Cambodia Investment Review

Why should you open an installment deposit at Chief Bank?

Why should you open an installment deposit at Chief Bank?

Cambodia Investment Review

Dr. Soeung Morarith, CEO of Chief Bank, discusses installment deposit, the latest product offered by Chief Bank, and what he describes as a product that fits Cambodian people’s financial needs today.

CIR: Dr. Soeung Morarith, CEO of Chief Bank, thank you for joining us today. Can you explain what an installment deposit is and how it differs from a fixed deposit?

Dr. Morarith: An installment deposit, known in Khmer as “constant deposit,” is different from a fixed deposit in that interest is calculated based on a constant period instead of a fixed maturity period. With a fixed deposit, customers deposit once and wait until the maturity date to receive interest. For an installment deposit, customers make monthly deposits, such as depositing $1,000 per month for 12 months, making it a more flexible savings option.

CIR: What are the requirements for opening an installment deposit account at Chief Bank?

Dr. Morarith: Customers must have a minimum monthly principal of $50, meaning they have to deposit at least $50 per month until the selected maturity date. They can choose the amount they want to save and the specific date for depositing. Interest is only received after the completion of maturity, and partial withdrawal works similarly to fixed deposits. We do allow early termination, but the interest will be recalculated.

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CIR: What happens if a customer terminates their installment deposit early?

Dr. Morarith: If a customer terminates early, they will still receive interest, but it will not be the same as the contracted interest, which is indicated on the certificate of installment deposit.

Dr. Soeung Morarith, the Chief Executive Officer of Chief Bank.
Dr. Soeung Morarith, the Chief Executive Officer of Chief Bank.

CIR: Is this service available to individual and corporate customers?

Dr. Morarith: Yes, we provide this service to both individual and corporate customers, excluding other financial institutions. Our installment deposit offers a secure savings plan with reasonable returns, such as 5.75% for US dollars and 6.00% for Khmer Riel, and the possibility for negotiation.

CIR: How does an installment deposit account benefit customers in terms of financial planning?

Dr. Morarith: The installment deposit encourages customers to understand the benefits of saving and helps them plan for unexpected needs or expenses in the future. If necessary, they can close the account early to access the funds for emergencies, such as health issues or family needs.

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CIR: Lastly, can you explain the process of opening an installment deposit account at Chief Bank?

Dr. Morarith: We aim to make the process as simple and convenient as possible. Individual customers only need a valid ID card or passport, and our staff can even visit them to open the account. For companies, we require an MAA, Business registration certificate, or patent certificate, and our staff can visit their office to assist with the account opening.

Click here to open a Chief Bank Term Deposit

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