How seniors can grow their savings after retirement

EastWest Bank

Posted at Mar 06 2019 06:03 PM | Updated as of Mar 15 2019 12:43 PM

How seniors can grow their savings after retirement 1
Photo by Aaron Ang on Unsplash

For those who spent years sacrificing time and effort to earn money for the future, retirement holds so much potential.

With more free time, seniors have the luxury of pursuing their long-held dream of either building a business, exploring the world, or spending more time with the family. In some cases, though, money can still be an issue—with no active income, there has to be a way for them to allow their savings, and to grow and sustain these through their leisure years. 

There are many ways to grow wealth; financial institutions such as banks offer several products that provide worthwhile returns for one's cash. However, not all of these might suit retirees who do not want to be bothered with the demands and risks of investing.

A simpler, no-fuss way to nurture wealth is through a time deposit account.

While investing is relatively safe, gains can sometimes fluctuate depending on market conditions. Time deposit accounts meanwhile have less risk compared to other investments, the principal is guaranteed by the bank, and are also secured by insurance through the Philippine Deposit Insurance Corp.

Compared with regular savings accounts, time deposit accounts have higher interest rates, allowing retirees to make the most of their hard-earned savings. Aside from using it as passive income to sustain their needs throughout retirement, other uses include reserving the funds for unforeseen medical emergencies, or as a trust fund for their grandchildren.

Time deposit accounts are available in more flexible terms as well—depositors can choose to leave their money for as short as 30 days, or up to 5 years.

To set up a time deposit account, one can approach institutions such as EastWest Bank, which offers very competitive published rates of 3.25%* per annum.

The initial deposit required for a peso time deposit account at EastWest Bank is at least P10,000. The bank also offers pre-termination with minimal fees if the money is needed for any emergencies.

*Rates are as of Feb. 18, for time deposits of P2Mn for 90 days.

More information about EastWest Bank’s time deposit options can be found on their website and Facebook page.

NOTE: BrandNews articles are promotional features from our sponsors and not news articles from our editorial staff.