Fixed Deposit 5.06% for USD

Hi all, anyone knows if there is any fee for using POSB's USD FD?

Likely due to exchange rate

Could be due to the FX rate which fluctuates throughout the FD tenure. USD is strong now so it's strange that your current SGD value is lower than the initial deposit... unless your original USD/SGD exchange rate was relatively higher.

When banks offered attractive foreign currencies FDs, one primary reason is that their team has forecasted the reversal trend of the FX. One can briefly guesstimate their confidence level by the rates offered at the various tenures i.e. longer tenure, lower FD rate. Another means to reduce banks' risk, is their unfavorable FX rates for the general consumers.

Anyway, if you have plan for the USD when the FD matured, need not bother with the indicative SGD shown.

Should be fx fee. Best to check on their website or call them if not available on their website.