All the big banks give only 2.85% for 12-month FD placement. Affin Bank's 12-month FD yields the best at 3.30% and the second best in town are AMBank and RHB Bank at 3.10%.

This post has been edited by MilesAndMore: Jul 13 2010, 07:30 PM

Normal one. The Islamic one also gives the same rate.


Sure you can. I had one with HSBC Amanah (HSBC). My current Islamic Savings Account is from AMIslamic Bank (AMBank).

This post has been edited by MilesAndMore: Jul 13 2010, 07:44 PM

I suppose they are doing so in order to increase their net interest margin.

By the way, there is however one big foreign bank that offer a higher interest rate at 3%. It is HSBC. Surprise surprise !!!!!!! HSBC has three types of Time Deposit products :
1. Conventional Time Deposit offered through HSBC
2. General Investment Account-i offered through HSBC Amanah
3. Term Deposit Account-i offered through HSBC Amanah

They are paying out 3% interest for 12-month FD placement for their Term Deposit Account-i. The other two types of Time Deposit products yield only 2.85% just like the rest of the big banks.

Of course it is the bank's one. And ycs already explained the reason.

For the big banks ? Yes. That's the 12-month rate currently on offer.

Only a few banks offer higher interest rate. All rates shown below are for 12-month placement and total placement not exceeding RM1 Million.
- EON Bank > 3.00%
- AmBank > 3.10% (still is 3.10% if your total placement is more than RM1 Million)
- RHB Bank > 3.10%
- Alliance Bank > 3.10%
- Affin Bank > 3.30%


Nope. Not many people will put in 5-year FD, by the way. Most people will invest only for 12-month. There is a penalty if you want to withdraw before it matures.


Has anyone successfully opened a savings account with them ? Deutsche Bank and Bank of America do offer Basic Savings Account but it is not opened to the general public. I wondered if it is the same with Bank of China

This post has been edited by MilesAndMore: Jul 16 2010, 03:55 PM

Well, in order to place a fixed deposit with any banks in Malaysia, you must first have either a savings or current account with them. As for the T&C for Affin Bank's fixed deposit, it is pretty much the same as all other banks. So basically, just don't withdraw the money before it matures and you will get all the interest accumulated


Correct !

It means you can open this promo FD inside Maybank branch only.

It is considered low already compared to those industrialized countries. Anyway, there wasn't much difference when then BLR was at 6.75%.


That is no fixed deposit. That is just another endowment plan.

This post has been edited by MilesAndMore: Jul 24 2010, 10:33 PM

Way too many actually. Those are the people who just want a stable side income. UBS would have told you the same too. Besides, placing your money in FD gives you the maximum liquidity.

Negotiable Instrument Of Deposit


Per bank

Anyway, the chance for any commercial or investment banks in Malaysia to fail is highly unlikely. Don't think you guys have to worry too much about that. How the banks are governed here are very different from USA.

The average return per month is 2.905% for 4-month tenure. Please note that all the interest rates quoted are on per annum basis.

For RM10k, you'll get around RM96 when it matures.

Same as regular fixed deposit. Just that it is based on the Islamic law.

Affin Bank is offering 3.30% at the moment while AmBank and RHB Bank are both offering 3.10%. If the total placement in one single bank is more than RM1 Million, only the 1st RM1 Million will get the usual board rate. The rest of the money will be subject to tier-2 rate which is normally lower than the usual published rate. AmBank normal board rates (tier-1 rates) and tier-2 rates however, are exactly the same.

Every banks have different rules. Citibank for instance, will credit the interest earned from your 12-month tenure FD account to your savings/current account on a monthly basis. The minimum FD amount is RM50,000 if my memory serves me correctly.


In the case of AgroBank, the interest earned from your 12-month FD account will be credited into your account on a quarterly basis. The 3.4% rate is a per annum rate, not 3.4% per month or 3.4% per quarter.

Correct.

Correct !


The only risk is that when the bank goes bankrupt, you'll only get very little money back that is insured by PIDM. Anyway, you shouldn't worry about this as no bank in Malaysia is going bankrupt.


No. It is not exposed any rate changes until is it due to renew next.

Capital protected ?

Thought so. Don't have the appetite to digest such a risk yet.

Charge what ? Tax ? There used to be a 5% tax on the interest earned from FD totaling more than RM100,000 in a single receipt but this has been abolished a few years ago. So it means that even if you have RM100 Million in a single bank, there is absolutely no tax at all.

This post has been edited by MilesAndMore: Aug 24 2010, 08:31 PM