In our guide today, we will briefly discuss the Absa tax-free fixed deposit in South Africa.
This product guarantees you your invested capital and the quoted returns.
Launch rates are offered to this account for a limited period with Absa.
We will first show you the requirements to apply for this product.
Requirements For Absa Tax-free Fixed Deposit
Below are the basic requirements to apply for this product:
- A valid South African ID
- Proof of residence not more than three months old
- You need a transfer request form when transferring funds
These are the basic requirements to apply for a tax-free fixed deposit in South Africa.
Absa Tax-free Fixed Deposit
You are guaranteed your capital and interest.
You can invest in a fixed deposit without paying tax.
You can transfer funds without losing your tax-free benefit.
There is no maximum investment limit when transferring from one institution to Absa’s tax-free savings.
The maximum investment per tax year is R30 000 and the maximum lifetime investment is R500 000.
If you contribute above the set limit, SARS will levy you a penalty fee of up to 40%.
The interest rate for any amount above R30 000 is 5.79%.
Account balance below R30 000 will not attract any interest.
This is how the tax-free fixed deposit works in South Africa.
How To Contact Absa
You can visit the Absa tax-free fixed deposit account page.
You can call Absa bank through 0860 111 515 or email them at savings@absa.co.za; for more information, you can alternatively visit the nearest Absa branch for assistance or any information on this product.
This is all you need to know about Absa’s tax-free fixed deposit in South Africa.
