Dear Editor,
Has anyone noticed that interest rates paid on local savings accounts are falling? One of our leading banks has slowly reduced interest payable from 3.75% at the end of 2008, to 2.85% since November 2010.
That seems fairly significant since it is about a 24% drop in interest payable in dollar terms (after withholding tax). Of course, in dollar terms it does not make much difference, and that bank still should be commended since their savings interest rate has always been and still is much higher than the other leading bank. There, you need to have one million dollars just to break through to a 1.1% interest rate.
Yours faithfully,
(Name and address provided)
