A while ago, I audited my finances and realised that I had a small sum of money sitting in my savings account, which I was receiving less than N1,000 monthly interest on. Since I didn’t need this money immediately, I decided to research fixed deposit accounts offering higher interest rate in the short term, until I needed the money back. Fixed deposits are a very popular investment option in Nigeria, and you’ll hear about them 8 times of out 10 if you do happen to ask for advice regarding how to invest money. A fixed deposit investment is an attractive option if you do not want to encounter the risks involved in starting a new business venuture as returns are guaranteed, and the duration of your investment is flexible. I have done this sort of research before, comparing fixed deposit interest rates between GTBank and FirstBank, which you can find here.
What is a fixed deposit?
A fixed deposit is a lump sum deposited with a bank for a fixed period amount of time, in exchange for interest.
How to put your money in a fixed deposit
You will need to have an existing account with the bank of your choice. You will then need to speak to your bank manager, telling them how much you want to “fix”, and for how many days. Most banks allow you to fix your money for 30 days, 60 days, 90 days, 180 days and 1 year. It is very important that you check with different banks to compare rates, as you can open a new account for this purpose if your banks rates are not competitive enough. If just picking up the phone and making calls can earn you an extra N1,000 each month, then it’s worth it and what’s more, I have done some of the hard work for you. 20% OFF Select Professional Grade Surge Protectors w/ code 07P15CPP at Newegg Business, ends 9/30
How do I get paid?
Usually, the money you want to fixed is removed from your account and the interest is paid into your account monthly. So for example, you want to fix N500,000 for 60 days and the bank has offered you an interest rate of 7%. You have N550,000 in your account. Once you confirm you’re making the arrangement and sign all the necessary documentation, the N500,000 “disappears” from your account to be “fixed”.
How is fixed deposit interest calculated?
- Multiply the interest rate by your fixed amount. In the example above, 7% x N500,000 = N35,000.
- Divide the result by 12 months: (N35,000/12 months) to get your monthly payments (N2,916).
- Subtract 10% tax: N2,916 – N292 = N2,624 payable monthly
Bank interest rate comparisons
For these enquiries, Diamondbank, Skye bank and StanbicIBTC banks were contacted. Here are the current rates from each of these banks at the time of the enquiry – September 2015. 
We have worked out monthly returns on a deposit of ₦500,000 based on these rates:
Some additional points Diamondbank – Minimum term: 30 days. Minimum amount: N1m Skye bank – Minimum term: 30days. Minimum amount: N500,000 StanbicIBTC – Minimum term: 30 days. Minimum amount: N100,000. If you are interested in fixing for 1 year, StanbicIBTC offers the highest fixed deposit rates at 12% for amounts fixed fixed for a whole year.
Please note that these rates are only offered as a guide, as actual rates vary weekly and interest is paid based on the variable rates set by the banks. Please ensure that you call the bank to get current rates before you make an investment.
Am I an agent? I work for neither of these banks. My selection of this two is purely by chance and accessibility of contact information via the bank websites. I simply picked the banks with the most prominent contact information via websites. My reviews are unbiased, and if I haven’t reviewed any others yet, don’t worry – “life is turn by turn”.
i heard about the stanbic fix deposit account, that if a customer open a fixed deposit account with a minimium of sixty thousand naira a customer will offer a new iphone immediately the opening of the account.
Hi, I don’t know about this. I am only aware of the SterlingPlus account which offers a new Lenovo phone. You can find details here: http://sterlingbankng.com/sterlingplus/about/
I want to open a fixed deposit account with any bank with high interest rate how can I get there contack
Tell me which bank you want to open an account with, and i can give you their contact details. Or you could walk into the branch or check Google.
Hello, you can also open a fixed deposit account with Leadway Assurance Company Limited, You will have both yourself and your money secured against risk. The return on investment is high as Leadway offers 10% interest per annual and a free Life insurance cover for the owner of the account.The interest rate can be reviewed depending on how high your deposit is, If you need further explanation or help on how to go about it, Please contact me through my mail box ( vinchuks75@gmail.com ) and i will reply you or invite you to my office at Leadway for briefing. THANKS
Hi Vincent, why have you got a gmail address rather than an official e-mail address? I’m happy to include Headway’s offering in this post, as I do not work for any of the banks above, and I believe you might get more interest this way, than by selling your services in the comments section. If this is what you would like, provide more details about Leadway’s offering and an official e-mail address, and I’ll update the post.
Hi mrpepe, please can i your email? there is some thought i will like to mail to you. Here is mine helpdcom@gmail.com
Thanks
Please how can I open a fix deposit in Stanbic IBTC bank. Do I have to have an account?
Hi, yes you have to have an account with them. The amount you want to fix is taken out of this account and interest is paid back regularly. At the end of the fixed period, the money is returned to you. Hope this helps.
Thank you for your quick responce
pls i want a bank with high rate interest in fix deposit that is currently now with their contact , website and mail
As this article suggests, Stanbic is currently the highest. Their website is http://www.stanbicibtcbank.com
Hi, I thought interest rate for fix deposit is calculated on monthly basis and not per anum. Example if d rate is 10%, and u fixed 100,000 for a yr, it shud den be 10% of 100,000=10,000 monthly which will compound to 120,000 a yr instead of 10,000 per yr. Pls clarify me.
Hi Zona,
Unfortunately a lot of people make the mistake of thinking that this is how it works, but sadly it doesn’t work this way. Using your example, for N100,000 fixed for a year at 10%, you get 10% of N100,000 = N10,000 per annum. Monthly, you have to divide this by 12 = N833.33. Then you take away 10% tax = N833.33 – N83.33 = N750 is what you get monthly. Hope this helps.
Pls. may I know the recent interest rates of fixed deposits in First city monument bank,as at last quarter of the year 2015?
@VINCENT EMEKA and @AYO AKIN
Please have some decency and stop highjacking someones platform to promote your own services. Why not contact MRPEPE directly and let him make decisions on service and decide if it is something he wants to promote in his posts or not.
Please have some respect and let people like us enjoy the free informative service that MRPEPE is providing.
– For me it is very refreshing seeing someone provide vital information like this about Nigeria. i have spent hours looking for some information on Nigeria investments.
Please steer clear and leave this platform spam/scam free
God bless you, Ben. I work quite hard to gather information and share it, and would hate for my efforts to be in vain.
GUD DAY FINANCIAL EXPERT. FROM YOUR BREAKDOWN ON INTEREST RATE, YOU MEAN IF I FIXED N500,000 FOR 90DAYS IN STANBIC IBTC BANK, I WILL BE GETING JUST N3,562.50 FOR 3-WHOLE MONTH? TO ME IS NOT WHAT DOING FOR THOSE WHO DONT HAVE EXCESS MONEY THAT DONT KNOW WHAT TO DO WITH IT. EVEN IF I AM SELLING RECHARGE CARD WITH THE N500,000 FOR THAT 3-MONTH WITH ALL RISK PRESENT, I SHOULD BE ABLE TO MAKE SOMETHING GOOD NOT N3,562.50.
I MEAN N3,562.50 PER MONTH WHICH IS N10,687.50 FOR 3-WHOLE MONTH IS TOO POOR
It is very poor, when compared to what you can get from a business venture – I agree with you Ojima. There is a misconception that fixed deposits give great rates, but they are only good if you want to keep money somewhere without spending it. They are not always good investments.
I DONT BUY THAT IDEA, I THINK THE INTEREST SHOULD BE COMPOUNDED, MOREOVER THAT IS TOO MUCH FOR 500K
Pls I nid more infor abt diamond fixed deposits, n perhaps d official diamondbank website. Tanks!
hello there, to me I feel it’s not bad for people that has nothing to do with their money for the time being. Anyway, I would like to know the interest rate on Ecobank
fixed deposit.
please let me know about first bank interest rate on fixed deposit and how many days it takes to open a savings and fixed account. pls your reply is urgently needed.
Pls i went to IBTC Bank today to verify about d rate of fixed deposit account,i was told by the one of there staff that 5.4% is for 1million par a year. I dont understand u told us that is 12%
Hi Cj, these were the rates as at the time this was made in September 2015. At the bottom of the post, there is a disclaimer: “Please note that these rates are only offered as a guide, as actual rates vary weekly and interest is paid based on the variable rates set by the banks.” which you might have missed. Hope this helps.
This is not too good. A bank will trade with my 1M naira for a whole year and all I get is 50-70 thousand for the period.
MRPEPE, I know a lot of work went into this post pre Sept 2015, but these rates have changed and today I was informed IBTC has rate of 4.75% on N1m as well.
I understand the disclaimer at the bottom of the post, but was wondering if you could update the information contain in the blog regularly or maybe there is another post to address the updates. just my 2kobos worth
Thank you for the advice. This is quite time consuming given the quality of customer service in Nigeria, but it is solid good advice from my readers. I will look into doing this in the near future – and possible do an updated post every so often to provide people with realistic rates on a regular basis. Thanks again for the advice.
pls Mr pepe I want to know if there is any investment that have reasonable interest than fixed deposit
The higher the returns, the higher the risk. The returns are low because the risk is low. Have you considered looking into Treasury bills? http://www.mrpepe.com/banking/how-to-invest-in-treasury-bills-t-bills-in-nigeria/
Right now, interest rates has reduced drastically. Fcmb was offering as much as 10% p.a on 750,000 as of August 2015. Right now, i.e as of today, 27th of january 2016 it is 3% p.a. Fixed deposit rates is something that fluctuates. One funny thing is that as of the time you fix your money, the rate could be say, 9% p.a and when it will mature, rate may drop to 6% or even less and your expectation will not be met.
This is so true, because the rates are subject to change anther discretion. Fixd deposits might not be the best investment in this economic climate.
Off course its not the best at all and has never been the best. The banks have been hit badly as a result of the crash in oil prices. Our economy depends almost completely on oil and the price has nose dived. Fixed deposit is for someone that has so much money and doesn’t have any immediate need for it. But right now, what baffles me is that FCMB advised their customers with fixed deposit investments with the bank to come and lower their interest rates to 3% p.a meanwhile savings accounts are still on 3.36% p.a. while would i tie down my money on 3% in a fixed deposit while i can leave the money in an ordinary savings account and make more? For now, fixed deposit is a no-no until things improve further.
I agree wholeheartedly with you, Francisca. Fixed deposits are just a high-interest savings account and if the rates on a fixed deposit falls below that of a savings account, then it’s time to move. The only upside to them is the fact that rates are not fixed, but in this economic climate, I wouldn’t hold my breath for the rates to improve!
Hi Mr Pepe, is there a way or bank with which I csn investcmy money and get compound interest onbit rather than fixed deposit interest
Hi Leke,
I currently don’t know of any bank/program that pays compound interest.
Nice piece MrPepe……the post and comments were very helpful,Thanks
Thanks so much. I’m more than happy to be able to help.
what other deduction are made from my interest if I fix an amount for 1 yr
You will need to deduct 10% tax, and then N50 stamp duty, on each payment. (You get 12 payments, so your interest is divided by 12)
what is the current interest rate of fixed deposit account in first bank,if i fix 500,000 how much will be my interest rate.
Please do they have a minimum amount u can use to start d fixed deposit account for inventment purposes
Hi there, it depends on the bank. What bank are you after?
You’re calculations are wrong and it does scare away enthusiastic investors. For instance: Recalculate the fixed deposit of 500,000 with Stanbic IBTC rate at the duration of 30 days which 42500. I don’t know why you still go ahead again and divide it into 12
Thanks for your observation.
It’s divided by 12 because interest is paid monthly, not annually. And 10% tax is deducted. Hope this helps.
Why will they divide it into 12 and be paid monthly while you fixed deposited it for 30 days?. Why will they charge you 10% on tax while they offered you 8.5% on the investment?.
If you fix it for 30 days, then you only get one payment because time is a factor in interest payments. The longer you leave your money, the more payments you get. If you leave it for 12 months, then you get 12 payments. This post isn’t intended to scare potential investors, but to unmask the practice and make it easy to understand before committing your funds. People make a lot of money by making things sound complicated so you don’t really know what’s involved before handing your money over. You, the consumer has a right to know. But you’re well come to test it for yourself by fixing your money and waiting for the returns.
MrPEPE, Pls kindly send me alternatives investment to fixed deposits that have better ROI. And I must say u are doing A very good job. God bless you
Thank you Samuel, and I will do so in due course.
wow! this’s great. thank so much.
Hello Mr PEPE,i will like also like to av some of the alternatives invest.to fixed deposit with better ROI.,Thanks.
Hi,
We will feature some business ideas in the upcoming weeks.
Thanks so very much for the post, pls I would love to know the highest rate for fixed deposit as at May, 2016.Thanks
From what have heard so far,Fixed Deposit is now out of my mind for good. @MRPEPE Thanks so much for your enlightenment…
daimondbank of nigerian frogram
Thanks for all your candid advice
You’re welcome.
Frm All Your Perspective And My Past Experience, I Would Have Prefered Insurance Policy Which Have A Better Advantage Over Fixed Plan.
WHILE HAVING YOUR MONEY IN AN INSURANCE COMPANY, YOU ARE FREE FROM TAX. NOTE THAT THERE IS NO TAX ON INSURED POLICY.
MORE ALSO, REASONS FOR INSURING IS MORE OF THEIR CONCERN, OF WHICH YOU WILL BE GIVEN LOVELY PLAN TO FIT IN YOUR CHOICE.
Thank you for your candid advice, Joshua.
I love the great job you are doing. Thanks for the eye opening.
Thank you! I appreciate this greatly.
I practically ran to stanbic after reading your post!!!! Now I am having second thoughts on my investment there. You really need to update your rates so people don’t get fooled like me. But I am grateful your blog breaks things down for the new investors like me. Keep up the great work
Hi Tinuola, sorry you think you were “fooled”. The post clearly states that the rates were from September 2015, and I have now updated the post to reflect the fact that the figures are only given as a guide, and that people should check with the banks for current rates before investing their hard earned money. Hope it all works out for the better.
Mr. Pepe, please explain how the high interest sAvings account works and what bank to do this with. I’m a student and I’m looking for a good way to make my money grow rather than spend it. My mom suggests something like ‘Zenith Insurance ‘
Hi Amaka,
Let me know how much you’re looking to invest and I’ll do a well-researched post for you.
Regards
I’m thinking of fixing in fidelity bank. I would like to know if interests are paid monthly or at the end of one’s tenures let’s say 6 months)
Hello Mr Pepe I need your mail to discuss something important with you.
Hi Moses, it’s ctrl@mrpepe.com
Mr Pepe, I’ll like to know the interest rate for stanbic ibtc as of today. im
thinking of fixing my little 100,000 for six months.
Good job, sir.
I’ll however advise that you update the post.
Also, kindly help me research the interest rates for Sterling fixed deposit and savings accounts.
Thanks and God bless you.
Mr Pepe good job, kindly help me research
the interest rates for Stanbic
IBTC rate at the duration of 30 days, if i fix 1,000,000 how much
will be my interest rate…
Mr Pepe good job, kindly help me
research
the interest rates for Stanbic
IBTC rate at the duration of 30
days, if i fix 1,000,000 how
much will be my interest rate…
Thank u sir! for ur information this is indeed why the information scientist will say that if u are not inform than u will be deformed. U information really help me to make a right choice and at dsame time no more fixed deposits on my mind. Thanks a lot and God bless u
I’m so glad I could help, Perper!
Mr Pepe, Pls i need your reply on Stanbic
IBTC rate at the duration of 30
days, if i fix 1,000,000
Hi Dane,
I’ll look into this when I can
Tanks for the information, I will use my money for another business I will not go for fixed deposit again. Nne
Looking to fix deposit some 300k, i was offered 4% at UBA, as at today. And I was told that is the best I would get right now in the industry. 4% will fetch me 12k in 12mnths, and with all the deductions and all that, I may probably go home with 10-11k at the end of the one year. Well, not so bad if I dont have what to do with the money
But for bizness minded people like me, i’d say, its a low profit for such a long term.
Mr perpe id like to talk to you concerning a few issues please send a means of contact.
Can you please share here or e-mail ctrl@mrpepe.com
Thanks
pls i want to know the best bank for life assurance account in nigerian and to also know if i can be paying in the money monthly or at a go.like 20k per month and whats is my interest per month.tnx for d reply
Hi Precious,
I think what you are asking about is life insurance. This is an insurance policy which you pay into annually, and in the event of your death, your family gets paid a lump sum. (Usually N5m – N20m depending on what policy you sign up for)
I haven’t reviewed any life insurance policies so I cannot recommend any. I do this as a hobby, and don’t get paid by any of the companies to review their products so I can take my time to offer an unbiased review.
I’ll put your request on my list and do a review of this in the next few week. It will take time as we often need to contact each one of them to get prices.
Hope this helps
pls i need an answer oo
kk,tnx mr pepe,now pls wat is d minimum amount for d fixed deposit account?
Hi, It depends on the bank. What bank do you intend on opening a fixed deposit account with?
like 20k
Diamond bank,pls which bank is d best?tnx
Hi Precious,
Please read the post and check out the figures given to help you decide for yourself which bank is the best. Diamond banks minimum amount for a fixed deposit is N500,000.
Hope this helps
How much is minimun amount you can invest as a fixed deposit in any of the bank in Nigeria? Thanks
Hi Abdulazeez, different banks have different minimums.
Stanbic will accept as low as N100,000
Mr Pepe, pls can you explain how save is fixed deposit in nigeria banks?
Hi Dane,
A fixed deposit is very safe, as long as the bank isn’t in debt. The low risk in this is countered by the fact that you don’t get a big return and the rates can change at anytime.
I made a transaction in sky bank just of resent as touching d fix deposit, I wrote the manager to do d fixing and I sign d letter right in the bank. although I have received an alert informing me that the money has been deducted from my account. this is my question, what are those thing I am suppose to be given as an evidence for the transaction?
Hi Emmanuel,
You are usually not given anything. You just get your monthly returns and your original payment back at the end of the term.
Nothing pays like honesty, especially in the long run. I may not know who you are Mr Pepe but I sure do know1 thing: thanks for the priviledge of knowing that honest and unbiased people still exist. Thanks once again.
As for the selfish ones! Look for legitimate platforms to market your programmes or better still, contact the admin. If not, keep them to yourselves
Thank you so much, I really appreciate this comment. Comments like this makes it worth doing.
pls mr pepe calculate the interest rate of 30million for 30days and tell me pls
Hi, so I fix ₦250,000 for a duration of 30days at 8% interest which FCMB is offering as at today, what do I get back at the end of the month?
Mr. Pepe,
Thanks for this information, advise and suggestions. This really great. UBA is doing 6% on 90 day with a minimum of 100K.
Great take and God’s speed.
Joe
Thank you so much, Joe for the update. I hope my readers find it useful. Thanks again!
morning sir,so’ does it means, u can not deposit 60k
Hy Mr pepe,if I decide 2 cancel d investment b4 d mature period, wat will be d penalty
You won’t get any interest, and I’m not sure the bank will release your money before the maturity date. This is why it is important to read the terms and conditions BEFORE you sign. Don’t just sign here when they say sign here.
Mr pepe,i want to fix a hundred thousand for 2 years.how possible is that?how much will be my interest?what bank would be best too?
wow…!
Mr Pepe, you are realy doinq a nice job…
thanks alot.
But bro, most of us here are students and we don’t even have up to that 100k so please help us with any bank which can accept below that 100k or probably any other form of profiting investment… Thanks Boss!
Thanks so very much for the post, pls I would love to know the highest rate for fixed deposit as at march 2016 and the bank with the best intrest rate so far for fixed deposit in nigerian banks
which of the banks pay higher interest on fixed deposit account?
hello sir I want to open fixed deposit account how much is it
Well done Mr Pepe pls which bank we give high interest rate for 10 million for 30 days.
Hello.
I am looking for an investor to invest in my Hotel Extension.
Funds Needed: N2 Millin.
Monthly Interest: 1.25% = N25,000 (Which is/can be paid Monthly)
Minuium / Maximum term : 24 months.
Repayment: N500,000 from the capital is paid every 6 months.
Call Jolomi on 08055522156 for more details.
Hi love what your review. But pls just want your advice which is betta to invest on is it fix deposit or Treasury bills
lets say a 2 years inverstment in an insurance company; which I don’t know any, like how much do I need to invest to get N1.5mil output i.e after the 2 years.
lets say a 2 years investment period in an insurance company; which I dont know any, like how much do I need to invest to get N1.5mil output ie after the 2 years.
good job Sir
Thanks so much
I need company that is ready to sell share out ( for d public )
Hi Blessing,
Here’s a guide on buying share from companies: https://nairametrics.com/how-to-invest-in-nigerian-stock-exchange/
Please Sir, i approached UBA Bank for a fixed interest, Their interest rate is 5% which is for 30 days, i don’t know how to calculate it
Please can you help me out?
I want to fix 4 Million Naira for just 30 days or for 60 days
Can you help me and tell me how much i will get if i fix 4 Million for 30 Days?
And also how much i will get if i fix 4Million for 60days , Thank you Sir
Thanks for the education. God bless you
Thank you so much. I have seen your e-mail and will respond as soon as I can
I acknowledge your update mrpepe. Keep it up.
Thanks, Patience. Much appreciated 🙂
Chidosiky12@gmail.com
Pls sir,if I shud open stanbic ibtc fix account with #20000 how will b the intrest monthly.
Hi Mr Pepe, I want to know if it’s possible to accumulate the amount deposited into an FD account. That is after opening an FD account and it’s already “running” you decide to “add” more money to it, is it possible?
Fixed deposit is not too good inasmuch as it not too bad. Mr pépé pointed out that, it for a purpose your fixe a certain sum of money inasmuch as the interest rates are too small depending on the amount of money you want to invest. So people….. If you don’t want to touch a certain amount of money and your project is not still near, if you feel you still have another means of livelihood. You’re in the best option to Fd it. But make sure you don’t regret it.
please, is it possible to fix with #50000 if yes which bank?
Ecobank rates please
Thank you so much sir for this article. Please, can I get the contact for opening the fixed deposit account with Stanbic IBTC bank?
good evening, just went tru yiur previous posts , pls which of the money plan is reliable for now and quite yielding
someone told me abt one today, doros if I get the name right in fcmb, that led me here though and she claimed its quite worth it , what do you think
Hi Oye,
I don’t know this, but can look into it. one thing to remember when investing is to think about how the profits are being generated. If there are reliant on other people’s investments, then it a pyramid and will collapse one day. If they are generated from another value-providing service, then fine.
is the interest monthly or yearly
please explain to me how its been paid and what about treasury bills
Is it possible to to fixed 20000 an which bank
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Which bank can give a higher rate,if I save #100000 for a year in fixes deposit account
Pls if I fix 500k in Ibtc bank wats DE interst per month
pls mrpepe help me with this,am looking for the safest and most reliable bank for a fixed deposit purpose.i want to make a fixed deposit of 3 million naira for one year.
I will like to no the interest rate in Gt bank for #100,000