Malaysian FD up to 5%

[mummy1234]

HSBC has this offer but ending soon by end of this month.

 

[henrylbh]

HSBC has this offer but ending soon by end of this month.

What's the big deal? No conditions and no limit?

 

[jetblack]

It's relatively easy for MYR to drop 5% against SGD, or even 6% or more. Then we'll see red, don't we?

 

[Mr. Wood]

not interested. so many putankinamall in there.

 

[BBCWatcher]

It's relatively easy for MYR to drop 5% against SGD, or even 6% or more.

Yes, and I’m sure the bank wants a cut of the currency conversion (or at least a fee to get the ringgit in or out). Also, there is ZERO deposit insurance on foreign currency deposits in Singapore.

 

[henrylbh]

Yes, and I’m sure the bank wants a cut of the currency conversion (or at least a fee to get the ringgit in or out). Also, there is ZERO deposit insurance on foreign currency deposits in Singapore.

I am sure she was thinking of placing her ringgit in FD in my. So no issue to her. Others like me may place in RM deposit cause we need that currency to serve certain needs. But those placing it just to earn higher rate face currency risk etc.

 

[ExtremeWays]

I don't trust Mahathdey
Later he makan your money with clob

 

[alt2015]

HSBC has this offer but ending soon by end of this month.

Hi, how best to tfr money to malaysia saving account?
Best rate and lower charges

 

[ocs_woodlands]

https://www.google.com.sg/search?q=...droid-samsung&sourceid=chrome-mobile&ie=UTF-8

Try reading up on interest rate parity...

 

[BBCWatcher]

I am sure she was thinking of placing her ringgit in FD in my.

I didn’t say otherwise. However, a bank in Singapore will take its fee, somehow, in or out. One needs to include that cost in the total equation.

 

[henrylbh]

I didn’t say otherwise. However, a bank in Singapore will take its fee, somehow, in or out. One needs to include that cost in the total equation.

You did't say otherwise but the obvious If one has no ready M$, unlike mummy1234 who started this thread, one needs to convert S$ to M$ and re-convert upon maturity and pays a bank fee (to get the ringgit in and out). But can be out only and no need to re-convert or can drop by to deposit in my without incurring bank charges.

Theoretically, one gains nothing more from the interest rate differential due to interest rate parity theory. But retailer would lose if there is a bank fee (including unfavourable spot and future rates) involved. Retailer can only hope for the exchange rate works in his favour, else lose in placing FDs in any foreign currency.

 

[Opps-gal]

Will tio charges if no transaction months down the road?

 

[Opps-gal]

I don't trust Mahathdey
Later he makan your money with clob

Keeping excess RM$ in biscuit tin?

 

[BBCWatcher]

Henry, unless you’ve found one that you can name — the bank named in this thread, HSBC, isn’t one — there is no bank in Singapore that will charge $0 on both the inbound and outbound on foreign currency, even if you already have that foreign currency. You’ll pay some sort of fee for the transfer in, out, or both. Moreover, banks can (and do) change their fees at any time. Not only is there no deposit insurance, there is no assurance the outbound fee won’t change (rise) even if the inbound is free.

You must prudently take these factors into consideration, into your calculation, if you’re a rational person. Exactly how you calculate these factors is up to you, but “zero is the wrong answer.”

If HSBC has a branch in Malaysia, and the ringgit fixed deposit will be in Malaysia, different story.

On edit: HSBC Singapore charges S$10 for a telegraphic transfer in and a minimum of S$15 for TT out (HSBC Premier status, but could easily be more even with Premier status). It’s right in their fee schedule. If you’re trying to deal in ringgit cash (please don’t) then the fees are much higher. So, deduct these fees from your fixed deposit yield calculation, plus adjust as you see fit for zero deposit insurance and fee increase risk. Also include TT fees, if/as applicable, to/from your Malaysian bank.

 

[cscs3]

It's relatively easy for MYR to drop 5% against SGD, or even 6% or more. Then we'll see red, don't we?

Fully agreed. Malaysia governement basically do not have cash on hand to support the country and currency.

 

[cscs3]

I didn’t say otherwise. However, a bank in Singapore will take its fee, somehow, in or out. One needs to include that cost in the total equation.

Thats right, also pay attention that buying and selling M$ is different exchange rate.