Public Bank vs AmBank Malaysia 2026: Which Is Better for Savings & Everyday Banking?

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### ⚡ Quick Answer

Public Bank edges out AmBank for most Malaysians thanks to stronger brand trust, wider branch and ATM network, and consistently competitive fixed deposit rates. AmBank is worth considering if you want a dedicated savings account with a slightly higher rate or prefer their Islamic banking options. For the best savings rates overall, digital banks like RytBank (up to 3.6% p.a.) blow both out of the water.

## Public Bank vs AmBank at a Glance

Both are established Malaysian banks with decades of history, but they serve slightly different audiences. Public Bank is Malaysia’s second-largest bank by assets and known for its conservative, customer-first approach. AmBank (formerly Arab-Malaysian Bank) is a mid-tier bank with a solid retail and SME banking presence.

Here’s the quick comparison:

## Savings Accounts: Which Pays More?

Neither Public Bank nor AmBank will make you rich on their savings account interest alone — both hover around 0.5% p.a. for standard savings accounts, which is the norm for traditional Malaysian banks.

**Public Bank Savings Account** offers 0.5% p.a. on balances up to RM50,000, with slight bumps for higher balances. It’s straightforward, no frills, and most people use it as a transactional account rather than a place to grow money.

**AmBank** has a few more savings product options. Their **AmBank Muhammadiyah Savings Account-i** (Islamic) offers tiered rates up to 1.8% p.a. for higher balances, which beats Public Bank’s standard product. However, you need a higher balance to earn the top tier rate.

**Verdict on savings:** AmBank’s Islamic savings account wins on rate alone. But if you’re serious about making your savings work, both banks lose badly to digital options — RytBank currently offers up to 3.6% p.a. with no lock-in, and Versa offers competitive cash management returns too.

## Fixed Deposits: Head to Head

Fixed deposits (FDs) are where both banks get more competitive.

**Public Bank** consistently ranks among the top 3 for FD rates in Malaysia. As of mid-2026, their 12-month FD sits around 3.0%–3.15% p.a. for retail customers, with promotional rates occasionally going higher.

**AmBank** FD rates are slightly lower, typically 2.95%–3.10% p.a. for 12 months. They do run promotional FD campaigns via AmOnline that can match or beat the market — worth checking if you’re placing a large sum.

**Verdict on FDs:** Public Bank wins marginally on headline rates and consistency. Both are PIDM-insured, so your principal is protected up to RM250,000.

## Online Banking & Mobile App

**Public Bank’s PBe** (online banking) has been around for years and is functional but known for its dated interface. The mobile app has improved significantly in recent years — you can do interbank transfers (IBG/DuitNow), pay bills, check statements, and manage your accounts. FPX payments are well-supported for online shopping.

**AmBank’s AmOnline** is arguably more modern-looking and has a cleaner UI. AmBank has also invested in digital features including QR payments and an e-Statement system. Their app tends to get better reviews on the App Store/Play Store for ease of use.

**Verdict on digital banking:** AmBank has a slight edge in app design and modernity. Public Bank wins on reliability and feature depth for everyday banking.

## Branch & ATM Access

This is where **Public Bank clearly dominates**. With over 270 branches and one of the largest ATM networks in Malaysia, Public Bank is significantly more accessible — especially outside Klang Valley. In smaller towns and rural areas, Public Bank often has a presence where AmBank doesn’t.

AmBank has around 180+ branches, concentrated mainly in urban areas.

If you travel frequently within Malaysia and may need branch services, Public Bank is the safer choice.

## Fees and Charges

Fees are essentially the same across both banks — this won’t be a deciding factor.

## Islamic Banking Options

Both banks offer Islamic (Shariah-compliant) banking products:

**Public Islamic Bank** offers a full suite of Islamic savings, FDs (under the Mudharabah concept), home financing, and investment products. It’s one of Malaysia’s largest Islamic banks by asset size.

**AmBank Islamic** similarly provides Islamic savings accounts, financing, and investment products. Their Islamic savings account rates can be slightly more competitive as mentioned above.

If Islamic banking is important to you, both banks are solid. Public Islamic Bank has the scale advantage; AmBank Islamic has slightly better savings rates.

## Personal Loans & Financing

Both banks offer personal loans, but rates vary based on your credit profile and employment status.

**Public Bank** personal loan rates typically start around 5.88%–8.88% p.a. (flat rate), depending on amount and tenure.

**AmBank** personal loan rates are in a similar range, around 5.99%–9.0% p.a.

For a detailed comparison, check out our Best Personal Loan Malaysia 2026 guide which ranks all major banks and digital lenders.

## Business Banking

Both banks have SME and business banking services. **Public Bank** is notably strong in trade financing and SME loans — many Malaysian business owners choose Public Bank precisely for this. **AmBank** has strong business banking products too, including AmBiz and business financing solutions.

## Which Bank Should You Choose?

**Choose Public Bank if:**
– You value branch and ATM access across Malaysia (especially outside KV)
– You want a reliable, stable bank with a long track record
– You’re placing a fixed deposit and want consistently competitive rates
– You need SME or trade financing

**Choose AmBank if:**
– You prefer a more modern online banking interface
– You want a slightly higher Islamic savings account rate
– You’re based in an urban area with good AmBank branch access
– You’re taking advantage of a promotional FD rate via AmOnline

**Our honest take:** For most Malaysians, Public Bank is the safer default. But if you’re purely focused on savings rates, neither bank can beat digital alternatives. Use Public Bank or AmBank as your main transactional account — but park your actual savings in a digital bank like RytBank (up to 3.6% p.a.) where your money works harder.

## Frequently Asked Questions

### Is Public Bank or AmBank safer?
Both are fully licensed by Bank Negara Malaysia and covered by PIDM protection up to RM250,000 per depositor. Both are equally safe for everyday banking and deposits.

### Can I transfer money between Public Bank and AmBank for free?
Yes. Using DuitNow (instant) or IBG transfers via your online banking app, interbank transfers between any Malaysian banks are free for most accounts.

### Which bank has better customer service?
Public Bank consistently ranks highly in Malaysian banking customer satisfaction surveys. AmBank is decent but has received more mixed reviews. Neither is perfect — expect some wait times at branches during peak hours.

### Does AmBank have a digital bank?
AmBank does not operate a fully digital bank licence. They are a traditional bank with digital banking services (AmOnline). For true digital bank alternatives, see our Best Digital Bank Malaysia 2026 guide.

### Is Public Bank good for investing?
Public Bank offers unit trust products via Public Mutual, which is one of Malaysia’s largest fund managers. For stock investing, you’ll need a separate brokerage account — see our Best Investment App for Beginners Malaysia 2026 guide.

### Can foreigners open an account at Public Bank or AmBank?
Yes, both banks accept foreigners with valid passes (Employment Pass, MM2H, student visa etc.). Requirements vary — typically passport, valid Malaysian visa, and proof of address. Processing is usually done at a branch.

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