HSBC is offering 7% interest for a four month term to wealthy customers if they also sink money into other savings products the bank offers.
The deal is available to HSBC Premier customers who must either have - a minimum - of combined home loans of NZ$500,000 or NZ$100,000 in savings and investments. See all term deposit rates for one to nine months here.
Read HSBC's statement below:
HSBC has today announced a new investment campaign which will offer HSBC Premier customers an HSBC Term Fund interest rate of 7.00% p.a for four months if they invest an equal or greater amount in one of HSBC’s Global Unit Trusts or World Selection Funds, with a minimum investment of $10,000.
The campaign is the first of its kind in New Zealand and the Term Fund interest rate is 2.7% (270 basis points) above the nearest Term Fund rate, for a similar term, offered by a major bank in New Zealand. HSBC Term Fund invests solely in New Zealand dollar denominated deposits issued by HSBC New Zealand.
Glen Tonks, Head of Wealth, at HSBC New Zealand, says: “These campaigns have been hugely popular in the UK and Western Europe and we’re looking to replicate the offer here for the first time in New Zealand. The campaign will only be for a limited period of time and, with the Term Fund a PIE, the effective interest rate is 7.52% p.a. for a 33% taxpayer, providing an additional benefit for investors.”
“HSBC is a global leader when it comes to managing wealth. Our investment solutions include emerging market funds which provide access to some of the world’s biggest and fastest growing economies such as China, India, Brazil, Russia and greater Asia, as well as more diversified funds which provide access to investments across multiple asset classes and geographies around the world” continues Tonks. This offer is available to HSBC Premier customers only.
To qualify for HSBC Premier customers must either have a minimum combined home loans of $500,000 or $100,000 in savings and investments.
Rate quoted is subject to change without notice.
A minimum investment of $10,000 in HSBC Global Unit Trusts or World Selection funds is required to qualify for the Term Fund rate quoted. The amount of your Term Fund investment cannot exceed the amount you invest after 23 May 2011 in the HSBC Global Unit Trusts or World Selection funds.
Units in the HSBC Term Fund, HSBC Global Unit Trusts, and HSBC World Selection (the "Funds") are distributed by HSBC and are issued by HSBC Investments New Zealand Limited.
The terms and conditions set out in the Funds’ Investment Statements and Prospectus’ apply which are available on request free of charge. Units in the Funds do not represent bank deposits or other liabilities of HSBC and are subject to investment risk, including possible delays in repayment and loss of principal invested.
HSBC Premier eligibility and investment criteria apply (eligibility criteria include combined lending of $500,000 or more or $100,000 of savings & investments with HSBC). See hsbc.co.nz for full terms and conditions.
The effective tax rate is calculated in the following manner: 7 x 72 / 67 = 7.52
We welcome your comments below. If you are not already registered, please register to comment.
Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.