The days of high interest-bearing fixed-deposit accounts may seem long gone, but there is hope for those savers looking for somewhere safe to store their cash.

Do you remember a time when you could dump cash in a fixed-deposit account paying 5% interest over a two-year period? No. Well, the idea might seem like a distant memory but back in the boom fixed-deposits, where you leave a sum of cash with a bank untouched for a set period of time, did exist.

Today customers are lucky if their deposit account has an interest rate with a 1 in the front – and you may even see rates as low as 0.045% or 0.023%. And believe it or not, some banks even advertise rates of 0.00% on fixed deposits. That’s a big drop from the pre-crash days when banks bandied around rates as high as 6% or more.

As a result depositors looking for higher returns on their cash balances could be in for a rocky ride. But before you turn your back on the deposit account as a credible way to save, hope is in sight. For those looking for a low-risk, short-term option, fixed deposits still have some value – after all this is the best savings rate a bank can offer you.

It’s true that you are not going to make a lot of money but your money will be safe and you will make a return – admittedly not a big one – but a return is better than a loss, right? There are enough investment options out there that will deliver no return whatsoever, and even more that will see you in negative equity so fixed-deposit accounts are perfect for those wanting to store their money for a shorter period of time.

Shop around for the best rates and you will find some banks are now offering slightly better returns on fixed deposits.

Emirates NBD’s 36-month RegulaReturn Fixed Deposit, for example, has a return of 1.75% and the option to receive monthly, quarterly and half-yearly interest rather than waiting until the end of the term.  And CBI is offering 1.5% on its 12-month fixed deposit account. There are no fees on this account as long as a minimum balance of AED10,000 is met and there is also the option to open the account in multiple currencies.

Remember you can get fixed-deposit accounts with terms of three months up to five years. But make sure you are aware of how the account works. Typically, once the deposit is made, you cannot add to the amount you have deposited or make any withdrawals before your term is completed – hence the term fixed-deposits.

While some banks will allow penalty-free withdrawals, others could penalise you with some penalties as high as 15% of the interest rate applicable for the period the fixed deposit has been maintained. The idea of the penalty is to encourage you to leave your money untouched.

Also, if you decide to lock your money into an account with a longer term, while the interest rates seem good now, they might get even better. Then you are stuck with a lower rate but like any investment or savings plan – that is the risk you take.