Opening a fixed deposit account is a great idea for people who keep lots of money in their bank accounts. Basically, this is an investment option for people who don’t want to take a lot of risk. Once you open a fixed deposit account, all you have to do is put in a fixed sum of money each month. When the account reaches maturity, the bank will accrue all of the interest that has been earned on the account, thus increasing your overall bank balance. Fixed deposit accounts are a great option for salaried individuals, as well as those who are self-employed, as it provides them with a savings target each month. You have to deposit a specific amount each month, otherwise the terms and conditions of the account will become invalid.
Almost every major bank in Malaysia offers fixed deposit account options. The best FD in Malaysia can be found here, but a little bit of research is necessary before you decide where to open your account. Here are a few tips on how to find the best fixed deposit accounts in the country.
Check Out Brochures from Different Banks
Whenever you visit a bank and ask them to show you their fixed deposit accounts, an agent will approach you and will begin to explain all of the different accounts they have available. The sales agents will try their best to get you to open the account right away. However, try not to be too quick in making a decision. Before opening an account with any bank, you should consider all of the options available. The sales agent will give you a series of brochures that include the salient points as well as all of the pertinent information about their fixed deposit options. You can request brochures from every major bank and then compare them to get a better idea of which bank offers the maximum benefits.
Talk to a Financial Consultant
Fixed deposit accounts usually mature in three to five years. Since it takes such a long time, it is generally recommended that you talk to a financial consultant about your financial prospects before making a decision. Remember, your money will be tied up for the aforementioned duration, so there is no need to open an account that takes away a large chunk of your income each month. Financial consultants tailor their advice according to your needs; they focus on what works best for you, rather than what will maximise their own profitability.
You will need to disclose important details, such as your income, your average monthly expenditure, and other relevant details to the financial consultant. After considering all of these factors, the financial consultant will determine which fixed deposit account will be best for you. When opening a fixed deposit account, you need to think in the long term. Evaluate your future prospects and plan out your long-term financial goals before opening an account with any bank. It goes without saying that you should also carefully read the terms and conditions on the brochure.