i thought is 2% now..

Depending on which bank la.. Some banks higher some banks lower.. not all banks will be the same but anyways it should be around 2.5%.

The norm now is 2% if it's for less than 3 months. 2.3% if less than 12 and 2.5% if locked in for a year.

Thanks for the replies. Gonna check with bank why they pay me few cents less. But don't know why I could not submit online feedback to them now. Will try again tomorrow or when I drop by their branch.

i think your statement was no true right now...

i have 2 eFD in my maybank2u...
first eFD 3.5% (applied mid of 2008),

then apply second eFD is 1 is 3.0% (applied early of 2009)
but first eFD no reduced to 3.0% along...

but i checked both of the interest rate just now...
both become 2.0% ...

thought the economy recession coming?
usually bank will offer better rate right? to ensure that they can utilize our money can be invest...

The downward revision of FD rate corresponds to the reduction of the BLR.

97/98 recession, managed to hit 8%+ for FD and 10%+ BLR...
weird that 08/09 recession were upside down...
any clues about it?

I wonder if the FD that was previously placed b4 the reduction of the interestion will continue to bear the same interest as previously?

Once the FD renewed, it'll be based on the new rate no matter what's the old rate previously

Well, this time around is totally difference because just a simple question where the bank can invest? Stocks? Property? Commodity? Insurances? bonds?

the whole capital market is in the mess. The US in deep trouble (I guess some who hate US every much should be celebrating, "US is an evil!" "Boycott US!" Congratulations! dreams come true!).

Nowadays, bank avoiding you all to put in money, because your money in the account is their burden. They need to pay you interest. No income generated. They rather want you get loan from them. That's why for last 10 years, bank very keen on credit card, housing loan and etc. All the product is you paying them interest. Bank need to answer to their boss, the shareholder on the capital return or dividend. Did you notice now bank try to minimise their cost, putting all machine rather than teller. Teller is a cost to them, i.e bank benefits and so on. They most of the bank want sales people and create a lot of marketing company to run the sales. So, these people cannot enjoy bank benefits. (Another way of reduce cost).

Start having ridiculous charges. ie. if you saying less than RMXXXX, they will charges you admin, processing fees (whatever name they like to use). Need introducer to open an account, must have employment letter and so on.

Why interest rates is decreasing? To increase the money flowing into the market i.e want people to spend/invest. (need a period of time to see the results, works or not, I dunno )
Imagine everybody is keeping the money and not spending/invest.

=> companies less business
=> less business => no increment, no bonus, retrench
=> people earn less
=> more people not spending
=> companies no business
=> companies close down
=> unemployment.

Just a basic example. hahaha Any sifu out there can enlighten me if I am wrong.

This post has been edited by trainee06: Mar 25 2009, 01:48 PM

Just to add, why 1997-1998 interest rate sky-rcoketing, because at that time Asian currency was under attacked by hedge fund and most Asian countries were short of foreign currency reserves to withstand the massive sudden outflow of their currency which can bankrupt them, so in order to attract more fund inflow, they need to increase the interest rate.
Also those under IMF aid countries, interest rate increase was part of IMF's "advice".

This post has been edited by cherroy: Mar 25 2009, 01:53 PM

one of the factor is liquidity.. what was different then and today is that, there's ample of liquidity in the country now. so much so that banks can generously increased their provisions to offset foreseeable ill performance down the road.

money management is a very interesting subject.. how the inflow/outflow of money affects fiscal policies.

what you've illustrated is overly simplistic.. to begin with, spend some time to understand how a retail bank operates (as opposed to other financial entities)..

it's not entirely correct to say that deposit money to a retail bank is a burden.. (where do you get this silly idea in the first place?). you may've looked at it on the perspective of revenue margin alone to hatch this idea, but a deposit from a customer serves more than just a burden/deposit..

the lender(aka bank) relies on leveraging inorder to lend out money. bank can't simply just create money out of thin air and lend it out. federal regulations requires a statutory provisioning or an amount of money set aside in order to secure this lending to the customer..

in summary.. without a single deposit, a bank can't lend out money.

Thank you for enlighten me!

This post has been edited by trainee06: Mar 25 2009, 05:31 PM

maybe in simple can say like this...

our FD > deposit > bank > lend > customers

less interest from customers = less income for bank = less interest for fixed deposit...

correct me if wrong

how do i check my own fd online? with cimb and ambank?

This post has been edited by ssiapf: Mar 25 2009, 09:54 PM

For CIMB, it should be displayed under Account Summary.

wah so unfair. but the certificate clearly says 3% and how could they change it unilaterally?

This post has been edited by andyfriends: Mar 27 2009, 12:13 PM

the cert has a tenure date.. once the tenure expired, the new rate precede the old one printed on that piece of paper.
the auto renewal mechanism/option allows you to keep that out-dated cert in order to reduce cost of printing new certs..

but i asked Maybank..they told me, follow old rate