Fixed Deposits

Fixed deposits (FD) are a financial instrument from banks providing FD holders with a higher returns than a normal savings/checking account.

Updated: Oct 5, 2018

 

Fixed Deposits

  • FD rates in Malaysia are around 3-4% (at time of writing) and determined by the individual bank.
  • FD rates are affected by BNM base rate which is different depending on the bank.
  • FD can be placed on auto-renewal (see FAQ below).
  • FD interest can be deposited into another account (i.e. savings account) OR included into the FD for renewal.

 

Types of Fixed Deposits

FD vs eFD

  • FD: over the counter transactions
  • eFD: most banks now allow you to place/uplift FD online via internet banking

Conventional vs Islamic FD

  • Conventional: a predetermined interest rate given between depositor and bank.
  • Islamic: following Shariah principles whereby there is no interest but based on profit sharing between buyer and seller.
  • For wholesale returns, Islamic FD must be for a Shariah compliant business.
  • Early withdrawal is allowed with rebate for Islamic FD and allowed with penalty for conventional FD.
  • Returns are fixed and agreed upfront for both conventional and Islamic FD.
  • Non-Muslims can use Islamic FD products.
  • Generaly there are no distinct benefits for opting for Islamic or conventional FD.

 

Which Fixed Deposit to choose?

  • Check what FD gives you the best rate for your duration. The longer the duration, the better the rates typically.
  • Typically 12 months is a good duration and most promotional rates are for 12 months as well.
  • If you may need your funds urgently, you may consider a shorter term duration (i.e. 1, 3 or 6 months).
    Note: shorter duration may have higher minimum FD deposit requirements and lower returns
  • Suggested for eFD for increased flexibility and time savings versus over the counter.
  • Conventional rates are guaranteed. Islamic rates are non-guaranteed but will you will not be penalized for early uplifting.
  • If you have large sums (typically 100k and above), you can negotiate with your banker for better rates.
  • If you are opening a joint account with your spouse, child or parent, check with your bank to make sure there is a survivorship clause which enables you to lay claim on a jointly owned asset.

 

Best FD Rates

  1. Bank Rakyat: 4.50% 11 months | 4.30% 7 months (min 10k; until Oct 31, 2018)
  2. CIMB: 4.40% 6 months (min 10k; until Dec 31, 2018)
  3. RHB: 4.35% 13 months | 4.10% 7 months | 4.03% 5 months (min 10k; until Dec 31, 2018)
  4. Bangkok Bank: 4.30% 12 months | 4.15% 9 months | 4.10% 6 months | 3.90% 3 months (min 5k; until Dec 31, 2018)
  5. Public Islamic Bank: 4.30% 12 months | 4.10% 6 months (min 10k; until Oct 31, 2018)
  6. Public Bank: 4.20% 12 months | 4.00% 6 months (min 10k; until Oct 31, 2018)
  7. Hong Leong Islamic Bank: 4.20% 12 months (min 10k; until Oct 31, 2018)
  8. OCBC: 4.20% 12 months (until Oct 15, 2018)
  9. Hong Leong Bank: 4.10% 8 months | 4.00% 6 months (min 10k; until Oct 31, 2018)

 

Private/Preferred Banking

  1. Hong Leong: 5.60% 3 months (min 100k + 50k UT PowerLink 8.88%)
  2. CitiGold: 4.88% 3 months (min 50k)
  3. HSBC Premier: 4.28% 6 months (with credit card/AmanahPerks application; min 50k)
  4. CIMB Preferred: 4.20% 12 months (min 100k)
  5. AmBank Priority: 4.08% 12 months (min 50k)
  6. RHB Premier: 4.05% 12 months (min 50k)

 

Senior Citizens

  1. MBSB 49’ners: 4.20% 12 months (min 1k)
  2. BSN Senior Citizen: 3.60% 12 months (min 5k)
  3. CIMB Big Plus for 50 Plus: 3.70% 12 months (min 1k)
  4. RHB Senior FD: 3.45% 12 months (min 10k)
  5. Public Bank: Base 3.45% 12 months (min 10k)
  6. Alliance FD Gold: 3.45% 12 month (min 30k)

 

High Yield Savings Accounts

  1. OCBC 360: up to 4.10% (More info)
  2. Maybank M2U Savers/i 2:10% (More info)

 

Maybank General Investment Account (GIA)

Maybank’s GIA-i is an investment account which gives your profit sharing returns at approximately FD rates. No PIDM protection. GIA no longer offers no penalty withdrawals (wef Aug 1, 2017).

 

CIMB Unfixed Deposit

CIMB unfixed deposit allows partial withdrawals in multiples of 1,000 prior to FD maturity date. PIDM protected. Early withdrawal penalties still apply. (More info)

E&OE. Please contact bank to confirm rates and other details.

 

Endowment

Great Eastern Life Assurance in conjunction with their 110th anniversary is offering a guaranteed 4.50% per annum endowment which effectively works very similarly to a Fixed Deposit. Contact your MyPF advisor or contact us online to apply.

  • Returns: 4.5% per annum
  • Duration: 24 months
  • Minimum placement: 15,000
  • Maximum placement: 100,000
  • Promotion end date: Sep 19, 2018

 

FAQ

  • Q: Are there any concerns on FDs?
    A: If your FD is on auto-renewal, it is considered as untouched money if passes 7 years and can be forfeited. (more info)
  • Q: What is the difference between a high yield savings account vs FD?
    You can put in & take out funds from a savings account at anytime with no penalties or affecting your returns %. The monthly interest will be based on your average account balance. Some “unfixed” FDs work in a similar way (but do check the T&C).
  • Q: What happens if I uplift (end) my FD early?
    For a short-term FD (3 months or less), you will lose all FD interest* for early uplifting. For longer term FD (above 3 months), you will lose ~50% of FD interest for early uplifting. (*Profit sharing for Islamic FD)
  • Q: Can non-Muslims use Islamic FDs?
    A: Yes, no restrictions.
  • Q: Can Muslims use conventional FDs?
    A: It is up to the individual.

 

More Info

 

Share and discuss on Fixed Deposits

28 thoughts on “Fixed Deposits

  • July 17, 2017 at 2:23 pm
    Permalink

    Hi!
    Can you share the highest interest rate for 12mths to 36mths pls ? Can be FD or private/preferred banking.
    I can qualify for min amt and senior citizen and would like to make decision by today, latest tomorrow before noon on which bank to choose.
    Possible to let me know today ?
    TQ

    Hi Jamie! Check out the latest promotional rates freshly updated (to the best of our knowledge). All the best in getting a great FD rate at a bank you trust.

    Reply
  • July 22, 2017 at 5:09 pm
    Permalink

    Please let me know the best FD rates for tenure 3 months. I am a senior citizen

    Hi Nithiyananthan, promotional 3 month tenures available only for preferred/priority banking. Can check AmBank Am 50 Plus for seniors. If you can deposit for 6 months or longer, can consider MBSB 49’ners.

    Reply
  • July 24, 2017 at 12:54 pm
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    Why do not you include the fixed deposit rate of bank rakyat? I think Bank rakyat has the best rate in town.

    Hi Keong, Bank Rakyat’s FD rates are pretty good although below the other promotional rates if comparing 12 months. With that said, we have added Bank Rakyat to the list 🙂

    Reply
    • August 7, 2017 at 9:39 pm
      Permalink

      Go and nego with BR

      Good suggestion Ming, You can always negotiate especially if you have a significant sum

      Reply
      • August 29, 2017 at 1:46 pm
        Permalink

        Normally how far can we negotiate with the bank for a better fd rate if we have a significant fund > 100k?

        Hi Ming, It’s very much dependent on the bank. You can get approximately 0.05% – 0.5% higher

  • October 5, 2017 at 1:17 pm
    Permalink

    Hi, I like your website,even the useful suggestions.
    Now I have a question ,as a association,do you have any good suggestion for the FD(bank,interest rate ..) with min 100 k?

    Thanks.

    Hi LC Tan, Glad you like the MyPF site! You can check out Alliance bank FD which is offering up to 4.20% for min 100k.

    Reply
  • October 26, 2017 at 2:28 pm
    Permalink

    Can plse update FD rates, esp for new funds. Many promos highlighted already expired.

    Hi Lim, many promotions were until mid-October only. Updated!

    Reply
  • October 27, 2017 at 6:22 am
    Permalink

    Hi, Thank you for the very useful tips and tricks. I like your website a lot. I have a request, could you include the online FD for banks in Malaysia? This is because a lot of time we do not have luxury time to go to the bank to queue up for hours to open the FD account over the counter, and some need CASA account etc. I had bad experiences where some banks told me they don’t have the kind of promotion as advertised on the internet after hours of waiting. Thank you and have a nice weekend.

    Hi Jane, glad you like MyPF. Thanks for the suggestion. We will try to indicate online FD/eFD availability. It’s always good to call up the bank branch to confirm the FD promotional rates are available to avoid disappointment.

    Reply
  • October 31, 2017 at 2:42 pm
    Permalink

    Pls advice the best fd rates for 5 yrs with amt 10 millions. Prefer to have interest pay out in monthly basis. Thanks in advance

    Hi Wmws, with a large amount you will want to contact banks/financial institutions directly to ask on specific arrangements.

    Reply
  • November 3, 2017 at 12:10 am
    Permalink

    Your Am bank FD rate is incorrect. It is 4.2% for 12 months, monthly interest for senior citizen. They have other promo with shorter periods.

    UOB is also offering 4.2% for 12 months. Monthly interest.

    Are you sure Citi bank still offers 4.88% for 3 months?

    Hi GSC, Thanks for sharing with us. We have updated AmBank rate (the official rates published on AmBank site appear to have not been updated since 2016).

    UOB Golden Savers has been revised (down) to prevailing FD rates effective May 1, 2017. Please do share with us if you have any other information & we can update.

    According to the Citibank site, the Citigold 4.88% is still being offered until Dec 31, 2017.

    Reply
  • December 1, 2017 at 4:11 pm
    Permalink

    Maybe you can include Hong Leong Bank 13 months online fixed deposit/-i at 4.20% p.a. Only from 1 – 7 December 2017. However, similar fixed deposit promotion available every early month after that.

    Hi Keong, thanks for the suggestion. Added!

    Reply
  • December 14, 2017 at 6:16 pm
    Permalink

    Hi,
    Very interesting website, thanks.
    I want to ask about this point:
    “Private/Preferred Banking

    Hong Leong: 5.92% effective rate 2 months (min 100k FD + 50k UT PowerLink 8.88%)”
    How can we apply and reach the 8.88%?
    And what does private means?
    Thanks

    Hi Dr Mo, glad you find mypf.my interesting. The 8.88% rate will be given for the FD portion. You can check the following link on HLB for more info.

    hlb.com.my

    Reply
  • January 2, 2018 at 12:44 pm
    Permalink

    FYI, Current UOB FD Rate 4.08% for 12 months, 3.95% for 7 months and 3.7% for 4 months until end January.

    Thanks for sharing Lucan!

    Reply
  • January 2, 2018 at 9:09 pm
    Permalink

    Hi,
    Can I ask you whether interest from bank fixed deposit taxable for non-resident/ foreigner?
    Thanks.

    Hi Keong, Bank FD interest is non-taxable for non-resident/foreigners as well.

    Reply
  • January 8, 2018 at 1:49 am
    Permalink

    Finally found what I was looking for ! Great article. Well done.
    But would it is 8/1/18 now and would appreciate if you could update the latest FD rate as per today.
    And also is there a penalty usually for early withdrawal of funds? If so how much?

    Thank you!

    Hi Sunny, Thanks & glad you found what you were looking for! We update usually once to twice a month. Good suggestion and we have added info on early withdrawal penalty.

    Reply
  • January 9, 2018 at 8:26 am
    Permalink

    Hi
    If I would to have 2 Fixed Deposits
    that would be expiring this 12th of January and 16th of February next month in Maybank. If I would to stick to the same Maybank;

    1. Which FD can offer the best rates preferably for 12 months duration (but not fixed)?
    2. Any new FD that has been newly launched recently that offers promotional rates or more attractive rates?
    3 Is the rates negotiable if I invest a lot? Is there any difference if I am a Maybank Aspire member?

    Please let me know your answer within these few days ya.

    Happy New Year. Thanks

    Happy new year Cwhook.
    1. You can try checking out a high yield savings account which is unfixed like OCBC 360 at 4.1%
    2. The latest rates we know of are as above. Unfortunately Maybank is yet to announce any new promos after the last one ended on Jan 7.
    3. You can negotiate if you are placing 50 or 100k above. Sometimes there are better rates/promos for preferred/priority banking customers.

    Link: OCBC 360

    Reply
    • January 9, 2018 at 10:28 am
      Permalink

      Thanks for your lightning fast reply.

      1) Why this OCBC FD among all the banks FDs? Any other banks’ FD are offered at a higher rates?

      2) Are you working in OCBC…haha?

      Thanks and cheers 🙂

      Most welcome 😉
      1) OCBC 360 high yield savings account offers the highest rates that we know of comparable to most FD promotions without the worry of hunting for promos/rates. It’s capped at 100k though. Others which are similar would be Maybank’s M2U savers/i or CIMB’s unfixed deposit.
      2) No we are not (although if you signup through us we do get a small referral incentive). We just like and use OCBC 360 ourselves 🙂

      Link: CIMB unfixed deposit

      Reply
  • January 9, 2018 at 1:05 pm
    Permalink

    1) I intend to invest more than RM 100K, so OCBC is out then 🙁 I am afraid (unless you say otherwise) I emailed Maybank customer service and they do have a FD rates that almost the same and shorter period which is GIA-i as shown here –> http://www.maybank2u.com.my/mbb_info/m2u/public/promoDetail.do?channelId=PRO-Promotions&cntTypeId=1&cntKey=PRO01.18&programId=PRO01-Accounts&chCatId=/mbb/Personal/PRO-Promotions

    2) What’s the FD rates for CIMB Unfixed Deposit for 12 months?

    1) Maybank GIA is pretty decent especially with the current promotional rates. A note though that it is technically an investment thus non-guaranteed returns, capital and no PIDM protection.

    2) CIMB unfixed deposit without any promotions is at 3.10% for 12mths. Last year’s promo rates were as high as 4.10%.

    Reply
  • January 9, 2018 at 1:16 pm
    Permalink

    By the way, your link for ‘CIMB Unfixed deposit’ above doesn’t seems to work –>

    It said “Oops, the page can’t be found’

    Links fixed. Thanks.

    Reply
  • January 19, 2018 at 2:44 pm
    Permalink

    Maybe you can include Hong Leong Bank FD: 4.30% 12 months | 4.10% 6 months (until Feb 28, 2018).

    Updated. Thanks Keong!

    Reply
  • January 23, 2018 at 9:01 am
    Permalink

    UOB 4 months 3.70% 6 month 4.00% 12 months 4.20% till 31 January.

    Updated! Thanks Lucan.

    Reply
  • February 2, 2018 at 9:44 am
    Permalink

    Can I know how mypf do the calculation in the event that the bank having step up rate say 3.2% for 1-3 months, 3.8% for 4-6 months and others? How do you list it? The bank marketing is quite impressive but I am unsure whether it is benefiting us.

    Please comment.

    Good question. Some banks do list the effective rate. Else it can be calculated using a financial calculator or excel. For step-ups, we list the effective rate for a fairer comparison.

    Reply
  • February 22, 2018 at 4:31 pm
    Permalink

    On 21 February 2018, Sun Biz did provide the full list of latest FD rates. Hopefully, it will help your website.

    Thanks Lim, will check it out. We try to compile promotional FD rates though that may be helpful for folks looking to get better FD returns.

    Reply
  • April 5, 2018 at 11:28 am
    Permalink

    May I know which bank now offer the best eFD rate?

    Hi Andrew, eFD rates will be similar to FD rates. Many of the FD promotions are applicable for eFD too. Best to contact the bank to confirm if can be done online or needs to be over the counter.

    Reply
  • April 5, 2018 at 2:35 pm
    Permalink

    Can u shared more the differences in Islamic FD versus conventional FD.

    Hi Ch Siah, thanks for the suggestion. We have updated the article with expanded info on Islamic vs conventional FD.

    Reply
  • May 26, 2018 at 5:50 pm
    Permalink

    Hi, Pls recommend best rate Islamic FD for 3month, amount rm20k..

    Hi Q, most of the FDs are available for conventional and Islamic FD. Suggest check above listing for 3 months available FD promotions and contact the bank to confirm availability.

    Reply
  • June 12, 2018 at 3:35 pm
    Permalink

    Recently some people say that non-residence Malaysians (Malaysians staying in other countries as permanent residence, for example Singapore Permanent Residence) are not entitled to promotional FD rate.
    Is it true for all banks or certain banks only?

    Hi YS, it depends on the bank promotional FD’s terms & conditions. The fineprint will state whether Malaysian and non-Malaysian Residents qualify as “Eligible Customer(s)”.

    Reply

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