Best 6 Month FD Rates

Best 6-Month Fixed Deposit Rates in Malaysia 2026

Malaysian banks currently offer 6-month fixed deposit rates between 2.05% and 2.40% p.a., with Hong Leong Priority Banking Premium FD and Alliance Bank leading at 2.40% p.a. Place RM50,000 and you'll earn RM600 after six months at the top rate, or RM512.50 at the common 2.05% p.a. rate.

Bank Negara Malaysia sets the Overnight Policy Rate (OPR) that influences how much banks pay on deposits. When the OPR changes, FD rates typically follow within weeks. The 2.40% p.a. board rates from Hong Leong Priority Banking Premium FD and Alliance Bank represent the current market peak for accessible 6-month placements.

How 6-Month Fixed Deposit Rates Actually Work

The rates you see advertised aren't always what you'll actually earn. Banks typically show the annual interest rate (p.a.), but over 6 months, you'll earn exactly half that amount. A 2.40% p.a. rate means you get 1.20% on your money after 6 months, not 2.40%.

Some banks offer bundled FDs that require you to open a savings account with a minimum deposit in addition to your FD placement. Others have stepped rates where you only get the headline rate in certain months. Always check the effective interest rate (EIR) to know your real returns.

For a RM25,000 placement at 2.40% p.a. over 6 months, you'd earn RM300 in interest. That same amount at 2.05% p.a. (a typical lower board rate) would give you RM256.25. The difference of RM43.75 might not sound like much, but if you're parking RM100,000, that's an extra RM175 in your pocket.

Top 3 Recommended 6-Month Fixed Deposits

Based on current rates and terms, these three FDs offer the best value for most savers in 2026.

1. Hong Leong Priority Banking Premium Fixed Deposit (2.40% p.a.)

This product offers the highest board rate for 6-month FDs in Malaysia at 2.40% p.a., with the added flexibility of early withdrawal. It's available year-round and works well for Priority Banking customers who want reliable returns.

What you'll earn: A RM25,000 placement gives you RM300 after 6 months. With RM50,000, that's RM600.

Requirements:

Priority Banking relationship withHong Leong Bank
Minimum placement varies by account tier
Early withdrawal permitted (though interest may be affected)
Available through HLB Connect online banking or branches

Who it suits: Existing Hong Leong Priority Banking customers who want the highest board rate whilst retaining flexibility. The early withdrawal option provides a safety net if your plans change.

Protected by PIDM: Up to RM250,000 per depositor.

2. Alliance Bank Fixed Deposit (2.40% p.a.)

Alliance Bank matches Hong Leong's 2.40% p.a. board rate with no priority banking requirements, making it accessible to regular banking customers.

What you'll earn: RM25,000 earns RM300 over 6 months. RM50,000 gets you RM600.

Requirements:

Minimum placement: RM500 (one of the lowest minimums)
No early withdrawal permitted
Can be placed at branches or viaAlliance Online banking
Straightforward application with no bundling

Who it suits: Savers who are absolutely certain they won't need early access and want the best accessible board rate. The low RM500 minimum makes it accessible for smaller placements too.

Protected by PIDM: Up to RM250,000 per depositor.

3. UOB Fixed Deposit (2.35% p.a.)

UOB offers 2.35% p.a. with a low RM500 minimum placement, making it accessible whilst still earning RM293.75 on RM25,000 or RM587.50 on RM50,000 over six months.

What you'll earn: On a RM25,000 deposit, you'll receive RM293.75 in interest after 6 months. With RM50,000, that's RM587.50.

Requirements:

Minimum placement: RM500
No early withdrawal permitted
Can be opened at UOB branches or online
Single application, no CASA bundling required

Who it suits: Savers with smaller amounts who want the RM500 minimum entry point and are certain they won't need the money before maturity.

Protected by PIDM: Up to RM250,000 per depositor.

Promotional vs Board Rates: What You Need to Know

Banks offer two types of FD rates. Understanding the difference helps you maximise returns.

Promotional rates are temporary campaigns with higher-than-usual interest rates, typically running for 1-3 months before ending or changing. They're designed to attract new funds and often come with specific conditions, such as minimum placement amounts, new-money requirements, bundling with savings accounts, or application-channel restrictions. As of January 2026, promotional campaigns for 6-month FDs are less common following the OPR reduction.

Board rates are the standard rates banks maintain throughout the year, changing only when they adjust their overall interest rate structures. These rates are currently between 2.05-2.40% p.a. for 6-month tenures and are available anytime without rushing to catch a campaign deadline. The 2.05-2.40% p.a. rates you see from most banks are board rates.

New money requirements: Some promotional FDs only accept "fresh funds" or "new money," meaning you can't just transfer money from your existing account with that bank. You need to bring in money from another bank to qualify. Always check this requirement before applying, as transferring funds between your accounts at the same bank won't qualify.

Auto-renewal considerations: When your FD matures, it typically auto-renews at the prevailing board rate unless you cash out or manually renew into a new campaign. If board rates have dropped by your maturity date, your renewal will be at the new lower rate. Mark your maturity date and decide early whether to cash out, renew at board rate, or look for a better promotional campaign. Check our monthly FD promotions update to find the best campaigns when your FD matures.

What You'll Lose with Early Withdrawal

Life happens. Jobs end, medical emergencies arise, or opportunities pop up requiring immediate cash. Before placing any FD, understand exactly what you'll lose if you need to withdraw early.

For 6-month tenures, most banks apply harsh penalties. Withdraw anytime before maturity, and you typically forfeit 100% of your interest. That RM300 you were expecting from a 2.40% p.a. FD? Gone if you withdraw even a day early.

Some banks offer a softer penalty if you give advance notice. Maybank allows you to give 31 days' written notice and receive 50% of the accrued interest. On that RM25,000 placement at 2.10% p.a., 31 days' notice would still cost you RM131.25 in lost interest, but it's better than losing all RM262.50.

Products that allow early withdrawal (like Hong Leong Priority Banking Premium FD and OCBC MYR FD) charge different penalties. Check the specific terms, as some reduce the interest rate to savings account levels for the entire period, whilst others apply proportional reductions.

The honest assessment: If there's even a 30% chance you'll need the money before 6 months end, don't lock it in an FD. The interest you'll earn doesn't justify the penalty risk. Put the money in a high-interest savings account at 2.00-2.80% p.a. instead, where you keep full access without penalties.

How to Calculate Your Returns

Banks show annual interest rates, but you're only placing money for 6 months. The calculation works like this:

Formula: (Annual Rate ÷ 2) × Deposit Amount = Interest Earned

For a RM25,000 placement at 2.40% p.a.:

2.40% ÷ 2 = 1.20%
1.20% × RM25,000 = RM300

For the same placement at 2.05% p.a.:

2.05% ÷ 2 = 1.025%
1.025% × RM25,000 = RM256.25

These examples show what you'd earn at different placement amounts across the three rate points - the highest board rate (2.40%), a typical mid-range rate (2.10%), and the lowest common rate (2.05%). The rightmost column shows how much extra you'd gain by choosing the best rate available.

Placement	At 2.40% p.a.	At 2.10% p.a.	At 2.05% p.a.	Difference (2.40% vs 2.05%)
RM5,000	RM60	RM52.50	RM51.25	+RM8.75
RM10,000	RM120	RM105	RM102.50	+RM17.50
RM25,000	RM300	RM262.50	RM256.25	+RM43.75
RM50,000	RM600	RM525	RM512.50	+RM87.50
RM100,000	RM1,200	RM1,050	RM1,025	+RM175

The difference between the highest 2.40% p.a. rate and the lowest 2.05% p.a. board rate on RM50,000 is RM87.50 over 6 months. Whilst not huge, it's worth seeking out the better rates, especially for larger placements.

Good news for Malaysian savers: interest from fixed deposits placed with licensed banks is completely tax-exempt for individuals under Paragraph 33, Schedule 6 of the Income Tax Act 1967. You don't need to declare FD interest in your LHDN tax returns, and there's no limit on the amount. This exemption applies to all Malaysian licensed banks, Islamic banks, and approved financial institutions.

Islamic Fixed Deposit Options for 6 Months

If you prefer Shariah-compliant products, Islamic fixed deposits offer comparable returns using profit-sharing arrangements instead of interest.

Islamic banks typically match conventional FD rates, with the main difference being the contract structure. Most use either Commodity Murabahah (a trade-based structure) or Mudarabah (profit-sharing) contracts. The profit rates you'll see advertised work exactly like conventional interest rates from a practical standpoint.

Top Islamic 6-month options include:

Rates generally mirror conventional FDs at the same bank, falling between 2.00-2.40% p.a. for board rates, with occasional Islamic-specific promotional campaigns. Check our Islamic Fixed Deposits comparison page for detailed profit rates and Shariah contract types.

Your Three Options at Maturity

When your 6-month FD matures, you've got three paths forward: auto-renewal, cash out, or manual renewal into a better option.

Auto-renewal happens by default at most Malaysian banks. If you don't give specific instructions, your RM25,000 plus RM300 interest (total RM25,300 at 2.40% p.a.) automatically rolls into a new 6-month FD at whatever board rate applies that day. If rates have dropped to 2.05% p.a. by maturity, your renewal locks in that lower rate for another 6 months.

Cashing out transfers your principal plus interest back to your savings or current account. Most banks process this within 1-2 working days after maturity if you've requested it in advance. Without advance instructions, the FD auto-renews rather than returning to your account.

Manual renewal lets you take the matured amount and place it into whichever bank offers the best rate at that moment. Check what promotional campaigns are running 2-3 weeks before maturity. If another bank is offering 2.60% p.a. whilst your current bank only offers 2.20% p.a. for renewal, you can shift your money and earn RM100 more on a RM50,000 placement.

Managing Your Maturity Date

Set a phone reminder for 1 month before maturity. This timing matters because it gives you enough lead time to compare current rates across banks, check for new promotional campaigns, and decide whether you actually need the money for upcoming expenses.

Missing your maturity date means accepting whatever auto-renewal rate your bank applies. For 6-month FDs, that's particularly costly because promotional campaigns change frequently. The 2.40% p.a. rate you got in January could auto-renew at 2.05% p.a. in July if you're not paying attention, costing you RM87.50 on a RM50,000 placement.

Browse ourmonthly FD promotions roundup three weeks before maturity to see what campaigns are active. Compare at least three banks before deciding where to place your matured amount. The flexibility of 6-month tenures means you can strategically move money between banks twice yearly, always chasing the best available rates.

PIDM Protection: What's Covered

Every FD listed here is protected by Perbadanan Insurans Deposit Malaysia (PIDM) up to RM250,000 per depositor per member bank. This means if Maybank, CIMB, Public Bank, or any PIDM member bank fails (unlikely but theoretically possible), PIDM guarantees your deposits up to RM250,000.

The RM250,000 limit applies per depositor per bank, not per account. If you have RM150,000 in an FD, RM50,000 in a savings account, and RM100,000 in a current account, all at the same bank, your total RM300,000 is only protected up to RM250,000. The remaining RM50,000 wouldn't be covered under PIDM in a bank failure scenario.

For deposits exceeding RM250,000: Split placements across multiple banks. Put RM100,000 in a Maybank FD, RM100,000 in CIMB, and RM100,000 in Hong Leong Bank. Each placement is fully covered by PIDM, giving you RM300,000 total protection rather than just RM250,000.

Joint accounts and trust accounts have different PIDM coverage rules. A joint FD between you and your spouse gets RM250,000 protection for the joint account, separate from your individual accounts. Read the PIDM Deposit Insurance System brochure for detailed coverage scenarios or check the PIDM DIS Handbook to verify your coverage.

How to Place Your Fixed Deposit Online

Start by comparing rates across at least three banks. Maybank, Hong Leong Bank, and Alliance Bank all publish current board rates on their websites, though these change monthly. Our 6-month FD comparison page shows rates side-by-side with interest calculations for different placement amounts, saving you the spreadsheet work. If you see promotional campaigns running, check our monthly FD promotions roundup for the latest offerings.

Before you click apply, verify the minimum placement amount and any bundling requirements. Some promotional FDs require opening a savings account alongside the fixed deposit, or only accept "fresh funds" transferred from other banks. Read the full terms and conditions document, not just the promotional banner. Early withdrawal penalties vary dramatically between banks, and you want to know exactly what you'd forfeit if plans change.

Existing customers can place FDs entirely through internet banking in under 10 minutes. Log in, navigate to fixed deposits, select your tenure and amount, and confirm the placement. New customers need a branch visit first to open accounts and verify identity, but all subsequent FD placements are digital. For guidance on comparing rates and choosing the right product, read our guide on selecting the best FD rate.

Frequently Asked Questions (FAQ)

1. What is the best 6-month FD rate in Malaysia right now?

The highest 6-month board rates are 2.40% p.a. from Hong Leong Priority Banking Premium FD and Alliance Bank, with most other banks offering 2.05% to 2.35% p.a. These board rates are available anytime and auto-renew at the same rate.

Banks occasionally run promotional campaigns with significantly higher rates. As of January 2026, CIMB's eFD campaign offers 3.55% p.a. for 6 months (until 31 March 2026), but this reverts to the standard 2.05% p.a. board rate after one cycle. On RM50,000, that's RM887.50 during the promotion versus RM512.50 at renewal, a RM375 difference.

If a promotional rate works with your timing, it can meaningfully boost returns for that placement. Just remember you're locking in the high rate for one cycle only. Check our comparison page for current campaigns, as these change frequently.

2. How much interest will I earn on RM50,000 over 6 months?

At 2.40% p.a., RM50,000 earns RM600 after 6 months. At the typical board rate of 2.10% p.a., you'd earn RM525.

3. Can I withdraw my 6-month FD early?

Most banks allow early withdrawal, but with severe penalties. Many banks forfeit 100% of your interest if you withdraw before maturity. Some banks, like Maybank, offer a 50% interest penalty if you give 31 days' notice. Hong Leong Priority Banking Premium FD and OCBC allow early withdrawal. Check your specific FD's terms before placing.

4. Is my 6-month FD protected if the bank fails?

Yes, PIDM protects deposits up to RM250,000 per depositor per bank. If you have more than RM250,000, split placements across multiple banks for full protection.

5. What's the difference between promotional and board rates?

Promotional rates are temporary campaigns (typically 1-3 months) with higher interest rates to attract new deposits. Board rates are standard rates available year-round. Following the OPR cut, promotional 6-month campaigns are less common in early 2026, with most banks offering board rates of 2.05-2.40% p.a.

6. Should I choose a 6-month or 12-month FD?

12-month FDs typically offer 0.3-0.5% p.a. higher rates but lock your money for longer. Choose 6 months if you need the money within a year or want to take advantage of potentially higher rates later. Choose 12 months if rates are falling and you won't need the money.

7. Are Islamic FDs different from conventional FDs?

Islamic FDs use Shariah-compliant contracts (usually Mudarabah or Commodity Murabahah) but offer similar rates to conventional FDs. The profit rates work the same way as interest rates, practically. Check ourIslamic FD comparison for options.

8. Do I need to pay tax on FD interest?

No. For individual taxpayers in Malaysia, interest from fixed deposits placed with licensed banks is completely tax-exempt under Paragraph 33, Schedule 6 of the Income Tax Act 1967. You don't need to declare FD interest in your LHDN tax returns, and there's no limit on the exemption amount. This applies to all Malaysian licensed banks and Islamic banks. (Note: Companies must declare FD interest as taxable income.)

9. What is the "new money" or "fresh funds" requirement?

Some promotional FDs only accept "new money" - funds transferred from another bank, not from your existing accounts at the same bank. This prevents existing customers from simply moving money between accounts to qualify for promotional rates. Always verify this requirement before applying.

10. Can I place an FD online?

Yes, most Malaysian banks allow online FD placements through internet banking or mobile apps if you're an existing customer. New customers usually need to visit a branch to open their initial account, but can make FD placements digitally afterwards. The process takes 10-15 minutes online.