Opening a Fixed Account.

[Daniel]

I am thinking to open a fixed account in maybank. But there are certain which i don't understand.

FIXED DEPOSIT (w.e.f. 28 November 2005)
TENURE RATE
(% p.a.)
1 month 3.00
2 months 3.00
3 months 3.00
4 months 3.00
5 months 3.00
6 months 3.00
7 months 3.00
8 months 3.00
9 months 3.00
10 months 3.00
11 months 3.00


If i intend to put Rm 10000 into fixed account for let says 6 months, does it mean that after 6 months i will get an extra rm 300? or Rm 300 x 6 ??

[DecentMerson]

u will get 10000 X 3% X 6/12(number of months/12)

because it is 3 % per annum...

that would be RM150... and depends how they compound it too... if they compound it monthly(usually), u will get slightly more than RM 150...

[DecentMerson]

and it shld be called as Fixed Deposit (FD) account, or Term Saving account... (that's the 2 names i know)

[Daniel]

oic.... the banker told me that u will get 3% per month and i was so shock to hear it bcoz 3% per month will be a lot!.... Anyway the banker is a newbie i guess....

[chenchow]

oic.... the banker told me that u will get 3% per month and i was so shock to hear it bcoz 3% per month will be a lot!.... Anyway the banker is a newbie i guess....

It would be per annum (i.e. per year). I think FD for a year, would be 3.7%.

[masdie]

So, anyone know which bank has the highest interest rate for FDs?

ps: I've always been fascinated with banks, mainly because it deals with money. And I really like money.

[Maxforce]

u will get 10000 X 3% X 6/12(number of months/12)

because it is 3 % per annum...

that would be RM150... and depends how they compound it too... if they compound it monthly(usually), u will get slightly more than RM 150...

Unfortunately banks do not compound monthly unless you choose to place for one month with automatic renewal and to have the interest credited to the FD automatically. Else, its pa. - could be compounded pa though.
All the whole long list is something for us to see - short term interest rate over the long term interest rate - useful as economic indicator as well.

[DecentMerson]

u will get 10000 X 3% X 6/12(number of months/12)

because it is 3 % per annum...

that would be RM150... and depends how they compound it too... if they compound it monthly(usually), u will get slightly more than RM 150...

Unfortunately banks do not compound monthly unless you choose to place for one month with automatic renewal and to have the interest credited to the FD automatically. Else, its pa. - could be compounded pa though.
All the whole long list is something for us to see - short term interest rate over the long term interest rate - useful as economic indicator as well.

maybe it is different back home than in the states... while elaborate more on this in a bit... have a class to attend

[Maxforce]

banking system in different countries may have different policies e.g. Japan actually charge depositors instead of giving them interest!!! 8O 8O
But it will be interesting to know about the banking system in US. All ears here!!! :lol: :lol: :lol:

[DecentMerson]

u will get 10000 X 3% X 6/12(number of months/12)

because it is 3 % per annum...

that would be RM150... and depends how they compound it too... if they compound it monthly(usually), u will get slightly more than RM 150...

Unfortunately banks do not compound monthly unless you choose to place for one month with automatic renewal and to have the interest credited to the FD automatically. Else, its pa. - could be compounded pa though.
All the whole long list is something for us to see - short term interest rate over the long term interest rate - useful as economic indicator as well.

maybe it is different back home than in the states... while elaborate more on this in a bit... have a class to attend
well.. for term saving account (fixed deposit account), u will sign a contract, binding the term of the saving, and the interest rate...

and for some banks, my bank for instance, they compound the interest monthly, so, by the end of the month, they will credit ur account with the interest, and then, the next month, the interest will awarded on the initial savings and the interest credited the previous... so let say the term saving rate for 6 months period is 12%(so that the calculation is easy) and initial savings is $1000

so, assuming that u started the term saving on the 1st of the month...so, after 1 month, u will have

$1000 (initial savings) + $1000 X 12%/12(interest) = $1010

then, the next month...
$1010 + $1010 X 12%/12 = $1020.10.... and so on so forth...

it is actually 1000 X (1.01)^X (initial+interest:"pro"rated to every month...) where X is the number of months...

and for i think the trend in the States, is the interest is rising...(thanks to the Fed) so, don't lock ur term savings for too many months... not that it differs by much, but still, every cents count rite??

and in Japan... because the interest rate is soooo low... and also with some complicated reasons, the bank do charge ppl for some accounts...

and forgot to mention: there might be a penalty if u decide to break the contract u sign... (i.e. if u decide to withdraw the money before contract is mature...) not sure about other banks, but my bank is 90 days of interest... and maybe some service charge... better to check with ur bank before signing anything....

[pringles]

Centre Bank of Malaysia just raised interest rate. If you have extra cash, it is time to open a FD account. :D
Pity those who have loans. :(

[chenchow]

Centre Bank of Malaysia just raised interest rate. If you have extra cash, it is time to open a FD account. :D
Pity those who have loans. :(

It increases by 30 basis point, i.e. Base Lending Rate (BLR) is increased by 0.30%.

[Maxforce]

The interest rate increase was inevitable anyway and in many ways fully expected.

[Thirdshifter]

has anyone ever heard of amanah saham nasional, amanah saham 2020 and for the extra priviledge citizens of Malaysia the amanah saham bumiputra.

I think those are probably the only > RM 200,000.00 FD-ish worth investing into.