Twelve-Certificate Method vs Ladder Deposit Method

The ladder deposit method is particularly suitable for family funds, retirement funds and large savers with stable income. If you have a large principal amount already held and need to maintain a stable cash flow, this method can help you gradually mature and generate interest on a rolling basis.

The twelve-certificate method is applicable for salaried workers, students and young savers with a fixed monthly income. If you have a fixed monthly balance but can't come up with a large amount of principal at one time, this method can help you gradually accumulate and establish a saving habit. Starting from the 13th month, there are monthly certificates of deposit that expire, preserving liquidity and generating interest on a rolling basis.

If you are certain you won't need the money within 1-3 months and the short-term fixed deposit yield is significantly higher than the demand deposit, a short-term fixed deposit is worthwhile. However, if there is any uncertainty, the flexibility advantage of notice deposits is often more obvious. The key is to honestly assess your own needs for funds.