Dear Mr Tan,
I am a retiree. I would like to seek your advice regarding HSBS's Multi Currency Savings Account which the bank has been quite active in its promotion.
This single online account gives you easy access to 10 major currencies. You can transfer funds from one currency to another, as well as enjoy attractive interest rates on all 10 currencies offered.
It appears that the account offers attractive interest rates ie more than the interest rates that local banks are offering. In your opinion, do you think it is good to invest?
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REPLY:
I think that it should be all right. As you are not locked into the investments (except for the short period of any fixed deposit), you have the freedom to move your money among the various currency according to the interest rate that they pay you.
You do need to be careful about investing in foreign currency as it may fluctuate in value compared to Singapore dollars.
Someone suggest that you should also compare the interest rate offered on this multi-currency account, compared to the similar instruments in the market. You should also consider the charges for converning the money. I agree.
Generally, it is good to have the convenience of managing it in one account. Actually, I wanted to open an account myself, but I have not got down to doing it.
Be careful though of the charges that you will incur for depositing the foreign currency. I checked with them and they said no charges, however, after transferring U.S. dollars I got charged 5 U.S. dollars. A call to them ended with no follow up. Lesson, do not just take verbal assurances, sometimes the person you are speaking to does not know themselves.
ReplyDeleteThe same for me. Got charged for $5. I've banned this bank indefinitely.
ReplyDeleteAgree totally. Bank charges are not always transparent and many times when you lodge a complaint, the person at the end of the other line will tell you to refer to the fine prints in the pricing guide.
ReplyDeleteThese pricing guides are not given unless you ask them and in many instances, these guides are confusing to the layman like you and I.