BOC SmartSaver Revised Features

Got a not so pleasant surprise in the mail today, although I already see it coming, just did not expect it to come so fast.

This is an urgent update on BOC SmartSaver’s revised features, which would take effect from 1 December 2016, as below captured from BOC website:

As you can see, the hurdles have just been raised higher. If we could only fulfill the same conditions in the past, our effective interest rate would have fallen from 3.55% to 2.35%, a drop of 1%! (base interest rate: 0.4%)

boc-revised-features-pic1There is an extra savings bonus as below:

boc-revised-features-pic2However, you might want to be careful about putting more than $50k in a bank as the Singapore dollar deposits of non-bank depositors are insured by the Singapore Deposit Insurance Corporation for up to $50k in aggregate per depositor per Scheme member by law.

As compared to OCBC 360’s interest rate of 2.25% for similar conditions, the BOC interest rate is only slightly higher at 2.35% now. It makes me wonder if I should switch my salary crediting back to OCBC 360 from Dec?

I will think about it. How about you?

For more articles like this, go to blog Financial Freedom Gal.

Picture credit: Designed by Freepik