Savings · Fixed deposits

Best Fixed Deposit Rates in South Africa

For a directly comparable 12-month deposit, GoTyme Bank's published 8.75% rate leads the current public tables we checked. But the “best” account changes with your balance, term and interest-payment choice, so this guide shows the conditions alongside every rate.

Updated 20 August 2026 • By Lerato Khumalo • Fact-checked

Quick answer · 20 August 2026

Best verified 12-month rate

8.75%

GoTyme; simple interest on the original deposit

Best Treasury alternative

8.75%

Five-year RSA Retail Savings Bond

Bank deposit protection

R100k

CODI limit per qualifying depositor per bank

12-month fixed deposit rates compared

This is a snapshot, not a promise of the rate you will receive. Rates are for new deposits and can change without affecting an existing fixed-rate contract. “Up to” rows show the balance required for the displayed rate.

Provider	12-month rate	Balance for shown rate	Product minimum	What to know
GoTyme BankOfficial product page	8.75%	Any accepted balance	Not stated	Simple annual interest on the original deposit; R10,000 becomes R10,875 after 12 months.
African BankRateCompare, 31 Jul 2026	up to 7.49% nominal	R1 million+	R500	Tiered. The displayed top rate is not what a small deposit earns.
Discovery BankOfficial rates page	7.40% NACM / 7.66% maturity	R10,000+	R10,000	Choose monthly interest or retain it to maturity. No monthly account fee.
Nedbank Electronic FDOfficial rates, 15 Aug 2026	up to 7.35% nominal / 7.60% maturity	R1 million+	R1,000	The electronic product is opened digitally. Lower balance tiers earn less.
Absa Fixed DepositOfficial rates, 16 Jul 2026	up to 7.10% nominal / 7.33% maturity	R1 million+	R1,000	Includes the digital bonus. The R1,000–R100,000 tier is 6.90% nominal / 7.13% at maturity.

African Bank is the only row sourced through an independent comparison table because its live public rate table was not reliably accessible during this update. Confirm every rate with the provider before depositing.

What R10,000 earns at 8.75%

Opening depositR10,000

Interest after 12 monthsR875

Maturity valueR10,875

This matches GoTyme's published example and ignores tax because each person's total annual interest and tax position differs.

A high “maturity rate” can mislead

A five-year maturity percentage can include several years of interest, so it is not the same as a one-year AER. Compare the annual effective rate where available, then check whether interest compounds, pays out monthly or is calculated only on the original capital.

GoTyme term rates: why nominal and annual effective differ

GoTyme's public table is unusually clear: interest is calculated at a simple fixed rate on the original deposit. For terms longer than one year, the large nominal headline is therefore higher than its annual effective comparison figure.

Term	Nominal annual interest	Annual effective
3 months	7.75%	7.98%
6 months	8.25%	8.42%
12 months	8.75%	8.75%
24 months	9.25%	8.86%
36 months	9.75%	8.93%

How to compare fixed deposits properly

1. Match the same term

A 36-month headline should not beat a 12-month rate in your comparison unless you can genuinely lock the money for three years.

2. Use your actual balance tier

“Up to 7.35%” is irrelevant to a R20,000 deposit if the rate requires R1 million. Look for the row containing your deposit amount.

3. Standardise the rate convention

Prefer AER for like-for-like comparison. If only nominal or maturity rates are shown, use the bank's calculator to compare final rand values.

4. Price the early-break risk

Read the penalty and interest-recalculation clause before opening. A slightly lower notice-deposit rate may be better if access is uncertain.

RSA Retail Savings Bonds: the two-year-plus benchmark

National Treasury resets fixed rates for new purchases monthly. The rate applying when you invest is fixed for that bond's term. August 2026 rates are:

2 years

8.00%

3 years

8.25%

5 years

8.75%

Minimum investment: R1,000. These are direct government obligations, not bank accounts, and are not covered by CODI. Compare their rules and interest timing with a bank deposit at the same term.

Safety, tax and the R100,000 CODI limit

CODI aggregates accounts at the same bank. If you have R70,000 in savings and R60,000 in a fixed deposit at one bank, the covered amount is not R100,000 for each account; the cap is R100,000 across qualifying balances for that depositor at that bank.

Interest is taxable after the annual exemption. For 2026/27 the South African-source interest exemption remains R23,800 if under 65 and R34,500 if 65 or older.

A cash TFSA is a separate decision. Its returns are tax-free, but withdrawals do not restore contribution room. The annual contribution limit is R46,000 and the lifetime limit is R500,000.

Frequently asked questions

Which bank has the best 12-month fixed deposit rate in South Africa in August 2026?+

Of the current public rate tables checked for this guide, GoTyme Bank has the strongest directly comparable 12-month offer at 8.75% on the original deposit. Its public page does not state a minimum deposit. This is not a permanent market-wide guarantee: banks can change the rate for new deposits, some quote personalised rates for large balances and smaller banks may run short promotions. Confirm the rate and minimum in the provider’s app or quote screen before transferring money.

Is 9.75% on a 36-month deposit the same as earning 9.75% each year with compounding?+

No. GoTyme labels 9.75% as nominal annual interest calculated on the original deposit; its own table gives an annual effective figure of 8.93% for the 36-month term. This is why a headline nominal or “at maturity” percentage should not be compared with another bank’s AER without checking the calculation method.

Can I withdraw a fixed deposit early?+

Usually only by requesting an early break. The bank may charge a fee, reduce the interest rate, recalculate interest using a shorter completed term, or require a notice period. The exact result is contractual, so read the early-access clause before opening. Keep emergency cash in an instant-access account instead of relying on a fixed deposit.

Are South African fixed deposits protected if a bank fails?+

Qualifying bank deposits are covered by the Corporation for Deposit Insurance up to R100,000 per qualifying depositor per registered bank, including covered interest. The limit applies across your qualifying accounts at the same bank, not R100,000 for each account. RSA Retail Savings Bonds are direct National Treasury obligations rather than CODI-covered bank deposits.

Do I pay tax on fixed-deposit interest?+

For the 2027 tax year, South African-source interest is exempt up to R23,800 a year if you are under 65 and R34,500 if you are 65 or older. Interest above the exemption is generally included in taxable income. An approved TFSA has separate rules: returns are tax-free, but contributions are limited to R46,000 a year and R500,000 over your lifetime.

Should I choose a bank fixed deposit or an RSA Retail Savings Bond?+

Match the term first. RSA Retail Savings Bonds start at two years, so they are not a substitute for a 3-, 6- or 12-month deposit. For August 2026, fixed retail-bond rates are 8.00% for two years, 8.25% for three and 8.75% for five. Compare those rates with the bank’s AER, minimum deposit, interest-payment timing and early-withdrawal rules.

Important

This article is for information only and is not financial advice. Investments can go down as well as up - past performance is not a guide to future returns. Consider speaking to an FSCA-authorised financial advisor before investing.

Sources checked 20 August 2026

· GoTyme Bank Fixed Deposit - term rates and calculation method.
· Discovery Bank savings rates and fees - 12-month NACM and maturity rates.
· Nedbank Electronic Fixed Deposit rates - published 15 August 2026.
· Absa rates and fees - fixed-deposit table reviewed 16 July 2026.
· RateCompare African Bank table - rates sourced 31 July 2026.
· RSA Retail Savings Bonds rates - 1–31 August 2026.
· SARB CODI FAQs - deposit-insurance scope and limit.
· SARS interest exemptions and Tax Free Investments.

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