← learn · guide · verified as of 2026-07-09
Fixed deposits
A fixed deposit locks a lump sum with a bank for a set term at a fixed rate — simple, bank-guaranteed, but your money is locked until maturity.
indicative ~KES 50,000 — varies by bank, confirm current terms with your banksame day, in-branch or via your bank's apprisk 1/5
Steps
- 1Choose a bank and compare its currently published fixed-deposit rate for your term.
- 2Visit a branch or open the deposit via the bank's app, with your ID and KRA PIN.
- 3Deposit your lump sum for the agreed term.
- 4Receive interest at maturity, net of withholding tax.
By the end you hold a fixed-term deposit at your chosen bank, maturing on the agreed date.
Costs & taxes
| Item | Amount | Note |
|---|---|---|
| Withholding tax on interest | 15% | Deducted at maturity — the same rate that applies to T-bill and savings-account interest. |
| Minimum deposit | Varies by bank | Not independently re-verified against a specific bank this session — always confirm your bank's current minimum and rate before committing. |
Risk
Capital-preserving: the rate is fixed and bank-guaranteed for the term, but breaking the term early usually forfeits some or all of the interest — check your specific bank's early-withdrawal terms first.
Capital-preserving (government paper, bank deposits)
See it in the product
Sources
- Withholding tax on interest 15% — https://www.kra.go.ke/individual/filing-paying/types-of-taxes/individual-withholding-tax · retrieved 2026-07-10
- CBK weighted-average deposit rate 6.8% (May 2026 series) — used as the product's curated FD figure, not a specific bank's offer — https://www.centralbank.go.ke/commercial-banks-weighted-average-rates/ · retrieved 2026-07-09
Automated analysis for information & education. Not investment advice. For advice tailored to your situation, consult a CMA-licensed investment adviser.