Maybank eFixed Deposit: An Instrument to Park Cash

Do you have a Maybank account? Then you must have a Maybank2u online account too. In this article, I am going to talk about Maybank eFixed Deposit.



Low interest rate era

I believe you have noticed that the interest rate of banks is going down in recent times. My Maybank savings account is just giving me an interest rate of 0.25% per annum! The interest rate of fixed deposit is not high either, which is up to 1.75% per annum. The interest rates might drop further if Bank Negara decides to decrease its overnight policy rate again in the future.

So, why do I want to talk about eFixed Deposit?



Use of eFixed Deposit

I actually use the fixed deposit account to park my spare cash. Though the interest rate is not high, it is still better than the savings account.

These fixed deposits are also part of my emergency fund. Besides that, some of them also serve as the capital that I can use when opportunities arise in the stock market.



Features of eFixed Deposit

The minimum deposit is RM 1,000 with a tenure of at least two months. If you would like a one-month tenure, the minimum deposit is RM 5,000. The placements will be effective immediately.

The account is also protected by PIDM for up to RM 250,000 per depositor (this sum includes the money in your savings account).

The interest is calculated based on the number of days within the term of the deposit.

As the placement is done through Maybank2u account, the only mode of payment is debiting the account on the platform. The upliftment can only be credited to account linked to Maybank2u.com too.

The operating hours of this service is from 6am till 10.30pm, 7 days a week including public holidays.



How about money market funds?

Money market funds are good too as they generally have a higher return than fixed deposit. But it might take some time for the proceeds from the sale to reach our hands. That is the only drawback of money market funds compared to eFixed Deposit. With eFixed Deposit, we could get back the money instantaneously once we perform upliftment.



Conclusion

Although we might lose the interest if we withdraw the fund prematurely, I still think it is still better to put some money in a fixed deposit account. This account offers the chance to get a higher interest rate without losing the flexibility to withdraw the money.

What I do is separating my money into different fixed deposits, so that when I need money, I can choose which one to be uplifted. By doing so, I would not lose all interest at one time.

Upon maturity, we can choose to renew the fixed deposit automatically or uplift it. Besides that, we can also choose to credit the interest into the savings account or add the interest to the principal. What I normally select is auto-renewal and add the interest to my principal for the compounding effect.

One last word, do not treat fixed deposit as an investment as the interest rate is lower than the inflation rate. Use this instrument as a means to park your extra cash and employ the rest to invest in something that might bring you higher returns according to your risk tolerance.



Referral link

Another reason that I am writing this article is because I might get rewards if you click on the referral link below. If you want to find out more about Maybank eFixed Deposit and support me at the same time, do click on the link below. Otherwise, you can just log in to your Maybank2u account and follow the steps there.

Link here

*The above link is an Involve Asia affiliate link. When you click the link, I might get some rewards in return.

Comments

    1. Post
      Author
      Leckas

      Hi, Heidi.

      Thanks for your support. The campaign has ended (so I would not get anything from it) but you can always use your Maybank2u account to place fixed deposit.

      Thank you so much!

Leave a Reply

Your email address will not be published. Required fields are marked *