Metrobank launches new time deposit account

The Metropolitan Bank and Trust Co. (Metrobank) launched the Metrobank TD Extra-Assure, a new five-year time deposit account which guarantees interest rates better than the prevailing Treasury-bill rate.

The interest rate of TD Extra-Assure is based on the 91-day T-bill rate on the day of the deposit plus 0.25 percent. The guaranteed minimum rate is 7.5 percent per annum. Thus, a client is assured of an interest rate no less than 7.5 percent even if the 91-day T-bill rate is lower.

The interest rate is re-priced every quarter, so if interest rates increase, the client will also enjoy the higher rate up to a maximum of 11.5 percent. And, to complement the client’s higher earnings, interest earned in Metrobank TD Extra-Assure is tax-free if the deposit is maintained for five years.

Unlike other time deposits that only give interest upon maturity, Metrobank TD Extra-Assure lets the depositor immediately enjoy the interest that his money earns by automatically crediting the deposit’s interest income to his current or savings account every quarter.

A client can avail of Metrobank TD Extra-Assure for a minimum deposit of P100,000. Upon account opening, the client gets a free personal accident insurance plan worth twice as much as the amount of placement but not to exceed P2,000,000.

If the client deposits P200,000 or more and is in good credit standing, he will be issued a pre-approved Metrobank credit card, with a credit limit of P150,000, with all the fees waived for the first year.

A client is also eligible for a 1:1 loan, which means he can borrow up to 90 percent of the amount he deposited, be it for a new home, car, or for any other purpose.

Metrobank TD Extra-Assure may be withdrawn before maturity, subject to pretermination penalty and corresponding withholding tax.