit is applied per depositor per Scheme member, aggregating your savings, current and fixed deposit balances at that one bank. A few balances sit in their own separate S$100,000 bucket rather than being lumped in with your personal accounts: deposits held in trust, and CPF Investment Scheme and CPF Retirement Sum Scheme monies, are each insured separately up to S$100,000. For a joint account, the balance is split equally between holders unless the records say otherwise, and each holder's share is then added to their own accounts at the same bank.
The practical takeaway is the same as before: if your combined SGD deposits at one bank are near or above S$100,000, moving the next placement to a different Scheme member keeps the whole sum insured, and you can still chase the best rate while you do it.
If you want FD safety but dislike committing everything at one rate for one date, a ladder spreads the risk. Instead of placing the full sum in a single 12-month FD, you split it across staggered maturities, so a portion comes due regularly and can be re-placed at the rate going then.
A simple version with S$30,000: place S$10,000 each into 4-month, 8-month and 12-month FDs. Roughly every four months one matures, giving you cash you can spend, hold liquid, or roll into a fresh 12-month placement at the current rate. You always have money coming free soon, you are never fully locked until one distant date, and you keep capturing whatever the best rate is each time a rung matures rather than betting the lot on today's number. The trade-off is that the shorter rungs usually earn a touch less than a single long placement, which is the price of the flexibility.
An FD is not always the highest-paying safe option. Three alternatives are worth checking against the current FD promo every time, because in some months they pay more for similar or better safety and flexibility.
Singapore Treasury Bills are short-term government securities, usually 6-month or 1-year, sold at a discount through MAS auctions. The 6-month T-bill issued on 9 June 2026 had a cut-off yield of 1.48% per annum. T-bill yields are set at auction and move with each issue, so compare the latest cut-off against the best 6-month FD. Our guide to Singapore T-bills covers how to bid.
Singapore Savings Bonds are 10-year government bonds you can redeem in any month with no penalty and full principal back, which gives FD-style safety with far more flexibility. The June 2026 SSB issue paid 1.46% in year one and a 10-year average of 2.11% per annum, with the rate stepping up the longer you hold. The first-year rate is the fair comparison against a 12-month FD; the longer average rewards patience. See our Singapore Savings Bonds guide for the mechanics.
High-yield savings accounts can pay more than an FD if you meet their conditions. Accounts like DBS Multiplier, OCBC 360, UOB One and Standard Chartered Bonus$aver pay tiered effective interest rates that depend on crediting your salary, spending on a linked card and other criteria. These rates are not guaranteed and the banks revise them often, but if you already meet the conditions, the money stays liquid and can out-earn an FD. Our best savings accounts guide breaks down the tiers.
| Option | Typical safety | Liquidity | Rate set by |
|---|---|---|---|
| Fixed deposit | SDIC-insured to S$100,000 | Locked for the tenor; early exit forfeits interest | Bank promotion |
| 6-month / 1-year T-bill | Government-backed | Held to maturity; secondary sale possible | Auction cut-off yield |
| Singapore Savings Bond | Government-backed | Redeem any month, no penalty, principal returned | Monthly, tracks SGS yields |
| High-yield savings account | SDIC-insured to S$100,000 | Fully liquid | Bank, tiered on conditions, not guaranteed |
Run the same short check each time you have a lump sum to park:
For a structured view of where deposits fit alongside bonds and other low-risk options, the SSB vs T-bill vs fixed deposit comparison lays out the trade-offs side by side.
It changes every few weeks as banks revise their promotions. Check each bank's own fixed deposit page for the live rate, and confirm the minimum sum, tenor and fresh-funds condition before placing. Always compare the headline against the latest 6-month T-bill cut-off yield and the current Singapore Savings Bond rate.
SGD fixed deposits are insured by SDIC up to S$100,000 per depositor, per bank, raised from S$75,000 on 1 April 2024. The cap is aggregated across all your accounts at that bank. To insure more than S$100,000 fully, spread it across separate Scheme member banks.
You generally forfeit the agreed interest. Banks handle this differently: some pay interest at their lowest board rate, some pay nothing, and some charge an early withdrawal fee. Check the specific bank's premature withdrawal terms before you place the deposit, and only lock money you will not need for the full tenor.
It depends on the bank and the promotion. Some accept S$500 to S$1,000, while top promotional rates often need S$10,000 to S$20,000 in fresh funds. If you cannot meet the high minimum, a lower-minimum promo may pay you more in actual dollars than a top rate you do not qualify for.
It depends on the month. Both are government-backed. T-bill yields are set at each auction and the 6-month bill issued on 9 June 2026 had a 1.48% cut-off yield. The June 2026 SSB paid 1.46% in year one rising to a 2.11% 10-year average, and you can redeem it any month without penalty. Compare all three on the day you decide.
No. Interest from deposits with approved banks and finance companies in Singapore is not taxable for individuals. The rate you are quoted is what you keep, which makes comparing across options simpler.
No. SDIC covers only Singapore dollar deposits. Foreign currency fixed deposits and structured deposits sit outside the scheme, and a foreign currency FD also carries exchange rate risk that can wipe out the higher interest. A USD or AUD FD can advertise a much higher rate, but if that currency weakens against the SGD before maturity the loss on conversion can swallow the extra interest, so treat the headline with that risk in mind. Our USD fixed deposit guide works through the maths.
Yes. Time deposit and fixed deposit mean the same thing in Singapore, and banks use the terms interchangeably. You may see a bank label its product a time deposit or an SGD term deposit; the mechanics are identical to a fixed deposit, namely a lump sum locked for a set tenor at a rate agreed up front.
Fresh funds usually means money not already held with that bank, typically transferred in from another financial institution. Cash already sitting in your existing account with the same bank often does not qualify and earns only the low board rate. Each bank defines fresh funds slightly differently, so check the promotion's terms before you move money.
Yes. You can hold several FDs across different banks or different tenors at one bank. Spreading placements across staggered maturity dates, known as laddering, gives you cash coming free regularly so you are never fully locked until one distant date and can re-place each portion at the rate going at the time. Spreading across separate banks also keeps more of your money within the S$100,000 SDIC cover per bank.
Only if the FD rate is higher than the rate prices are rising. Subtract inflation from your FD rate to get the real return: if a 12-month FD pays 1.50% and inflation is running near or above that, your money is treading water or losing buying power even though the balance is safe. FDs suit short-horizon cash you need to keep secure, not long-term wealth building, where growth assets stand a better chance of beating inflation.
This is general financial information for Singapore, not personal financial advice. Figures change — verify current rates against the official sources above before acting. See our full disclaimer.