Tax-free savings 

Save up to R36 000 a year without getting taxed on the interest.

Capitec Tax Free Savings

Benefits 

  • You can open one tax-free savings account at any of our branches 
  • Deposit any amount up to R36 000 per year (single or multiple deposits) 
  • Choose an investment term from 12 – 60 months 
  • Earn interest from R1  

 

South African Revenue Service (SARS) rules 

  • Contribution limits
    • Your combined limit for the financial year (1 March – 28 February) across all tax-free savings accounts, including those at other financial services providers, is R36 000
    • Lifetime limit is R500 000
    • Contributions over these limits are taxed at 40%
  • Interest earned will not be taxed
  • Money withdrawn cannot be replaced
  • Money may be transferred to and from a tax-free account at another financial services provider
  • Other savings plans may not be converted to a tax-free savings account

Interest rates

 

The  nominal interest rate is used to calculate the daily interest earned on your account balance, which accumulates until it is capitalized on an agreed date every month. The interest is then either reinvested or transferred to your savings account.  

The  effective annual interest rate is calculated by taking into account the fact that  interest is  earned on capitalised interest over a period 12 months. 

Although Capitec Bank is an authorised financial services provider (FSP 46669), we are not permitted to provide financial advice on any of our savings plans. In case of any disputes we have an independent Compliance department which can be contacted using the number 0860 10 20 43, as required by the Treasury Disclosure Notice.