probably those banks offering only 2.6%pa are flushed with cash, or have alternative sources where they can get funds. thus not keen to attract more depositors.

in theory customers will just go to those banks offering 2.75% but in reality, there are a lot of other factors preventing them doing so - inertia, locked-in by other products, inefficient knowledge, blind loyalty etc. so these 2.6% banks will still get their share of depositors.

for me, very simple, i'll just switch to other banks and will encourage everyone to do so. anyway pbb has almost consistently offer the lowest rates for depositors, so no surprise there. their only "premium" all these years has been their "solid" image.

probably those banks offering only 2.6%pa are flushed with cash, or have alternative sources where they can get funds. thus not keen to attract more depositors.

for me, very simple, i'll just switch to other banks and will encourage everyone to do so.

anyway pbb has almost consistently offer the lowest rates for depositors, so no surprise there. their only "premium" all these years has been their "solid" image.

i am holding 80% of my net worth in cash/FDs now and probably for the next 1-2 years. i foresee there is double dip or asian asset buble crisis will happen in 2 years time. in the meantime, i am shopping for "special funding" if this happen and this will make my buying power increase 3-4 folds..

i am putting in FDs... nothing wrong man.. i know what i am doing.. 

FD cannot hedge inflation, no doubt about it.
Other investment like UT, shares, or whatever, probably can hedge inflation risk, but come with losing the initial capital risk as well.

Take example, if one invested in S&P500 or Dow Jones index ETF or index fund 10 years ago. After a decade, those investors lose out to FD depositors, because S&P500 gain nothing after 10 years, while FD even at a paranoid 3%, after 10 years without calculated the compounded interest, means 30% return.

So FD win in this case.

Basically, FD is not as bad as many people taught although it is bad be in term of inflation hedge or return but if choosing the wrong investment target or the outcome is not favourable, FD can beat those investment target as well.
FD beat gold investment in 35 years period history. FD lose out big time to stock market over 20-30 years, but if one invested in wrong stock, one still lose out the FD return rate.

What I want to highlight is that there is no easy way to hedge inflation or search for higher return rate.

Those invested in Citigroup, AIG years ago and many many more some others stocks, they might say to you, if got chance back to future, they rather put the money in FD.

I am not pro or against FD. Just to say FD is totally bad somehow not quite right either as above example shown, FD does beat some investment as well, this is true and hard fact.

Any expert in economy, as i am thinking below quetions

1. FD rate up, reflect economy recover, thus boosting share market

2. FD rate up, causing share market tumbling, as fund flow to FD

3. FD rate up, reflect inflation is up as well

4. FD rate up, and BLR will up as well, those borrowing money will have less spending, this economy moving down

what are the theory behind and in reality which are the facts...

is tat worth to put FD for 1mth??..coz i had saw their website wrote there..2.25% per mth..but mininum is RM5k..worth??..

is tat worth to put FD for 1mth??..coz i had saw their website wrote there..2.25% per mth..but mininum is RM5k..worth??..

Depends what you do with it. I have my emergency fund for 1 month automatic renewal for like many years already. This is to ensure that I can have access to the cash when ever I want. I don't think too much about the interest rate, up or down does not matter to me. 

Note that its 2.25 pa. Not per month

Current 1 month FD best rate is 2.25% while 1 year is 2.75%.  Full info at

http://malaysiapersonalfinance.blogspot.co...0-march-11.html

meaning you only get Rm9.37 per month

it is per annum or per month??...   as per 'mtsen' provide link is shown is per month ler..then PBB also shown in list as 1mth rate is 2.25%..how come they never mention as per annum??..

I want to know, if I open FD account at branch A, can I withdraw money at branch B after the tenure is end?