Interest rate tiers
利率階梯
Interest rate tiers apply different deposit rates to different balance bands in an account. The highest published rate may apply to only one band, or to only the part of the balance inside that band. When reading a rate, check the balance range of each band, and whether the rate applies to the whole balance or only to the part inside the band.
Example
Suppose the first HK$100,000 earns 2% a year, the part above it earns 0.5%, the balance is HK$150,000 and each rate applies only inside its band.
- First HK$100,000
- 2% = HK$2,000
- Remaining HK$50,000
- 0.5% = HK$250
- Interest for the year
- HK$2,250
- Average rate
- 1.5%
The top rate of 2% applies only to the first HK$100,000; across the balance the average is 1.5%.
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This page is information, not investment, lending or tax advice.