Last updated: [add date]. Fixed deposit rates change frequently; the figures below are indicative — always confirm the live rate directly with the bank before placing your deposit.
The fixed deposit is the financial heart of the MM2H programme, and the bank you place it with affects three things that matter for years: the interest you earn on locked capital, whether you can hold the deposit in your home currency or must convert to ringgit, and how smoothly you can open the account from overseas before you arrive. Yet most applicants default to whichever bank their agent suggests without comparing. This guide walks through the banks that actively support MM2H placements and helps you choose based on your own priorities.
Quick answer: if your top priority is the headline interest rate, the local banks (CIMB, Public Bank, RHB) typically lead on ringgit fixed deposit rates. If you want to keep your capital in US dollars or another foreign currency to avoid exchange-rate risk, the banks with strong premier or priority arms — Maybank Premier, UOB, and Bank of China — tend to offer the most flexible foreign-currency placements and pre-arrival account opening.
How much you need to deposit
Before choosing a bank, be clear on the amount your tier requires, because that shapes which banking relationship makes sense. The deposit sits in a locked fixed deposit account for the duration set by the programme, and a portion can be withdrawn after the first year for approved purposes. For the exact USD figures by tier and the rules on what you can withdraw, see our full guide to the MM2H fixed deposit requirements by tier. A larger Platinum-tier deposit usually unlocks priority-banking tiers such as Maybank Premier, CIMB Preferred or UOB Privilege, which can mean better rates and a dedicated relationship manager.
Comparing the main MM2H banks
| Bank | Indicative FD strength | Foreign-currency placement | Pre-arrival opening | Best suited to |
|---|---|---|---|---|
| CIMB | Competitive ringgit FD rates; established MM2H desk | MYR-focused, some FCY | Often supported with agent | Rate-focused applicants |
| Maybank (Premier) | Solid; premier perks at higher balances | Strong FCY options | Well-supported | Foreign-currency holders, service |
| UOB | Competitive; privilege banking | Strong FCY and multi-currency | Well-supported | Regional / foreign-currency holders |
| Public Bank | Among the higher ringgit FD rates | MYR-focused | Varies | Best ringgit rate seekers |
| Bank of China | Tailored MM2H package | Strong for CNY / FCY | Supported | Chinese-national applicants |
| RHB | Competitive ringgit rates | MYR-focused | Varies | Rate-focused applicants |
How to place the deposit
The deposit is normally placed after you receive conditional approval and before your pass is endorsed. You typically open the account, transfer the funds from abroad, place them in a fixed deposit for the required term, and obtain the bank’s confirmation letter for immigration. Several banks let you begin the account-opening process before you arrive in Malaysia, which avoids delays. Our step-by-step walkthrough is in How to Open a Bank Account on MM2H.
Withdrawal rules you should understand first
The deposit is not fully locked forever. After the first year, holders may withdraw a defined portion for approved expenses such as property purchase, education or medical costs, while the remainder stays locked for the life of the pass. Understanding this before you choose a bank matters, because withdrawal handling and documentation vary between institutions. See the mechanics in MM2H Fixed Deposit Withdrawal Rules: How and When You Get 50% Back.
Which bank is right for you?
If you want the highest return on locked capital and are comfortable holding ringgit, prioritise the local banks with the strongest fixed deposit rates and accept some currency exposure. If protecting your capital from ringgit fluctuations matters more — common for retirees living partly on a home-currency pension — choose a bank with robust foreign-currency fixed deposits even if the headline rate is slightly lower. If you value a dedicated relationship manager and in-branch service, the premier or priority arms at the larger banks are worth the qualifying balance. And if you are a Chinese national, Bank of China’s tailored package and renminbi handling are often the path of least friction.
Frequently Asked Questions
Can foreigners open a fixed deposit in Malaysia?
Yes. MM2H applicants and holders can, and the fixed deposit is a core requirement of the programme rather than an optional product.
Is the interest on my MM2H fixed deposit taxable?
Interest treatment and foreign-income rules are nuanced. Confirm your position with a Malaysian tax professional, and see our explainer on MM2H and foreign-sourced income.
What is the best FD rate right now?
Rates move monthly and search-engine snapshots are often stale, so check each bank’s official page or branch for the live rate before committing.
Can I move my deposit to a different bank after approval?
Yes, with the right process and notifications, though the move must preserve the deposit’s MM2H compliance and lien. We cover it in How to Change Your MM2H Bank After Approval.
Important notice: MM2H requirements and immigration policies may change. Always verify the latest information with relevant Malaysian government authorities or authorised programme operators before making any financial or relocation decisions.
