Deposits are one of the instruments for people to save or invest their money. Not only low risk, deposits are also chosen by many because the interest is relatively high compared to saving money in a savings account. The question is, when should you start saving money in a deposit?
Term Deposit Can Help You When…
1. You want to spend less money
If you feel that all this time you have often used the money in your savings account for things you do not need and thus make it difficult for you to achieve your financial goals, one of the best ways to resist the urge to splurge is to train yourself to be disciplined.
Maybe saving for you is not difficult. The problem lies more in the temptation to dip into your savings. Luckily, a term deposit can help you be disciplined. By saving in a deposit, you secure money from improper use. Why? Because when you create a deposit, you will be asked to choose a deposit period.
Opening a Term Deposit at Bank Jago is very easy and fast as it can be done directly through the Jago application. The period varies and you can choose according to your needs: 1, 3, 6 or 12 months.
In addition, by investing money in the Jago Deposit you will enjoy competitive interest rates. So, besides that money isn't spent on something unnecessary, you reach your goal to spend less money and you get extra money from interest. Not bad right?
2. You want to save money in a deposit but this is your first time and you don't feel like committing too much
Some people are reluctant to save in deposits because deposits generally require a relatively large minimum amount.
But, the Jago Deposit is different as it can help you save even though you don't want to commit much in the beginning. You can save money starting from just Rp1,000,000 and choose a 1-month Deposit period.
After you get used to it and can commit to saving more, you can add the amount of money saved in your Term Deposit and choose a longer period.
3. You want to stay calm during an emergency
Emergencies can happen to anyone and we cannot predict them in advance. In general, emergencies also require large funds. Common examples of emergencies include losing a job so that there is no longer a main source of income, a family member being seriously ill, an accident happening and your house needing major renovations because it is eaten by termites.
Preparing an emergency fund in a Jago Deposit can be very helpful if needed at any time. Why? Because you can withdraw your Jago Deposit at any time without penalty fees. This applies even if the deposit withdrawal is made before the maturity date. Deposit disbursement is also instant as it is done via the Jago application and the money goes directly to the Main Pocket.
So, you don't need to worry if you choose a 6-month Deposit period but halfway through, for example in the 3rd month, you experience an emergency. Just withdraw your Deposit.
4. You want to buy your dream house
Your dream home, house or apartment, could take years to be yours. It's not just the DP that should be paid off, but all the costs of buying a house or apartment must be prepared.
For this, saving money in a term deposit is the right choice. Deposit interest can help, as well as the deposit itself helps reduce the temptation to dip into house savings.
5. You want to prepare your child’s education funds
For the sake of your child’s future, you must provide the best education. Preparing child's education funds takes quite a long time, maybe up to years. This is because the funds prepared are not only until the children graduate from high school, but also up to university.
Therefore, putting money in a Term Deposit to fund your child's education in the future is the ideal solution. In this way, you already know that your child's school fees have been saved in a secure place. You already know too how much interest you will get. When your deposit matures, you can save the principal funds along with the deposit interest again by choosing automatic rollover (ARO). This is where you take advantage of the power of compound interest.
6. You want to have peace of mind when you retire later because there is a steady source of income
By starting to save in the Jago Deposit from now on, when you are still far from retirement, imagine how much money would have been saved if you had not dipped into your retirement savings.
You don't need to worry if you don't work when you retire. You can continue to get a steady source of income from deposit interest. The bigger the money in the Deposit, the bigger the interest you can get. You can choose to save in the Deposit for 1 month so you can earn interest every month when the deposit matures. Then, continue saving the principal funds in the Deposit for the next 1 month. And so on.
How Much Interest Will You Get When Saving Rp100 Million in a Jago Term Deposit?
If you save Rp100,000,000 in a Jago Deposit, how much interest will you get? Depends on the deposit period you choose. Saving Rp100,000,000 for 1 month will give you different interest than saving Rp100,000,000 for 6 months (check here to find out the latest interest rates).
You can use the following profit calculation formula to find out the amount of interest you will get when your Jago Deposit matures.
How Much Interest Will You Get When Saving Rp10 Million in a Jago Term Deposit?
What if you want to start saving from Rp10,000,000 first? How much interest will you get? You can calculate the interest yourself using the Jago Deposit interest calculation formula in the visual above. The Deposit interest rate per year depends on the amount saved and the period selected (check here to find out the latest interest rates).
How to Save Money in a Jago Term Deposit
To start saving in Bank Jago Deposit, you can log in to the Jago application and follow these steps on the FAQ page.
How long is the Term Deposit period and what is the ideal saving time at Bank Jago?
One of the most frequent questions before starting to invest is: how long is the Term Deposit period available? At Bank Jago, you are given full flexibility to determine the saving time that best aligns with your financial goals.
You can choose a tenor or time period ranging from 1, 3, 6, to 12 months. Deciding on your saving time depends heavily on your needs. If you are saving for an emergency fund that might be needed at any moment, a short tenor like 1 or 3 months could be the right choice. However, if you want to "lock away" money for long-term goals, choosing a 12-month period will help you stay disciplined without being tempted to withdraw the balance midway.
Do I have to make monthly deposits into a Term Deposit?
No, a Term Deposit does not require monthly deposits. A Term Deposit is essentially a time-deposit product where you place a specific amount of funds in Bank Jago for a predetermined period that you have chosen beforehand.
It's characterized by a single upfront deposit. This means you only need to deposit funds once at the beginning when you open the Term Deposit. Once the funds are placed, you don't need to make routine monthly deposits like you would with a regular savings account. The funds in the Term Deposit will be "locked" for the agreed period, and you'll receive interest according to that term.
At maturity, you typically have a few options: you can withdraw the Term Deposit along with its interest, or you can automatically extend it (automatic rollover) for the same period. So, the flexibility of a Term Deposit lies in its one-time initial deposit and the choice to extend or withdraw at the end of the period.
Can I add more funds to my Jago Deposit every month?
Since it uses a one-time initial deposit system, you cannot add more funds to an existing Deposit Pocket once it has started. However, as a solution, you can open a new Deposit Pocket whenever you have extra funds you wish to save as a deposit. At Jago, you are free to have more than one Deposit Pocket within a single application.
Looking for a way to save monthly while keeping your balance locked?
If you are looking for a more flexible way to add funds anytime (like regular saving) while keeping your balance locked to prevent impulsive spending, you can use the Locked Pocket. Unlike a Deposit which requires a one-time initial setup, a Locked Pocket allows you to top up your balance whenever you want. Your balance will remain locked for a period you define, ensuring your savings goals stay on track while earning competitive interest.
Flexibility of the Jago Term Deposit: Open multiple at once
Bank Jago offers the convenience of opening multiple Term Deposits simultaneously. This allows you to manage your savings or investments more flexibly and structurally. You can open several Term Deposits directly from the Jago application with different amounts, varying terms, and even specific goals for each Deposit. This enables you to plan your finances in more detail, for example, separating funds for short-term, medium-term, and long-term goals, all within the Jago application.
Disbursement of Jago Deposit at Maturity
If you choose not to renew your Deposit automatically, what do you need to do once the Deposit matures? You can just relax, no need to spend time visiting a Bank Jago branch.
As soon as it reaches maturity, the money in the Deposit will go straight into the Main Pocket. The Deposit will close automatically. So, write it down or remember the due date and when the time comes, log in to the Jago application and check your Main Pocket. The balance must have grown because the money from your Deposit had been added.
Let’s start saving in a Term Deposit based on the goals that you want to achieve.
