info on high interest bank accounts

stelee77


Joined: 06/06/2011
Posts: 557

Message Posted:
03/08/2011 12:23

Please only reply if you have one or have had one recently.



Is it really 9 % each month on a local currency account,if so that would mean 20.000 in sterling would make 1,800 sterling a month,but of course in lira,which would be enough to live of.

Is this correct or have i just missed something.



Do you have to be a resident to open a local currency account,or can it be managed from anywhere in the world.



Does your sterling loose value when changing to lira,or does inflation catch up with you in the end,which seems unlikely at the that rate.



Is that rate sustaniable,and how can they afford to do such high rates in the first place.



Are there big risks involved,or is it well worth doing if your living there long term.



thanks

Geoff1131


Joined: 12/07/2007
Posts: 276

Message Posted:
03/08/2011 12:28

The interest rate is per annum, not per month. You can take the interest monthly but to calculate the amount you will recieve, times your deposit by 9% take off 5% tax and divide the total by 12 this will give you your monthly interest.

yrys88


Joined: 08/08/2009
Posts: 1140

Message Posted:
03/08/2011 12:29

calculation mistake my friend!



the interest rate is per year not month! You get paid the interest every month, theres a big difference.



so divide the number you found into 12 and you get the correct amount!

stelee77


Joined: 06/06/2011
Posts: 557

Message Posted:
03/08/2011 12:33

I thought it was strange there was nothing on the internet.



Well its hardly worth it then.

professoregit


Joined: 30/08/2008
Posts: 381

Message Posted:
03/08/2011 12:34

Wishful thinking. The rate of 9% or there abouts is an annual rate. Therefore 20K sterling would in fact make 1.8K per annum. On a 30 day account you would get around 150 Stg per month in interest.

stelee77


Joined: 06/06/2011
Posts: 557

Message Posted:
03/08/2011 12:50

Well its better than a kick in the teeth

davedee



Joined: 01/12/2008
Posts: 479

Message Posted:
03/08/2011 13:33

Geoff I think it is 10% tax!

Geoff1131


Joined: 12/07/2007
Posts: 276

Message Posted:
03/08/2011 13:45

sorry yes 10% tax.

Mountain Edge



Joined: 23/02/2007
Posts: 199

Message Posted:
03/08/2011 13:46

It is better than anything you will get in UK by a long shot.

blade


Joined: 19/06/2010
Posts: 1286

Message Posted:
03/08/2011 14:16

At least in the UK you don't get taxed on your savings interest until you reach your personal tax limit.

juliamoons



Joined: 14/05/2009
Posts: 849

Message Posted:
03/08/2011 14:37

9.5% Less 10% tax, drawing interst monthly. Can do a little better than that by putting in for a year.

eager


Joined: 23/02/2007
Posts: 1272

Message Posted:
03/08/2011 15:25

Best to get in to Lira soon before the rate starts slipping

reyntj


Joined: 26/01/2011
Posts: 229

Message Posted:
03/08/2011 15:41

I've got money at yakin dogul bank at 9.5 percent not sure how safe the bank is the manager told me they had been going 16 years and they had some affiliation with the university anyone got any info on this please let me know .I believe there is a government guarantee from turkey up to 20000 euro from memory should the banks go bust in the trnc and given the current financial state of the global economy anything is possible

breezyboy


Joined: 14/05/2007
Posts: 1179

Message Posted:
03/08/2011 16:50

Plenty of research available on Creditwest and Garanti and the Turkish economy is doing very well.



11% available for 12 month accounts depending on the amount invested - less 10% tax leaves you with 10% net if you think that is not worth bothering with then please let us know where you are doing better.



Rate is stable but was up to 20% only 20 months ago.



At present you are getting a lot more lira for the pounds you put in. If you leave it in Lira until it comes back to 2.35 then you have an even bigger gain. If you are going to spend it in TRNC then once exchanged into lira it doesn't matter.

blade


Joined: 19/06/2010
Posts: 1286

Message Posted:
03/08/2011 16:54

Will it go back to 2.35 that is the question?

I don't see how the turkish economy is doing so well, they had austerity measures at the begining of this year and now the currecy has fallen out of bed.?

Depends on your long term plans.

keithr


Joined: 20/08/2008
Posts: 720

Message Posted:
03/08/2011 17:51

If your money is here in TL,does it matter ???



I'm amazed at the people i know who keep sterling savings accounts out here. Why ???

HildySmith


Joined: 02/07/2009
Posts: 1708

Message Posted:
03/08/2011 18:15

It depends on the bank you use. My friend was with Credit West and he got 10% and then it dropped to 9%.

I am with Turk Bankasi and I get 6%.

You can have a Sterling account as well as a TL Account.

I have 5 High Interest accounts which mature at different times of the month, so if I need money I can draw it out of any one of them during a particular week.

It matures monthly and the interest is paid in and the tax deducted each month.

erolz


Joined: 17/11/2008
Posts: 3456

Message Posted:
03/08/2011 18:20

Blade the turkish economy is in rude health with growth rates any nation would envy. Their only significant problem at the moment is negative balance of payments, that is importing more value of goods than they export, which is why they are purposley pushing down the value of the lira, in order to boost exports and dampen internal demand for foreign imports and thus address the only serious weakness in the economy currently. So the fall in the lira is not as you seem to think an indication of the weakness of the Turkish economy but rather an indication of how well its current extraordinary growth, in comparative terms with other nations, is being managed.

blade


Joined: 19/06/2010
Posts: 1286

Message Posted:
03/08/2011 19:51

Erolz, it was such a growing economy that they needed austerity measures?

Sorry we will have to disagree on this one. Tell that to those people who live on a loaf of bread and a tomatoe a day.



As for banking i think many people have a short memory about what happened here in the past. I was speaking about it with an old friend who was one of the group who made the banks and folk involved give the people their monies back. It took a few years to sort i am told .



Why the hell would anyone trust the banks here?

Your money , your choice.

erolz


Joined: 17/11/2008
Posts: 3456

Message Posted:
03/08/2011 20:06

Blade austerity measures HELP the economy. Nothing is worse for an economy than an overblown public sector. As to the banks in the TRNC, that is a different issue to the strength of the Turkish economy. You see two things, falling values of TL vs other currencies and austerity measures and think they show weakness in the Turkish economy, when if fact they are the things that is keeping the Turkish economy growing, which is the real measure of an ecomonies health. Whilst most of the world is mired in a global economic crisis, Turkey is one of a handful of countries that is managing to deliver quater on quater economic growth in figures of 5 to 10 % per quater. To say you think it is not doing so well, based on the very things that are helping it achive this incredible growth at the hardest of times globaly, makes no sense to me.