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Money is the force behind the momentum which allows us to take our families to dates, do grocery shopping, house maintenance, sending remittances, starting up businesses, to raising retirement funds.
What is the best way to contain money?
Wallets come in different forms and sizes.
Some wallets are designed to hold more cards than cash, some are bulky like carrying a stone in your pocket, others are slim and compact, taking up as little space in your pocket like a handkerchief does.
Your wallet must be suited according to your preferences and lifestyle.
Though wallets are a no-nonsense container to carry your cash around, it doesn’t keep track of your spending, that is, unless you are completely shrewd and mindful of your expenses.
The best way to contain money, the metaphorical wallet that keeps track of your expenses and savings, and the most logical, is to open a savings account among the top banks in the country.
Just as mentioned like the wallet above, you may pick the kind of savings account that’s best suited for you.
Entrusting your hard earned cash with a bank is amongst the first steps towards financial literacy and financial maturity.
Related: How to Save More Money
Gathered in this list are the top banks in the Philippines with information, comparisons to help you figure out which one is most suited for you.
Top Banks in the Philippines
Banks lend money to people and businesses. Banks are amongst the cornerstones of society.
With money, buildings, companies and businesses are born, hence, employment becomes available throughout society.
The four primary types of banks in the Philippines are as follows:
- Universal and commercial banks – offers the widest range of financial services. Operates across cities and countries.
- Thrift banks– Are known to invest savings acquired from depositors.
- Rural and cooperative banks – banks invested in developing rural economy and communities.
- Non- banks with quasi-banking functions– offers limited services because of a lack of a full banking license, but is still able to provide bank-related financial services.
Some of these banks have been around throughout different phases of Philippine history, and behind these banks, The Banko Sentral is the overseeing monetary authority that supervises operations, activities of all banks in the Philippines.
The Banko Sentral also issues directive policies so that banks may have provisions on gains and losses on loans, cash flows, how to deal with bankruptcy, and all the workings and innings of investments.
Below is the list of the top banks in the Philippines, ranked by total assets, deposit liabilities, loans and receivables (net), and capital – as of March 2018 via The Banko Sentral ng Pilipinas (amounts in Million Pesos).
| Rank | Bank | Total Assets | Total Deposit Liabilities | Total Loans and Receivables, net | Total Stockholders Equity (Capital) |
| 1 | BDO UNIBANK INC | 2,665,307.23 | 2,177,537.86 | 1,813,446.47 | 298,798.40 |
| 2 | METROPOLITAN BANK & TCO | 1,705,575.78 | 1,340,618.83 | 987,409.52 | 207,671.22 |
| 3 | BANK OF THE PHIL ISLANDS | 1,649,267.36 | 1,351,914.31 | 1,000,994.61 | 186,071.50 |
| 4 | LAND BANK OF THE PHILIPPINES | 1,633,082.18 | 1,442,902.13 | 694,707.30 | 108,366.74 |
| 5 | PHIL NATIONAL BANK | 788,835.37 | 614,770.12 | 437,488.56 | 110,115.10 |
| 6 | SECURITY BANK CORP | 703,319.61 | 422,303.72 | 361,613.94 | 103,960.29 |
| 7 | CHINA BANKING CORP | 637,450.79 | 537,961.78 | 377,261.91 | 74,797.58 |
| 8 | DEVELOPMENT BANK OF THE PHIL | 617,949.77 | 428,457.83 | 292,814.15 | 47,564.67 |
| 9 | UNION BANK OF THE PHILS | 547,357.25 | 397,024.27 | 237,092.69 | 68,746.66 |
| 10 | RIZAL COMMERCIAL BANKING CORP | 475,765.14 | 294,783.22 | 284,530.46 | 68,100.03 |
| 11 | UNITED COCONUT PLANTERS BANK | 304,955.91 | 263,312.73 | 156,187.33 | 16,377.08 |
| 12 | EAST WEST BANKING CORP | 301,766.73 | 241,908.36 | 192,390.45 | 39,693.33 |
| 13 | CITIBANK, N.A. | 294,974.75 | 204,903.21 | 174,744.03 | 15,758.09 |
| 14 | ASIA UNITED BANK CORPORATION | 204,086.77 | 164,848.47 | 126,750.88 | 27,557.24 |
| 15 | HONGKONG & SHANGHAI BANKING CORP | 165,642.58 | 102,266.53 | 57,230.76 | 13,633.92 |
| 16 | PHIL TRUST COMPANY | 154,251.70 | 131,694.21 | 48,392.72 | 21,772.28 |
| 17 | BANK OF COMMERCE | 127,614.88 | 108,483.22 | 62,460.91 | 15,421.53 |
| 18 | MAYBANK PHILIPPINES INCORPORATED | 109,684.66 | 81,868.71 | 71,137.67 | 12,672.85 |
| 19 | ROBINSONS BANK CORPORATION | 102,828.65 | 86,563.76 | 54,779.03 | 12,625.21 |
| 20 | PHIL BANK OF COMMUNICATIONS | 98,367.14 | 73,295.23 | 51,349.86 | 12,193.34 |
Related: Complete List of Bank Codes (BRSTN) & SWIFT Codes (BIC) of Philippine Banks
Best Savings Accounts in the Philippines
1. BDO
Established in 1968, in terms of assets, BDO leads the pack of Universal and Commercial banks. BDO’s financial services are flexible and it has a full fledged network of ATMS and offices across the country.
Best Savings Accounts from BDO Unibank:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| BDO Optimum Savings Account Personal | 1.25% | PhP30,000 | PhP 30,000 | PhP 30,000 |
| BDO Optimum Savings Account Corporate | 1.25% | 50,000 | PhP 50,000 | 50,000 |
| BDO Prime Savers | 0.25% | 2,000 | 2,000 | 5,000 |
| BDO Smart Checking Account Statement- Business | 0.25% | 25,000 | 25,000 | 25,000 |
| BDO Smart Checking Account Statement – Personal | 0.25% | 15,000 | 15,000 | 15,000 |
| BDO Smart Checking Passbook Personal | 0.25% | 25,000 | 25,000 | 25,000 |
| BDO Smart Checking Passbook Business | 0.25% | 50,000 | 50,000 | 50,000 |
| BDO Power Teens Club | 0.25% | 2,000 | 2,000 | 2,000 |
| BDO Peso Passbook Savings Account | 0.25% | 5,000 | 10,000 | 10,000 |
| BDO Peso ATM | 0.25% | 2,000 | 2,000 | 5,000 |
| BDO Junior Savers Club | 0.25% | 100 | 100 | 2,000 |
| BDO Direct Deposit Peso Savings Account | 0.25% | 0 | 0 | 5,000 |
| BDO Peso Checking Account | 0,00% | 5,000 | 5,000 | Non earning |
2. Metrobank
Founded in 1962. Another contender amongst the country’s universal banks, Metrobank offers an assortment of financial services for the Filipino consumer with its network of branches and ATMs across major Philippine cities and branches around Taipei and Europe.
Best Savings Accounts from MetroBank:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| Metrobank AccountOne Regular Checking Account | 0.25% | 25,000 | 25,000 | 50,000 |
| Metrobank US Pensioner Savings Account | 0.25% | 500 | 500 | 10,000 |
| Metrobank SSS Pensioner Passbook Savings Account | 0.25% | 100 | 100 | 10,000 |
| Metrobank Passbook Savings Account | 0.25% | 10,000 | 10,000 | 10,000 |
| Metrobank OFW Passbook Savings Account | 0.25% | 0 | 0 | 10,000 |
| Metrobank SSS Pensioner Debit/ATM Card Savings Account | 0.25% | 100 | 100 | 10,000 |
| Metrobank Debit/ATM Card Savings Account | 0.25% | 2,000 | 2,000 | 10,000 |
| Metrobank OFW Debit/ATM Card Savings Account | 0.25% | 0 | 0 | 10,000 |
| Metrobank Fun Savers Club | 0.25% | 100 | 500 | 4,000 |
| Metrobank Regular Checking Account | 0.00% | 10,000 | 10,000 | 0 |
3. BPI
BPI was known as El Banco Español Filipino de Isabel II during its time of establishment in 1851, making this bank the oldest amongst the banks listed here.
BPI pays special attention to Filipino families and OFWs by catering and customizing their services to suit the needs of the modern Filipino family.
Best BPI Advance Savings Accounts:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| BPI Advance Savings Account | 0.75% | 100,000 | 100,000 | 100,000 |
| BPI Maxi-One Checking Account | 0.25% | 25,000 | 25,000 | 25,000 |
| BPI Pamana Padala | 0.25% | 500 | Waived as long as there are 4 remittances in a year | 5,000 |
| BPI Kaya Savings | 0.25% | 200 | none | 1,000 |
| BPI Padala Moneyger | 0.25% | 0 | Waived as long as there are 4 remittances in a year | 5,000 |
| BPI Save-Up High Automatic Savings | 0.25% | 0 | 1,000 | 5,000 |
| BPI Save-Up Automatic Savings + Insurance | 0.25% | 0 | 1,000 | 5,000 |
| BPI Pamana Savings Account with Life Insurance (Passbook) | 0.25% | 75,000 | 75,000 | 75,000 |
| BPI Pamana Savings Account with Life Insurance (Debit/ATM Card) | 0.25% | 25,000 | 25,000 | 25,000 |
| BPI Passbook Savings | 0.25% | 10,000 | 10,000 | 25,000 |
| BPI Maxi – Saver Savings with Passbook | 0.25% | 75,000 | 75,000 | 75,000 |
| BPI Maxi-Saver Savings with ATM | 0.25% | 50,000 | 50,000 | 50,000 |
| BPI Jumpstart Savings | 0.25% | 100 | 500 | 2,000 |
| BPI Express Teller Savings | 0.25% | 500 | 3,000 | 5,000 |
| BPI Easy Saver | 0.25% | 200 | NA | 1,000 |
Best BPI Direct Savings Accounts:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| BPI Direct Savings Direct Express Teller Savings | 0.50% | 500 | 500 | 500 |
| BPI Direct Savings BPInoy Savings | 0.50% | 0 | None as long as remittance is sent every 3 months | 500 |
| BPI Direct Savings Direct Maxi-Saver Savings | 0.50% | 25,000 | 25,000 | 25,000 |
| BPI Direct Savings Save-Up Automatic Savings + Insurance | 0.50% | 0 | 1,000 | 1,000 |
Best Savings Accounts from BPI Family Savings Bank:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| BPI Family Savings Maxi-Saver Savings with Passbook | 0.50% | 50,000 | 50,000 | 50,000 |
| BPI Family Savings Maxi-Saver Savings with ATM | 0.50% | 25,000 | 25,000 | 25,000 |
| BPI Family Savings Save-UP Automatic High Savings | 0.50% | 0 | 1,000 | 3,000 |
| BPI Family Savings Save-Up Automatic Savings + Insurance | 0.50% | 0 | 1,000 | 3,000 |
| BPI Family Savings Get Started Savings Account with Life Insurance – Passbook | 0.25% | 50,000 | 50,000 | 50,000 |
| BPI Family Savings Get Started Savings Account with Life Insurance + ATM | 0.50% | 5,000 | 5,000 | 10,000 |
| BPI Family Savings Jumpstart Savings | 0.50% | 100 | 500 | 1,000 |
| BPI Family Savings Passbook Savings | 0.50% | 10,000 | 10,000 | 25,000 |
| BPI Family Savings Easy Saver | 0.50% | 200 | NA | 1,000 |
| BPI Family Savings Express Teller Savings | 0.50% | 500 | 1,000 | 3,000 |
BPI Checking Accounts:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| BPI Express Teller Checking Account | 0.00% | 10,000 | 10,000 | 0 |
| BPI Bizlink Checking Account | 0.00% | 10,000 | 10,000 | 0 |
4. Landbank
Established in 1963, Landbank is a Government-owned credit institution which primarily caters to rural areas.
During its beginnings, its mission was to help farmers and fishermen through revenues. Landbank is one of the first commercial banks which educated financial management to rural communities.
Best Savings Accounts from Landbank:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| ATM Savings Account | 0.10% | 500 | 500 | 2,000 |
| Current Account with ATM Access | 0% | 5,000 | 5,000 | Non earning |
| Easy Savings Plus (ESP) | 0.10% | 20,000 | 20,000 | 20,000 |
| High Yield Savings Account (HYSA) Institutional | Varies weekly | 1,000,000 | ||
| PESO EASY (Earning Access and Sure Yield) Check Individual | .10% | 10,000 | 10,000 | 10,000 |
| PESO EASY (Earning Access and Sure Yield) Check Institutional | .10% | 20,000 | 20,000 | 20,000 |
| PESO EASY (Earning Access and Sure Yield) Check With ATM Access | .10% | 10,000 | 10,000 | 10,000 |
| Regular Current Account Individual | 0 | 5,000 | 5,000 | Non earning |
| Regular Current Account Institutional | 0 | 10,000 | 10,000 | Non earning |
| Regular Savings Passbook Account Individual | .10% | 10,000 | 10,000 | 10,000 |
| Regular Savings Passbook Account Institutional | .10% | 10,000 | 10,000 | 10,000 |
| Regular Peso Time Deposit | varies | 1,000 | 0 | varies |
| US Dollar Savings Account Individual | .15% | USD 100 | USD 500 | USD 500 |
| US Dollar Savings Account Institutional | .15% | USD 1,000 | USD 1,000 | USD 1,000 |
| US Dollar Time Deposit | varies | USD 1,000 | ||
| High Yield US Dollar Time Deposit | 2% 2 yr term 2.5% 3 yr term | USD 2,000 |
5. Security Bank
Security Bank was the first private and Filipino-owned financial institution that rose from the turmoil that was World War II.
Today, Security bank counts amongst the most stable banks in the country.
Best Savings Accounts from Security Bank:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| Security Bank eSecure Savings Account | 1.20% | 500 | 500 | 5,000 |
| Security Bank Premium Build Up Savings Account | 1.00% | 50,000 | 50,000 | 50,000 |
| Security Bank Regular Build Up Savings Account | 0.50% | 5,000 | 5,000 | 10,000 |
| Security Bank All Access Account | 0.20% | 5,000 | 25,000 | 100,000 |
| Security Bank Money Builder | 0.10% | 10,000 | 10,000 | 10,000 |
| Security Bank Easy Savings Account | 0.10% | 5,000 | 5,000 | 100,000 |
6. PNB
PNB was established by the Philippine government during the American Occupation in 1916.
This universal bank which was fully privatized in 2007, caters mostly to the Philippine government, agencies, local units, and corporations under the government.
Best Savings Accounts from PNB:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| PNB Superteller ATM | 0.100% | 3,000 | 3,000 | 10,000 |
| PNB Debit MasterCard | 0.100% | 3,000 | 3,000 | 10,000 |
| TAP MasterCard | 0.100% | none | none | 10,000 |
| PNB Passbook Savings | 0.100% | 10,000 | 10,000 | 15,000 |
| SSS Pensioners ATM and Passbook | 0.100% | 100 | 100 | 5,000 |
| Direct Deposit Program Peso | 0.100% | 100 | 100 | 5,000 |
| Direct Deposit Program US Dollar | 0.100% | USD200 | USD200 | USD1,000 |
| PNB Prime Savings Account | 0.125%* 0.250%** | 50,000 | 50,000 | 100,000 |
| Regular Checking Account Individual | 0.00% | 10,000 | 10,000 | Non earning |
| Regular Checking Account Corporate | 0.00% | 10,000 | 10,000 | Non earning |
| Budget Checking Account | 0.00% | 5,000 | 5,000 | |
| PNBig Checking Account Individual | 0.100% | 25,000 | 25,000 | 25,000 |
| PNBig Checking Account Corporate | 0.100% | 50,000 | 50,000 | 50,000 |
| Priority One Checking Account | 0.100% | 25,000 | 25,000 | 30,000 |
| Combo Checking Individual | 0.100% | 25,000 | 25,000 | 25,000 |
| Combo Checking Corporate | 0.100% | 50,000 | 50,000 | 50,000 |
| PNB Dollar Savings Account Fees and Charges | 0.100% | USD500 | USD500 | USD1000 |
| PNB Greencheck Account | 0 | USD2000 | USD2000 | Non earning |
| Euro Savings Account | 0.100% | 500 Euro | 500 Euro | 500 Euro |
| PNB Renminbi Savings Account | 0.25% | CNY 2500 | CNY 2500 | CNY 2500 |
| Japanese Yen Savings Account | 0 | JPY 50,000 | JPY 50,000 | Non earning |
7. DBP
DBP is the second largest state owned bank.
As one of the country’s largest controlled corporations, it is both a development bank which deploys banking solutions to agricultural and industrial enterprises, and a thrift bank for small and medium enterprises as well as social services.
Best Savings Accounts from Development Bank of the Philippines:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| Savings Account with ATM or Passbook | Varies weekly | 500 | 500 | 500 |
| US Dollar Account – Individual | Varies weekly | USD100 | USD500 | USD500 |
| US Dollar Account – Corporate | Varies weekly | USD1,000 | USD1,000 | USD1,000 |
| Wisdom Account | Varies weekly | USD100 | USD100 | USD500 |
8. UnionBank
One of Union Banks innovations is that it started the online banking movement in the Philippines. With the EON Cyber Account, this electronic savings account plugged in the beginning of electronic transactions.
Best Savings Accounts from UnionBank:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| UnionBank Regular Savings Account | 0.10% | 100,000 | 100,000 | 100,000 |
| UnionBank Dollar Access Account | 0.10% | US$10,000 | US$10,000 | US$25,000 |
| UnionBank Regular Checking Account | 0.0% | 100,000 | 100,000 | Non earning |
9. RCBC
Founded in 1960, RCBC began its operations as a development bank, until it was licensed by the Banko Sentral of the Philippines for commercial and investment banking.
Ever since then, RCBC has become one of the most stable and continuously growing financial institutions in the country. It also manages numerous remittance offices in over 24 countries to cater to overseas Filipino workers and businesses.
Best Savings Accounts from RCBC:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| RCBC Savings Bank Dragon All-in-one – Personal Account | 0.38% | 25,000 | 25,000 | 25,000 |
| RCBC Savings Bank Dragon Savings – Corporate Account | 0.38% | 25,000 | 50,,000 | 50,000 |
| RCBC Savings Bank Dragon Savings – Personal Account | 0.38% | 25,000 | 25,000 | 25,000 |
| RCBC Savings Bank Basic Checking – Corporate | 0.25% | 10,000 | 10,000 | 50,000 |
| RCBC Savings Bank Basic Checking – Personal | 0.25% | 10,000 | 10,000 | 25,000 |
| RCBC Savings Bank Basic Savings Corporate | 0.25% | 10,000 | 10,000 | 50,000 |
| RCBC Savings Bank Dragon Savings – Corporate Account | 0.25% | 50,000 | 50,000 | 50,000 |
| RCBC Savings Bank Dragon Savings – Personal Account | 0.25% | 25,000 | 25,000 | 25,000 |
| RCBC Savings Bank Basic Savings Personal | 0.15% | 10,000 | 10,000 | 10,000 |
| RCBC Savings Bank Basic Savings ATM | 0.15% | 3,000 | 3,000 | 3,000 |
| RCBC Savings Bank SSS Pensioner Account with ATM | 0.00% | 100 | 100 | 0 |
| RCBC Savings Bank SSS Pensioner Account with Passbook | 0.00% | 100 | 100 | 0 |
10. UCPB
United Coconut Planters Bank was used to be known as First United Bank during its inception on May 1963.
As the name implies, UCPB is heavily invested on developing Coconut Farms, farmers and the manufacturing of Palm oil.
Best Savings Accounts from UCPB:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| UCPB U-remit Peso Checking Account | 0.25% | 2,000 | none | 5,000 |
| UCPB U-remit Passbook Savings Account | 0.25% | 100 | none | 500 |
| UCPB U-remit ATM Savings Account | 0.25% | 0 | none | 500 |
| UCPB Regular Peso Savings Account (Passbook) | 0.25% | 10,000 | 10,000 | 10,000 |
| UCPB Regular Peso Savings Account (ATM) | 0.25% | 2,000 | 2,000 | 10,000 |
| UCPB Multi One | 0.25% | 20,000 | 20,000 | 20,000 |
| UCPB Start2Save Junior Savings Account | 0.25% | 100 | 100 | 1,000 |
| UCPB Regular Current Account | 0.00% | 5,000 | none | 0 |
11. Chinabank
Chinabank was the first privately owned local commercial bank in the Philippines. In its year of inception during 1920, Chinabank’s initial clientele were Chinese-Filipino Businessmen.
After decades in the business, China Bank now offers a wide range of financial services in the country such as deposits, trusts, investments, remittances and cash management.
Best Savings Accounts from Chinabank:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| Chinabank MoneyPlus Savings | 0.25% | P20,000 | P20,000 | P50,000 |
| Chinabank Overseas Kababayan Savings | 0.13% | waived | waived | P1,000 |
| Chinabank ATM Savings | 0.13% | P2,000 | P2,000 | P10,000 |
| Chinabank Chinabank ChinaCheck Plus | 0.13% | P5,000 | P5,000 | P50,000 |
| Chinabank Passbook Savings | 0.13% | P5,000 | P5,000 | P10,000 |
12. EastWest Bank
EastWest Bank is the 10th largest privately owned domestic commercial bank in the Philippines – which was founded back in July 6, 1994 by its parent company Filinvest Group.
Best Savings Accounts from EastWest Bank:
| Product Name | Interest Rate | Initial Deposit | Maintaining Balance | Balance to Earn Interest |
| EastWest Basic Savings | 0.125% | P100 | P100 | P500 |
| EastWest Kiddie Savings | 0.125% | P2,000 | P2,000 | P2,000 |
| EastWest Passbook Savings Account | 0.125% | P5,000 | P5,000 | P10,000 |
| EastWest Passbook Savings w/ Debit Card | 0.125% | P10,000 | P10,000 | P25,000 |
| EastWest Regular Savings w/ Debit Card | 0.125% | P2,000 | P2,000 | P10,000 |
| EastWest Super Saver (****10M+) | 0.125%* 0.375%** 0.50*** 0.75**** | P500,000 | P500,000 | P500,000 |
So there you have it. Feel free to make comparisons amongst these different savings accounts to figure out what is best suited for your needs.
Best Time Deposit Accounts with High Interest Rates in the Philippines
Having a savings account is a great way to keep to track of your finances. But if you’re looking to make the most out of your hard-earned money, you may want to explore the possibility of opening a time deposit account.
What is a Time Deposit Account?
A time deposit is a type of investment wherein the deposit is locked in for a set amount of time. Compared to a savings account, time deposits have relatively higher interest rates and are considered virtually risk-free investments, as amounts of up to P500,000 are insured by the Philippine Deposit Insurance Corporation (PDIC).
How Time Deposit Works
Depending on the bank you choose, the initial deposit (also referred to as minimum placement) can be as low as P1,000 and as high as P50,000.
You can then choose your lock-in period (aka terms of placement, maturity, or tenor), which is the length of time the deposit remains with the bank. Most financial institutions set a minimum lock-in period of 30 days, and a maximum of 5 years and 1 day. You can also opt for 60, 90, 180 days, 1 year, or longer.
The higher the initial deposit, and the longer the lock-in period, the higher the returns are on the deposit.
Interest computation:
If the lock-in period is less than or equal to 1 year:
(Interest rate) x (360) x (lock-in period in days) / 360) x (Deposit amount)
If the term is more than 1 year:
(Interest rate) x (lock-in period in days) / 365) x (Deposit amount)
A withholding tax of 20% (for Philippine pesos) will be charged. So when you receive your interest upon maturity of tenure, you will only receive 80% of the interest income.
Pros and Cons of Having a Time Deposit Account
Pros
Also referred to as passive income, there are a number of benefits you can get from this short to medium-term investment. These include:
- Higher interest rates than regular savings accounts (depending on the prevailing daily market rate from the Bangko Sentral ng Pilipinas).
- Flexible maturity. As noted earlier, you can choose to have your deposit locked-in from 30, 60, 90, 180 days, 1 year, or longer.
- Limited risk due to PDIC coverage
- Ensures savings as money is locked away.
Cons
However, should an emergency arise and you need to withdraw your deposit, fees will be charged when you pre-terminate the time deposit.
Generally, if pre-termination is within the first half of the lock-in period, interest will only 75% of what you would’ve gotten had you allowed the time deposit to mature. And if pre-termination occurs during the second half of the lock-in period, interest will go down further to 50%.
Additionally, apart from the withholding tax, you will need to pay a documentary stamp tax. This amounts to P1 for every P200 of the initial deposit (or a fraction thereof).
So if you’re looking to open a time deposit account, you will have to weigh if the relatively risk-free investment is worth sacrificing financial flexibility.
Top Time Deposit Accounts in the Philippines
If you find that a time deposit works for your personal financial structure, here are the top time deposit accounts in the country.
For the purposes of this article, the interest incomes shown below assume an initial deposit of P100,000 and a lock-in period of 1 year (source: PesoLab).
It also shows the accrued income should you choose to let the deposit rollover in the time deposit for 10 years. Withholding tax has already been deducted in the computed income.
| Bank Name | Interest | After 1 year | After 10 years |
| Security Bank | 3.9% | P3,120 | P35,965.60 |
| PBCOM | 3.5% | P2,800 | P31,804.78 |
| EastWest | 3.375% | P2,700 | P30,528.23 |
| RCBC | 2.375% | P1,900 | P20,709.61 |
| Maybank | 1.75% | P1,400 | P14,915.75 |
| PSBank | 1.5% | P1,200 | P12,669.18 |
| BPI Direct/Family | 1.125% | P900 | P9,373.39 |
| Chinabank | 1.075% | P860 | P8,940.57 |
| Metrobank | 0.875% | P700 | P7,224.67 |
| Unionbank | 0.875% | P700 | P7,224.67 |
| UCPB | 0.75% | P600 | P6,164.62 |
1. Security Bank
Interest: 3.90%
Minimum initial deposit: P100,000
Terms: 30, 60, 90, 180, 360 days, 2-5 years, and 7 years
Apart from having the best time deposit interest rates in the market, Security Bank’s Peso Time Deposit also exempts accounts with terms of 5 years or more from paying taxes. However, its initial deposit requirement is also higher than most if the banks on this list.
2. PBCOM
Interest: 3.50% (for an initial deposit of P100,000)
Minimum initial deposit: P1,000
Terms: 30, 60, 90, 120, 180, and 360 days
It is important to note that should you opt for the minimum initial deposit, the interest rate is 1.750%. PBCOM also offers two types of peso time deposit accounts:
- Regular – P1,000 minimum initial deposit. Provides a certificate of time deposit as proof of account ownership.
- Passbook – P50,000 minimum initial deposit. Provides passbook as proof of account ownership. Interest is credited to passbook account upon maturity.
3. EastWest Bank
Interest: 3.375% (for an initial deposit of P100,000)
Minimum initial deposit: P10,000
Terms: 30, 60, 90, 180, 360 days, and up to 5 years
EastWest not only provides the third-highest interest rates in the market, it also makes opening a time deposit account convenient for everyone by allowing online enrollment. This entails accomplishing an online form, which will then get you an email confirmation. After which, you’ll just need to provide additional supporting documents at the branch nearest you.
4. RCBC
Interest: 2.375% (for an initial deposit of P100,000)
Minimum initial deposit: P5,000
Terms: 30, 60, 90, 180, 360 days, and up to 5 years
Again, it’s important to note that with RCBC, the minimum deposit of P5,000 earns 1.625%.
5. Maybank Philippines
Interest: 1.75% (for an initial deposit of P50,000)
Minimum initial deposit: P50,000
Terms: 1 and 2 years
Maybank’s ADDvantage Flex Time Deposit comes with tiered rates of 1.75% for 1-year term, and 2.125% for 2-year term. It’s important to note that while Maybank guarantees a base, interest may increase or decrease during the placement period. However, it shall never be lower than the rate given at the start of the placement.
6. PSBank
Interest: 1.50% (for an initial deposit of P50,000)
Minimum initial deposit: P10,000
Terms: 30, 60, 90 days, and 1 year to 3 years
7. BPI Direct / Family Savings Bank
Interest: 1.125% (for an initial deposit of P50,000)
Minimum initial deposit: P50,000
Terms: 35, 65, 91, 182 days, and 364 days
Both BPI Direct, and Family Savings offers two products:
- Peso Auto Renew – Renews placement for a fixed yield automatically
- Peso Express Tie Deposit – Ideal for short-term investments, with terms as short as 30 days
8. China Bank
Interest: 1.075% (for an initial deposit of P100,000)
Minimum initial deposit: P5,000
Terms: 90, 180, and 360 days
Should you choose to invest the minimum initial deposit of P5,000, you’ll be earning 0.950% annually.
9. Metrobank
Interest: 0.875% (for an initial deposit of P50,000)
Minimum initial deposit: P10,000
Terms: 30 days, 2-3 months, 180 days, and 1 year
10. Unionbank
Interest: 0.875% (for an initial deposit of P50,000)
Minimum initial deposit: P50,000
Terms: 30, 60, 90, 180 days, 1 year and above
11. UCPB
Interest: 0.075% (for an initial deposit of P100,000)
Minimum initial deposit: P10,000
Terms: 90, 180, and 360 days
How to open a savings account in the Philippines
Opening a bank account is a pretty straightforward process.
While minute details and paperwork may differ slightly from bank to bank, the general steps involved are basically the same.
Step 1: Prepare the minimum required deposit money and bring 1-2 valid IDs.
Step 2: Visit the bank branch you’ve chosen to open a savings account with.
Step 3: Discuss the savings features and ask any questions you might have about the product. Once satisfied, complete the required form.
Step 4: Submit the completed form along with photocopies of your valid IDs.
Step 5: Hand over the minimum required deposit to the bank personnel.
Step 6: Get your ATM card and its corresponding PIN. You will be asked to change this PIN upon activation of your card.
6 Things to consider before opening a savings account
1. Location
Pick a bank with a branch close to your home so it will be convenient to drop by if needed
2. Online Services
Choose a savings account with a bank that provides easy online access and has excellent service uptime. Options to send or receive money and pay bills via online banking are useful features to have.
Also Read: 9 Best Prepaid Cards (Visa/Mastercard) in the Philippines
3. Fees and Charges
Not all banks implement the same charges for their savings account. Do some bit of research and compare rates before signing up.
4. Transaction Limits
Some banks have smaller limits than others. If you think you’ll need access to bigger amounts in cases of emergency, pick one with higher limits.
5. Interest Rates
Pick the best rate for your savings goal (compare the best savings accounts using the tables for each of the top banks in the country we’ve shared above).
6. Minimum Maintaining Balance
Some banks require a higher minimum maintaining balance so if you want the least amount possible make sure to check your options.
Types of Savings Accounts in the Philippines
Before opening an account, consider the main reason why doing it in the first place.
A basic savings account is good for easy access and convenience while money market types may present better interest rates at the cost of having stricter conditions.
ATM or Passbook Savings Account
The most simple type of savings account.
You should opt for the ATM option if you need to access the money often (e.g, for receiving payment from freelancing gigs) otherwise a passbook savings account will be better in terms of safeguarding your money (less temptation to access it since it’s more inconvenient)
Money Market
Banks offer this type of savings account for people who want a more robust way of growing their money versus regular savings accounts.
A higher maintaining balance is usually required though along with lesser number of allowed monthly withdrawals.
Also, if you’re interested with credit card applications, Grit has you covered over on this list of the best credit cards in the Philippines.
Read Next:
10 Best Digital, Mobile, and Online Banking Services in the Philippines- Complete List of PayPal Bank Codes (BRSTN) & SWIFT Codes (BIC) of Philippine Banks
- 8 Best Mobile E-Wallets in the Philippines
- How to Invest in Bonds in the Philippines
- How to Invest in Mutual Funds & UITF in the Philippines
- Best Index Funds to Invest in the Philippines
- 9 Best Reloadable Prepaid Cards (Visa/Mastercard) in the Philippines
- How to Get a Credit Card in the Philippines
Every when does these interest rates works or applies? Annually? Quarterly? Monthly? Thanks.
YOu Have to talk to them Directly and they will discussed to you.
how much is 1.20% of 5000 p.a? , (p.a=12 months) am i correct?
Yes, that’s 12 months.
Grateful for sharing this usable pieces of information! Thanks Sir Mark Dela Cruz!
ERRATUM:
* “this” to “these” 🙂
Thank you so much for sharing this information! Will be using this as a guide and sharing it to friends and family. God bless!
Thank you very much.