Today we will show you how the Absa currency investment account works in South Africa.
The account is a savvy way to diversify your investment portfolio and acts as a hedge against adverse fluctuations in foreign currency.
We will first show you how to easily apply for an account in South Africa.
How To Apply For Absa Currency Investment Account
To apply for this account, you must have a South African ID, tax number, Absa current account and should be 18 years and above.
To open an account, please follow the steps below:
- First login to Absa online banking
- Next, select apply
- Next, expand the international banking solutions taps
- Next, click Open account now
- Next, accept the sure check 2.0 pop-up message on your mobile phone
- After that, complete the fields and click next
- Confirm all the details and click to open an account
- You will receive an SMS (message) with your account details.
This is how you open an Absa currency investment account in South Africa.
We will now show you how the account works.
Absa Currency Investment Account
The account is governed by South African exchange control rules and regulations.
The rand equivalent of the foreign currency amount deposited in the account cant be guaranteed because the exchange rate fluctuates daily.
You can open the account in 18 different foreign currencies, and any additional currency is subject to negotiation.
You will not be charged any monthly service fee.
The interest earned is based on the London Interbank Bid Rate (LIPID); therefore, Absa determines the rates on a minimal percentage.
Interest earned is paid in arrears in the currency of the principal invested.
The interest can be paid n a monthly basis or capitalized over and above the maximum permissible limit.
You cannot deposit or withdraw funds using stop orders.
The account is not overdrawn, and the income earned is taxable in South Africa.
This is all you need to know about the currency investment account in South Africa.
Now that you understand how the account works, we will go ahead and show you how you can deposit funds into your account.
How To Deposit Funds Absa Currency Investment Account
Please follow the steps below to deposit funds to your foreign currency account:
- Log in to your Absa online banking
- Click on the Payments tab
- Next, expand the inter-account transfers
- Select International as the transfer type
- Choose From Accounts field
- After that, select your cheque or transactional account linked to your profile
- Next, open the To Account field and set your currency investment account linked to your profile
- Finally, complete all the fields and follow the four-step process to fund the account
This is how you deposit funds to the Absa currency investment account in South Africa.