ABSA Fixed Deposit Accounts Overview in 2025
All that you need know about the ABSA fixed deposit accounts overview, fees, interest rates, features and benefits.
An account for fixed deposits is designed to offer you much more interest on your investment than a regular savings account.
The Dynamic Fixed Deposit, Islamic Term Deposit, and the regular Fixed Deposit Account are the three types of fixed deposit accounts offered by Absa.
Investors wishing to save money and earn income over a five-year period might choose Absa Fixed Deposit Accounts.
A R1,000.00 minimum deposit is needed to open the account, for the term of the investment, interest rates are fixed.
Depending on the needs of the customer, interest can be paid every month, every quarter, every two years, or every year.
Those who deposit R100,000 over a 12-month period and are over 55 get additional interest.
Savings Plans Accounts
Customers can use Savings Plans accounts to save money aside for a particular purpose.
These accounts target various consumers and offer various characteristics.
These low-risk investing accounts range from conventional savings accounts to Islamic accounts.
Investor Plus Account
Account for Absa Investor Plus is a savings account that gives 24 hour access to funds for investments.
The Investor Plus account requires a minimum investment of R250,000.00.
3.9% yearly interest is earned on investments between R250,000 and R10,000,000.
Absa offers the highest interest rate for the Investor Plus account on investments of R25,000,000.00 or more, at 3.91%.
The Investor Plus account doesn’t charge any management fees.
This account’s funds may be pledged as security for loans.
Transaction fees and early withdrawal penalties apply to the account.
Depositor Plus Account
An investment of at least R15,000 is needed to open an Absa Deposit Plus Account, which offers rapid access to funds.
A 2.20% annual interest rate is earned on investments between R15,000.00 and R24,999.99.
The maximum interest rate of 3.5% is paid on deposits of R10,000,000.00.
When taking out a loan, funds from the Depositor Plus Account may be pledged as security.
Although customers can deposit any amount into their Deposit Plus accounts, it must be at least R15,000.00.
Less than R15,000.00 earn nothing in interest.
TruSave Account
An Absa TruSave account is a savings account that may be used to plan for the future by setting aside money.
A R50.00 minimum deposit is needed to open the account.
No interest is paid on any sum less than R50.00.
The account calculates interest on deposits using a tier structure.
The account offers 0.45% interest on deposits between R50 and R1,000,000.
Customers are free to increase their savings whenever they wish, therefore the account supports regular contributions.
On the TruSave account, there are no administrative costs, money is available right now.
Core Retirement Annuity Account
Savings accounts like the Absa Core Retirement Annuity are excellent for people without pension or provident funds.
A one-time deposit of R10,000.00 is needed to open the account.
Customers who choose this account receive a tax benefit since they can deduct contributions to retirement accounts equal to up to 27.5% of their taxable income each tax year.
Shares are purchased with the funds deposited into the Core Retirement Annuity account.
Because of its minimal risk and potential for significant profits over time, this account is an excellent investment.
Due to the portfolio’s composition of low-cost passive investments like ETFs and notes, investment expenses are modest.
Islamic TargetSave Account
One of the ABSA Fixed Deposit Accounts is the Islamic TargetSave Account, a savings account that abides with Quranic law.
The Mudarabah concept, which emphasizes that profit should be shared, is the foundation for the account’s returns.
The management of Islamic TargetSave accounts is separate from those of other Absa funds.
There are no ongoing monthly charges for the account.
A minimum R100.00 deposit is required each month to utilize an Islamic TargetSave Account.
Because it’s a notice account, owners can have access to their money with 32 days’ notice.
On the TargetSave account, only 4 withdrawals are permitted.
Future Plan Account
Savings accounts like the Absa Future Plan account demand an initial deposit of R100.
Customers can receive a bonus interest rate from Absa of up to 3.5% on the account anniversary.
Only R1,000.00 in bonus payment is allowed as bonus interest.
Over the duration of the agreement, the account requires a periodic R250.00 deposit.
The Future Plan account does not pay interest on balances under R100.00.
Only 4 withdrawals are permitted on the notice account, which is a notice account.
A 32-day notice is required for the account.
Notice Select Account
One of several ABSA Fixed Deposit Accounts and a savings account, the Absa Notice Select Account enables consumers to specify the notice term and select how much they want to deposit.
The Notice Select Account has a minimum deposit of R1,000.00.
The amount invested by the consumer and the investment’s period determine the interest rate.
A client may choose to receive interest payments monthly, quarterly, biannually, or annually, on the date of their choosing.
If no withdrawals are made, interest is capitalized to the savings account to benefit from the compounding effect.
Tax-Free Savings Account
One of the most popular ABSA Fixed Deposit Accounts, the Tax-Free Savings Account offers account holders tax advantages.
The account holders are exempt from paying taxes on the account’s earnings.
The minimum deposit for the account is R1,000.00.
A maximum of R36,000.00 can be deposited into the account annually.
Deposits for a lifetime are limited to R500,000.00.
Penalties of 40% taxes will be assessed if the maximum lifetime contributions are not met.
The account’s tiered interest rates vary depending on how much is deposited and for how long.
Cash is available anytime it is required.
Tax-Free Investment Account
Savings account Absa Tax-Free Investment Account has advantages and needs a minimum opening deposit of R10,000.00.
Customers may use the account to save up to R36,000.00 annually tax-free.
R500,000.00 is the maximum lifetime contribution to the account.
In the event that consumers violate the regulations governing tax-free savings accounts, SARS will demand a penalty of 40%.
The Tax-Free Investment Account shares many of the same advantages as the Tax-Free Savings Account, but it invests in Exchange Traded Funds (ETFs), wrap portfolios, and unit trusts.
Islamic Term Deposit Account
Based on the Mudarabah concept, this investment choice complies with Halal law.
The account provides different returns depending on the investment period you choose, which can range from 8 days to 5 years.
| Islamic Term Deposit Account Features |
|---|
| Investment term can be from 8 days to 5 years |
| Minimum opening deposit of not less than R1 000 |
| In this account you will not receive any interest, instead, you get a share of the profits or losses made from the investment |
| There are no monthly, hidden or admin fees |
| The account can be for both individuals and companies |
The Mudarabah Principle
The mudarabah concept essentially argues that as an investor, you are entrusting Absa with your cash and that the bank is responsible for making additional investments in the money for profit.
The predefined profit sharing ratio previously arranged with the bank is then used to divide the gains from the invested money.
In this investment, you agree on the profit sharing ratio rather than the interest rate, in contrast to other ABSA fixed deposit accounts where the interest rates may be negotiated.
The amount you get will depend on the bank’s investment’s success; it might be favorable or unfavorable.
Easy Access Accounts
Easy access accounts are ABSA fixed deposit accounts that provide consumers access to their money right away while also allowing them to save money.
Money can be used for anything and withdrawals don’t require a notification.
Living Annuity Account
Customers can set money aside in an Absa living annuity account to use for retirement planning.
The living annuity account requires a minimum investment of R50,000.
The living annuity account’s purpose is to enable clients to take out money throughout retirement at a set pace.
Although withdrawals are made in accordance with customer preferences, monthly withdrawals are advantageous for this account.
Additionally, withdrawals have tax repercussions, so any payments that are received will be taxed.
The portfolio and income requirements for each account are customizable to the accountholder’s needs.
Preservation Fund Account
One of the ABSA Fixed Deposit Accounts, the Absa Preservation Fund is a type of investment account open to those who are working.
The customer’s account gives them control over their pension benefits prior to retirement.
Retirement funds will therefore be retained when switching employers.
The Preservation Fund requires a minimum commitment of R25,000.00.
Various death and disability benefits are provided to customers.
Retirement Annuity Account
An investing account called the Absa Retirement Annuity Account is useful for topping off a pension fund.
Starting a transaction on this account requires a minimum investment of R10,000.00.
A R250.00 monthly payment can be made to the retirement fund.
The minimum investment period or required monthly contributions are not subject to any penalties.
Conclusion
ABSA is one of largest and reputable banks in South Africa, they offer several great fixed deposit accounts.
It is of outmost importance to do your homework when choosing one that best fits your needs.
We hope that the outlined content will be valuable for you to finally make that decision.
For more information please visit the official ABSA website.
