Hong Leong Finance (HLF) has been a major finance corporation in Singapore for a long time. The company has several financial services and products in its portfolio.
You can secure your retirement years with the HLF Golden 55 Plus Fixed Deposit, which offers special interest rates and maturity bonuses to depositors who are 55 years old or above. When retirement knocks on your door in a few years, you’ll have enough funds to enjoy a life without financial insecurities and struggles.
The HLF Golden 55 Plus time deposit, like other deposits available in the local Singapore market, is one of the safest financial instruments to grow wealth in the long term. HLF Golden 55 Plus has been especially designed for those approaching superannuation. It lets depositors aged 55 and above to multiply their wealth quickly without taking undue risks.
In addition to attractive interest rates on your deposit, you’ll get a special maturity bonus if you don’t withdraw your deposit before the completion of the term. This plan also offers you flexibility in choosing the length of the term.
Features and Benefits
The important features and benefits of this scheme are as follows:
- You can deposit a minimum of S$50,001 and a maximum of S$999,999.
- You’ll have the liberty to choose from an array of terms – 12-month, 15-month, 18-month and 24-month.
- You’ll receive a maturity bonus of 5% on completion of the term of your choice.
- The payment of the accrued interest on your deposit as well as the maturity bonus will be automatically credited to a savings account linked to your HLF Golden 55 Plus time deposit account.
- No premature withdrawal penalty will be levied on this time deposit account. However, you’ll miss out on the maturity bonus if you don’t hold your deposit till tenure maturity.
- You can easily open a savings account under this scheme with an initial deposit of just S$10.
- Your Singapore dollar deposit account held under this fixed deposit scheme will be insured up to S$50,000 by the deposit insurance coverage under the Deposit Insurance and Policy Owners’ Protection Schemes Act 2011. This means that if the company fails to make good of its promise of paying you back the principal amount in addition to the assured interest at the end of the term, you’ll be indemnified under the deposit insurance cover.
- You can easily calculate the effective interest rate that you’ll get on your HLF Golden 55 Plus term deposit account by using the Golden 55 Plus calculator on the company’s official website.
HLF Golden 55 Plus Interest Rates
Hong Leong Finance offers exceptional interest rates and other benefits on this particular time deposit scheme. This scheme helps you save big without exposing you to market fluctuations associated with risky financial vehicles. The interests offered are generally higher than the regular HLF fixed deposit rate as you can see in the table below:
|Time Horizon (in months)||Annual Interest Rate Offered||Maturity Bonus (offered only on completion of the full term)||Effective Interest Rate Offered|
|12||0.996% p.a.||5%||1.05% p.a.|
|15||0.95% p.a.||5%||1% p.a.|
|18||0.997% p.a.||5%||1.05% p.a.|
|24||1.092% p.a.||5%||1.15% p.a.|
Eligibility Criteria for HLF Golden 55 Plus Fixed Deposit
The eligibility criteria for this scheme are as follows:
- Any Singaporean national, PR and foreigners working in Singapore can open this account.
- You should be at least 55 years old.
- You’ll have to produce your NRIC, student pass, work permit or employment pass, as applicable, at the time of application.
Fees and Charges
The following are some of the charges that may be applicable on your fixed deposit.
- For non-individual accounts only, a charge of S$10 will be applicable for every MEPS transfer below S$1 million.
- For non-individual accounts only, no charge will be levied for a MEPS transfer equal to or more than S$1 million.
- A charge of S$10 per receipt will be applied on loss of a fixed deposit receipt, with or without replacement.
HLF Golden 55 Plus Fixed Deposit FAQs
Q. What is the formula used for calculating the effective interest rate for the HLF Golden 55 Plus Fixed Deposit?
A. Although the formula hasn’t been revealed on the company website, you can use the calculator available on the website to find out the actual interest receivable on your deposit even before you invest your money in the scheme.
Q. Why should I invest in this scheme instead of an equity-linked savings scheme or an ETF?
A. As you approach retirement, your risk-taking appetite may decrease and rightly so. It is reasonable to expect that if you invest in a risky financial instrument later on in life, you won’t be able to give your investment enough time to grow and stabilise, thereby exposing your money to short-term market fluctuations. Since you need savings for post-retirement life, it makes sense to invest in a product that gives you an assured return on your investment at a reasonably good rate. HLF Golden 55 Plus Fixed Deposit is ideal for that.
Q. Is premature withdrawal available with this product?
A. Premature withdrawal is available on this product and you won’t be charged a penalty it. However, you won’t get the maturity bonus if you withdraw money before maturity.
Q. Will I be notified upon maturity of my term deposit?
A. No notification will be sent to you by HLF in this regard. Check the fixed deposit receipt to know the exact time of maturity and approach the company of your own volition.
Q. Will the same rates apply if I want to renew my FD upon maturity?
A. Once a term matures, a new one has to be started. Rates, applicable in such a situation, will be determined based on the prevailing rates offered by HLF or determined at the sole discretion of the bank, whichever applies.