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TABLE OF CONTENTS
10 Best High Interest Saving Accounts in Malaysia
Looking for better ways to keep emergency funds? High interest savings accounts might be the answer!
Why?
✅ High interest savings accounts are normally protected by PIDM, so it’s extra safe!
✅ They are liquid! Unlike Fixed deposits that have a lock-in period, savings account are just savings account.
✅ They give higher interest rates than the usual savings account (some savings account literally give 0% interest rates, so look closely to the account that you’re putting in!)
Btw, these are totally unsponsored content! Just sharing thoughts =)
To kickstart, there are a few types of high interest savings account;
- Unconditional Savings Accounts
Unconditional Savings Accounts are straightforward – you open an account, deposit money, and enjoy a higher interest rate without any additional requirements. Keep in mind that all interest rates mentioned here are annualized. - Conditional Savings Accounts
Conditional Savings Accounts require you to meet specific criteria to unlock higher interest rates, typically involving components like base rate, deposit bonus, pay bonus, and spend bonus. - High Balance Savings Accounts
High Balance Savings Accounts give different offer for those with balances exceeding RM100,000🤑 - Digital Banking Savings Accounts
Just like the name suggested, essentially the same account, but offered by digital bank instead of the traditional banks.
Unconditional Savings Accounts
1. OCBC Flex Account
The OCBC Flex Account offers a unique approach to savings. It provides 0.30% interest in the spend pot and an additional 1.90% in the save pot. You can freely transact in the spend pot, but the save pot requires manual transfers for spending, helping you save more effectively.
This account offers a maximum annualized interest of 2.20% without any extra effort, making it an excellent choice for fresh graduates and those who prefer flexibility!
2. MBSB Cash Rich Savings Account-i
MBSB Cash Rich Savings Account-i offers a base rate of 1.85% with a minimum opening deposit of RM 100 and a minimum balance requirement of RM 50. Despite being a smaller bank, surprisingly it provides competitive interest rates, kinda cool! But – keep in mind that it may have fewer physical branches and potentially lower customer service standards.
Conditional Savings Accounts
3. OCBC 360 Account
OCBC 360 Account offers a base rate of 0.10% and various bonuses. By depositing RM 500 monthly, paying at least 3 bills, and spending RM 500, you can enjoy a total interest rate of 3.25% annually! This account is user-friendly and ideal for those already paying bills and everyday expenses.
4. RHB Smart Account
The RHB Smart Account provides a base rate of 0.05%. By depositing RM 2,000 monthly, paying a minimum of 3 bills, and spending RM 1,000 monthly, you can earn a maximum interest rate of 2.85%. It also offers an additional 1.00% bonus if you invest in RHB’s unit trust or insurance products, but that’s up to you!
5. UOB One Account
The UOB One Account offers a base rate of 0.10%. You can unlock up to 4.00% interest by maintaining an account balance between RM 50,000 and RM 100,000 and meeting specific criteria, such as monthly salary credits or bill payments. For account balances below RM 50,000, the interest rate is capped at 2.00%.
6. Hong Leong Pay & Save Account
Hong Leong Pay & Save Account offers a base rate of 0%. However, by depositing at least RM 2,000 monthly and meeting spending and bill payment criteria, you can achieve a total interest rate of 3.25%.
7. Standard Chartered Privilege Saver
The Standard Chartered Privilege Saver provides a base rate of 0.05% and offers deposit and spend bonuses. By spending at least RM 1,000 with your credit card and performing five debit card transactions each month, you can achieve a total interest rate of 6.15%, although realistically, it’s around 2.15%. There’s also a 2.00% bonus for increasing your average balance by RM 3,000 monthly.
High Balance Savings Accounts
8. Alliance SavePlus Account
Alliance SavePlus offers up to 2.85% annually for balances between RM 20,000 and RM 500,000, with an additional 3.00% for balances exceeding RM 500,000, without any additional requirements.
9. UOB Stash Account
UOB Stash Account offers a base rate of 0.05% and can provide a maximum interest rate of 2.38%. However, interest rates are capped at 2.22% for balances exceeding RM 200,000.
Digital Banking Savings Accounts
10. RIZE Commodity Murabahah Savings Account-i
RIZE Savings Account-i, powered by Al-Rajhi Bank, offers up to 5.00% interest for savings of RM 5,000 and below, and 4% for amounts above, until the end of 2023. It’s Shariah-compliant and insured by PIDM for up to RM 250,000.
Takeaway – Which one’s better
Personally, I would go for the OCBC 360 Account as my top choice as their listed conditions are rather simple to achieve!
Also, I would consider allocate some money on RIZE the digital bank, since they are offering aggressive rates to attract customer, we might as well grab some benefits 😆
Now go watch my video for further explanation and get yourself a better deal!
Word of the Week: Consumer Price Index (CPI)
Definition: The Consumer Price Index (CPI) is a measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services. It is a widely used indicator for tracking inflation and understanding changes in the cost of living.
The CPI is essential for assessing how the purchasing power of a currency is affected by inflation. Here’s how the Consumer Price Index is calculated and what it represents:
- Market Basket Selection: To calculate the CPI, a representative “market basket” of goods and services is selected. This basket typically includes items that an average urban consumer would buy regularly, such as food, housing, clothing, transportation, healthcare, and entertainment.
- Calculating the Index: The CPI is calculated by taking the current cost of the market basket of goods and services and dividing it by the cost of the same basket in the base year. The result is then multiplied by 100 to express it as an index.
CPI = (Cost of Market Basket in Current Year / Cost of Market Basket in Base Year) x 100
Note: If the CPI for a particular year is 150, it means that, on average, the prices of goods and services in the market basket have increased by 50% compared to the base year.
The Consumer Price Index is used for several important purposes:
- Inflation Measurement: CPI is a key tool for measuring inflation. When the CPI increases, it suggests that the cost of living is rising, and people may need more money to maintain their standard of living.
- Economic Policy: Central banks and policymakers use CPI data to make decisions on monetary policy, such as setting interest rates. If inflation is rising too quickly, they may take measures to control it.
Key Economic Dates:
- 19th October: Initial Jobless Claims, Fed Chair Powell Speaks
- 24th October: S&P Global Services PMI (Oct)
What I’ve been reading:
Here are the top stories that caught my eye:
- Highlights of Budget 2024
- MYAirline suspended operation, working to expedite refund process
- Microsoft closes $69 billion acquisition of Activision Blizzard
You’re all caught up!
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Cheers,
Ziet
