Is your bank robbing you?

Do I hear a resounding yes? YES!!! I know you hate your bank; we all do. Whether or not we have a real reason to, we still hate them anyway. What are they paying you for the money you keep with them nowadays? In Singapore, we make use of decimal places - because our interest rate is not even 1% per annum! In Japan, no, I dare not even begin. In the US, probably around 5% - but have we forgotten that the dollar isn't exactly the most healthy specimen around? This really depends on the country you reside in - it may not be the best bet to place your savings in the currency of that country. I know it is certainly not the case for Singapore - I get a few pathetic cents for interest every month while paying out dollars for what banks call "maintenance fees". Is there justice in this? Just looking at the factor of interest rates alone, I would urge that you convert your money to a currency that offers higher rate and keep it that way. I have 3 recommendations - the Australian dollar that pays around 6%, the British Pound that gives roughly 5%, and the New Zealand dollar that offers 7ish%. This may sound complicated if you are new to this whole thing. The easiest way for you to start would be to place a simple time/fixed deposit. Look for those that are foreign currency denominated so that your dollars would be converted to that currency of your choice at the on start, and earn interest rate applicable to that currency. For me, if I put my Singapore dollars into e.g. the kiwi, then I would get 7% p.a. instead of the<1% I am currently "enjoying". Sounds all good? It is. But that is a catch - what if the value of your second currency drops against your primary currency? Then it would be one tough cookie - you can either continue holding your money in the second currency till things brighten up, or choose to run. That's why if you want to take my suggestion, make sure it is money you are not likely going to need for quite some time. In the long run, I do believe that your money would be better protected and grow faster this way.