erm, does anyone here know a rough idea on how a foreign currency term deposit works?

i'm trying to compare the perks (and cons) as opposed to, putting MYR (by converting it to AUD first of course) in australia.

This post has been edited by nokia2003: Mar 14 2010, 04:55 PM

well, we will just assume that he has the ability to repay the 100 grand.

it is still a good deal if your interest earned can cover another loan's interest.

5 percent (assuming it is for short term) is pretty darn good actually.

you want some a little more?

head to countries like australia and invest in their term deposits then.

i'm tentatively earning 6 percent on average on my savings accounts

actually if you want to have a good return on your savings/current account (non-FD), you should really consider Islamic banks.

the profit return on my bank Islam ATM card linked account is really good as compared to my Maybank one.

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Added on June 15, 2010, 5:42 pmof course, i acknowledge that it does take some persuasion for non-Muslims to open an account.

I have one because I used to study Islamic banking & finance.

This post has been edited by nokia2003: Jun 15 2010, 05:42 PM

well in all honesty, anything better what my maybank ATM-linked account, will be sufficient to raise my eyebrow.

besides, i have moved most of my savings to australia temporarily until graduation to accrue a better return (i'm averaging about 6% for non-FD accounts)

will convert back to MYR once i graduate.

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Added on June 15, 2010, 9:52 pmif you guys are sceptical about the idea of islamic banking.

maybe you can opt to try Standard Chartered Saadiq (its return is on par with bank islam's)

i have always persuaded my best friend to an islamic banking account, but unsuccessful.

when i told her that Standard Chartered, now has an islamic banking division, she agreed to open one.

This post has been edited by nokia2003: Jun 15 2010, 09:52 PM

yup. my fees were paid at that rate!

IMHO (not sure how much my finance major counts ), the AUD is unlikely to appreciate pass the 3.0 mark for the time being.

interest rate halt by RBA will dampen its rise a little; though I can't speak the way the same for MYR.

MYR isn't featured much in the global news.

LOL but unless you are a very industrious student, it is unlikely that you can accrue more than AUD6000 of income per financial year.

hence having said that, TECHNICALLY international students' interest earned from bank accounts are tax free.

are you sure that it is 7% for australian banks?

even for an australian resident to obtain such a rate, one has to actually commit approximately 60 months.

if you don't mind, could you please drop some names for the banks please.

i would be more than interested to find out!

thanks

erm, a simple mathematical analysis, will tell you that, 8% return of MYR or another currency will be the same?

the only fluctuation will be the potential exchange risks and perhaps some taxation by the local government.

This post has been edited by nokia2003: Jun 23 2010, 10:12 PM

nothing is risk less.

erm don't mean to be a nag, but you should always factor in exchange rate fluctuations, annual inflation rate & other potential influences.

especially since it's a norm for a person to peg a term deposit for longer duration.

that's why most of my Singaporean friends (not sure about yours) don't put their money in Malaysia despite the fact we are only a bridge away and our rates are much better than ours.

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Added on June 24, 2010, 10:21 amI have funds in Australia only because I'm furthering my education here.

hence whether it's favorable or not, I would still need AUD for obvious reasons

This post has been edited by nokia2003: Jun 24 2010, 10:21 AM

there is a limit of working hours to your student visa conditions.

furthermore if you can work full time, either you are a marvelous student or just plain not studying.

anyway, my statement applies to the general student population. there are of course exceptional ones.

congrates on your migration!

if it is 3.4% on monthly (and even quarterly basis), i would already tag it off as a ponzi scheme.

but MilesAndMore is right