Do you have some “idle” money you want to invest? Or you want to save monthly savings to save when needed. The safest solution for you is to open a savings book at a bank, which not only helps you accumulate money but also earns interest. Are you still concerned about the procedure, interest rate, term and payment method? Here, Timo will share 7 things to know when making a passbook to help you deposit money properly and effectively.

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What is a passbook?

When making a monthly savings deposit at the bank, the customer will provide the customer with a book called a passbook. The passbook is the proof that shows the amount of money you have deposited at the bank, the interest rate applied and the amount of interest you are entitled to.

Why do you need a passbook

? Simply put, you bring money to a bank you trust to deposit it. The bank then issues you a certificate of holding your money with a specific interest rate. There are many reasons you should have a passbook:

You always have a monthly savings deducted from your salary You want to save money for your children to go to schoolYou have “idle” money and want to invest it safelyYou are accumulating and saving monthly to “build a home” …

With the above reasons, you have probably thought about opening a passbook for yourself, right? For first-time customers, there will be many questions such as how to open a book, how to apply, what is the interest rate, etc. Don’t worry, Timo will immediately share with you how to deposit monthly savings in the bank.

Latest forms of opening savings books in 2021

So far, monthly savings is still a safe, low-risk investment chosen by many people. There are many different methods of opening a savings book applied by banks to best support the needs of customers. To better understand the savings deposit methods as well as its advantages, you can refer to the information below:

Classification of savings by form of deposit

At the counter: Customers will go directly to the bank to deposit and receive a passbook with full information on the amount, interest rate and deposit term. Online: Banks have long given online savings service was born. With this form, customers only need to perform simple operations via InteBanking of banks at any time of the day. With just one simple operation, the sender can easily transfer idle funds from a checking account to a savings account.

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In addition, some banks now pay higher interest rates on online savings than at the counter with many preferential policies on fees and utility services.

Sorting savings books by term

Term Savings Deposit: This is a popular form of savings deposit today. When depositing a term savings account at a bank, the depositor must choose and commit to a deposit term at the bank. Normally, customers can choose to deposit monthly or multiple months, the maturity of the term deposits ranges from 1 month to 24 months depending on the needs of the customer. During this time, in case the depositor withdraws money before the maturity date, the interest rate will be calculated as the demand deposit. If at the maturity time, customers want to continue depositing at the bank, the interest will be entered in principal and interest will be calculated for the next deposit periods.

Deposit interest rates at banks in 2021

The latest updated VND savings deposit interest rates for customers at 17 banks. The two types of interest rates for these two forms of savings are slightly different.


Green is the highest %/year interest rate in the savings term Red is the lowest %/year interest rate in the savings term

Information you need to know when opening a passbook

What is the procedure for opening a passbook

?Opening a passbook directly at a bank and opening a passbook online are two popular forms today. The procedure of these two forms is relatively simple and fast.

For the form of direct book opening at the counter, you will be instructed by the teller to fill out the registration form. After that, the staff will receive the amount you want to send and proceed to print the book, stamp it for you. For the online form of opening the book, the operation is extremely simple, it only takes a few minutes to complete. You just need to perform the operation of deducting money from your checking account to your savings account on the bank’s online applications and services. This is also an advantage of online savings compared to at the counter.

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How to calculate savings interest rate 2021

There are two ways to calculate the same interest rate:

Interest = Deposit amount x Interest rate (% year) x (Number of deposit days/360) Interest = Deposit amount x Interest rate (% year)/12 x Number of months of deposit

The current savings deposit term has 3 basic terms, including:

Short term (1-3 months)Mid-term (4-12 months) Long-term (1 year or more)

The longer the deposit term (up to 2-3 years), the higher the interest rate. The term is too long, the profit The interest rate will be flexibly reduced gradually to limit risks for the bank. Suppose you have 100,000,000 VND, put it in a savings account. – With a term of 1 year, interest rate of 7.5% received at the end of the period, the amount of interest you will receive is: 100,000,000 x 0.075/12 x 12 = VND 7,500,000 – With a term of 9 months, interest rate of 7% will be received. At the end of the period, the interest you will receive will be: 100,000,000 x 0.07 x 270/360 = VND 5,250,000 – With a term of 3 months, the interest rate of 4.5% received at the end of the period, the amount of interest you will receive is: 100,000. 000 x 0.045 x 90/360 = 1,125,000 VND The form of interest payment for most savings products is usually interest payment at the end of the period, when the account reaches its maturity date. In addition, there is also a method of periodic interest payment for customers who only need to receive interest for living expenses. Timo suggests you a way to solve the above problem as follows, dividing the savings into 3 parts: – Part 1: to invest in your children’s education later, then send it to a long-term deposit with a high interest rate. . – Part 2: for the need to buy furniture, interior equipment, home technology equipment, expensive appliances, send for a medium term of 6 months. – Part 3: Small amounts of money that are not needed or needed for urgent purposes can be deposited in a short term.

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What is the due date and settlement of a passbook

?Each savings account has a specified maturity date or, more understandable, a fixed expiration date. Up to this date, you can go to the bank to make the payment to get all the principal and interest back. The maturity date is the last day of the savings account from the date of starting the savings account at the bank.

Is it possible to withdraw savings before maturity

?Customers can completely withdraw their entire savings before the maturity date at any time. Note. If withdrawing before maturity, the entire amount of that savings account will not receive a fixed savings interest rate, but only an indefinite interest rate. Except in special cases, you have mortgaged a savings account to borrow money, you must pay the loan first before you can withdraw your savings.

Should I open a term or non-term savings account

?There are two popular forms of bank savings:

Term savings deposit: is a form of opening a savings book with a commitment to withdraw time with a fixed interest rate.

Make an online passbook at Timo digital bank

Thus, bank savings is a form of investment you can completely feel secure. You need to define your needs first in order for the delivery method to be effective. If your income is not stable, it is best to choose the form of savings deposit with short term or no term, so that in case of emergency, you can pay off sooner.

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At Timo, with just a few simple steps on the mobile application, you can instantly deposit your savings. Let’s use Timo’s money wisely! Live smarter, more quality with Timo. Sign up and wait! For more information, please contact the toll-free hotline 1800 6788.