You are using an outdated browser. For a faster, safer browsing experience, upgrade for free today.



These are some of the most common questions and answers about RSA Retail Savings Bond


An RSA Retail Savings Bond is an investment with the Government of South Africa which earns fixed, inflation linked or variable interest for the term of the investment.
No, these investments are specifically meant for individuals and cannot be bought by group schemes, social clubs, companies or any other juristic persons; only natural persons can purchase them.
The interest rates of the RSA Retail Savings Bonds are derived from the Government Bond Yield Curve. The yield curve reflects the interest rates over the various terms at which marketable Government Bonds/Securities are traded daily on the Johannesburg Securities Exchange (JSE), formerly the Bond Exchange of South Africa (BESA). The repo rate is the interest rate at which the SA Reserve Bank lends money to the banks on a day to day basis. Any changes to the Repo Rate will not necessarily influence or change longer term rates. The Government Bond rates or yield to maturities, from which the RSA Retail Savings Bonds interest rates are derived, are determined by market forces (e.g. supply and demand, internal and external economical factors etc.). The interest rates or yield to maturities of Governments Bonds/Securities are used as benchmarks in the interest rate market to derive other short to longer term interest rates by other financial institutions.

Depending on your financial situation you may either invest once off or as often as you wish. Please note that when investing the Fixed Rate and Inflation Linked RSA Retail Savings Bonds at different times each investment must be the minimum amount indicated on the Terms and Conditions of each product. Each investment in the Fixed Rate and an Inflation Linked Retail Savings Bond will have its own maturity date and interest rate.

On the RSA Retail Savings Top Up Bonds you may top up your capital at any time during the term of the bond with the minimum amount indicated on the Terms and Conditions of the product.

RSA Retail Savings Bonds are lump-sum-type investments; you will not be able to add-on/top-up to an existing investment. Each time you invest, it will be a separate investment, though all recognised by one investor number.
No, you need to apply each time you invest in the RSA Retail Savings Bonds for reconciliation purposes. If you don’t apply we will have money in our account and no application with which to match it.
The use of cheques has been discontinued from 31 December 2020, therefore you cannot make any payment by cheque.
No, the RSA Retail Savings Bonds have been on issue since May 2004 and have no expiry date. However, the National Treasury can, at its absolute discretion, choose to withdraw/discontinue the issue of RSA Retail Savings Bonds. The investments that are still active at the time of such an event will remain active until their individual maturities elapse.
When you invest in the Fixed Rate RSA Retail Savings Bonds, any person has the option to have the interest paid out on a monthly basis.
If you invested in one month, your first interest payment (including accrued interest) will be paid on the last day of the following month and thereafter on the last day of each month.
No, you can only choose one interest option per investment. You can however choose different interest options for different investments.
•  The RSA Retail Savings Bonds will no longer offer the option to nominate beneficiaries.
•  Parents and/or guardians may continue to provide the minor’s bank details. In addition, parents and/or guardians are now permitted to submit their own bank details to activate their minor’s investments.
•  The real interest rates on the Inflation-Linked Retail Savings Bonds are currently floating. The rate shall now remain fixed for the full investment term.
•  The early withdrawal penalty on Inflation-Linked Retail Savings Bonds will now be imposed on all interest earned on the early withdrawal amount, which is, the withdrawal capital, the fixed interest (as per indicated inflation linked bond changes) and the inflation adjusted capital amount.
As these investments are for the general public, and specifically for individuals, they are offered as a savings incentive, and no distinction, prejudice, or bias against any level of income is made or implied by the government. Therefore, no matter how little or how much you invest, all will earn the same rate of interest.
Not directly; as minors and non-income earners, children do not pay tax. For the latest update and more information about income tax for individuals and donations tax, please contact your tax advisor or the nearest South African Revenue Services Office.


Investors are discouraged from accessing their investment at any time that they choose. Withdrawals are permitted after 12 months of investing subject to a penalty fee.

Any individual who is a South African citizen with a valid Identity Number and who has a South African Bank account. There is no age restriction on who can own a Retail Savings Bond, although parents must sign the consent clause on the application form for children under the age of 18 years.

For Fixed Rate and Inflation Linked RSA Retail Savings Bonds only individuals can invest and cannot be bought by group schemes, social clubs, companies or any other juristic persons.

For the RSA Retail Savings Top Up Bonds both individuals and informal groups can purchase the bonds.

How do informal groups participate in the RSA Retail Savings Top Up Bonds?

Registration documents

  • 1 Top-up Application Form
  • 2 Certified Stokvel / Informal group official constitution
  • 3 Bank stamped Stokvel / Informal group bank account statement / proof of bank account
No payments will be made to a third party bank account.
No, the Post Office only handles the original registration and all applications thereafter. Any other administrative issue is handled directly by the National Treasury.
No, the interest option can only be changed before the 1st interest payment date.
No, all amounts payable by National Treasury under the RSA Retail Savings Bond will be paid into your personal bank account. No payments will be made to any third party.

The Fixed Rate RSA Retail Savings Bonds offer a fixed interest rate over the 2-year, 3-year or 5-year investment period. The fixed rate will be reset every month if necessary. The rate applicable for the month you invest in will be the rate that applies over the entire term of the Fixed Rate RSA Retail Savings Bond.

Investors have the option to receive their interest payments semi-annually, monthly or reinvest the interest at the same interest rate.

The Inflation Linked RSA Retail Savings Bond simply means that the money you invested will grow with inflation (CPI) and your capital will be adjusted accordingly every six months.

On interest payment dates, which are 30 November and 31 May of each year, an interest payment will be made to the investor and calculated on the inflation adjusted capital. For example if you invested R10 000 and for the first six months your inflation adjusted capital grows to R10 500 interest will be calculated on the R10 500. Over the next term (six months) your R10 500 will be inflation adjusted again and could increase for example to R11 000 depending on the Consumer Price index (CPI) rate. The interest payment for the next six months will then be calculated on R11 000 and so it will continue. On maturity the inflation adjusted capital as on the maturity date will be repaid in full.

The interest payable every six months is based on a real interest rate, which means that the rate applicable at the time that the investment is made shall remain fixed for the full investment term. The real interest rate is derived from the Government Bond Inflation Linked yield curve as traded on the Johannesburg Securities Exchange(JSE) formerly the Bond Exchange of South Africa(BESA). A real interest rate is the difference between annual rates and the inflation rate. The Government Inflation Linked Bond yield curve, depending on market conditions, should reflect the prevailing real interest rate in the market.

The important thing is to remember with the Inflation Linked RSA Retail Savings Bonds is that your investment is protected against inflation and will always outperform inflation by the fixed real interest rate.

Investors will consider inflation linked bonds when the expectations for rising inflation are high. If inflation is decreasing, it is better to fix your rate.

Inflation linked bonds are well suited for savings of longer terms such as saving for retirement, or saving for your children’s education.

The National Treasury is able to offer the protection of the inflation linked bonds to the South African public. Assurance companies have been buying these types of bonds for many years on the bond market from the National Treasury for their clients. Now investors (members of the public) have the opportunity to buy inflation linked bonds directly from the National Treasury with no additional costs.

No, RSA Retail Savings Bonds are non-tradable securities.
No, RSA Retail Savings Bonds are non-tradable securities thus you cannot transfer your rights to any third party.
As the investments will finance a part of the budget deficit, the funds will be used to fund general government priorities, such as for education, health, and infrastructure.
There are no administrative fees payable.

Investors who have invested in the fixed rate RSA Retail Savings Bonds may "Restart" their investments.

A Restart is a new investment option that has been introduced for the fixed rate RSA Retail Savings Bonds, which will enable investors to earn the best interest rate over the life of their investments, that is, an investor will be allowed to Re-Start their fixed rate RSA Retail Savings Bond, at prevailing interest rates, once their investment is older than 12 (twelve) months.

To qualify for a Restart the following conditions must be met:

•  The investor agrees that this is not a withdrawal of their investments from the RSA Retail Savings Bonds. The prevailing Terms and Conditions shall apply; and
•  No merging of investments shall be permitted, that is, if an investor has 3 (three) active investments, they cannot opt to have all 3 (three) Re-Started into a single RSA Retail Savings Bond investment.
•  Restarts are processed daily, from the 1st to the 20th of each month. Any Restart application form received after the 20th of the month will be processed in the following month. The interest rate of your new Fixed Interest Rate Retail Savings Bond investment shall be the prevailing interest rate on the day the Restart is processed (New investment date).
•  All investments that are Restarted to pay interest monthly, shall have their interest paid in arrears, that is, investments Restarted this month, shall have their interest paid at the end of the following month.

Top Up Bonds is an RSA Retail Savings Bonds product issued by National Treasury which will allow individuals and informal groups to invest smaller amounts and add on to the capital invested. Investors may start their investment with any amount above R500.00 and top up with as little as R100.00 at any time.

The introduction of a Top Up Bond originates from several requests received from the public during promotion campaigns across South Africa to introduce a product that will not only enable the top up of an existing investment but also cater for investments under R1,000.00 It is believed that the RSA Retail Savings Top Up bond will cater for the lower income market segment.

•  Individuals and Informal groups like Stokvels may invest in RSA Retail Savings Top up Bonds.
•  Register once and top-up anytime.
•  The investment term will be 3 years and your interest option will be capitalised.
No payments will be made to a third party bank account.

The Top Up Switch functionality allows an investor to switch a portion or a full amount of their balance in the Top Up Bond to either the Fixed or Inflation Linked RSA Retail Savings Bonds once the capital amount reaches a minimum of R1,000-00.

The Top Up Switch functionality will have the following conditions:

•  The balance on the Top Up Bond should be R1000-00 or more;
•  An investor should be able to exercise the switch option during the term of the Top Up Bond; and
•  Should the investor want to switch a portion of their capital in the Top Up Bond, a minimum amount of R250-00 must remain as a balance in the Top Up investment.

When reinvesting your RSA Retail Savings Top Up investment for another 3 year RSA Retail Savings Top Up investment, a once-off incentive of 20 basis points (0.2%) will be added to your roll over amount. The Coupon Rate shall be the prevailing coupon rate on the new investment date.

The payment reference will be provided upon application.
NB: examples of payment reference
Top –Up (payment reference starts with a TU)
Fixed Rate and Inflation- linked (payment reference starts with a PO, WW, NT or TA i.e. the Investor number)

It is the responsibility of the investor to make sure that they use the correct payment reference when making payment.