[Scythian]

..Sound Financial System in Singapore

"The Association of Banks in Singapore (ABS) plays an active role in promoting and representing the interests of the commercial and investment banking community in Singapore. In doing so, ABS works closely with banks and the relevant authorities to maintain a sound financial system in Singapore."

[Scythian]

.
Today's Banks FD rates are higher than CPF Board OA interest rate doesn't sound like a sound financial system at all.

It's either something is very wrong with Banks or with CPF Board - both cannot be right.

[ysh02]

Why worry; some people like bosses or self employed persons they don't contribute CPF ; bank FD higher better.

[ysh02]

Furthermore few years ago when interest rate were low ( 0-1%) people didn't asked CPF to lower the rate to that level ?) ..

[Wy:Nox]

CPF rates is based on the banks. Most banks have increased the rates for past 4 mths but CPF is still late behind. I am totally fine since PaP CaMp can be exempted from CPF increase.

[Notdumb]

Becos Banks not own by PAP wat.🤣🤣🤣

[Scythian]

Furthermore few years ago when interest rate were low ( 0-1%) people didn't asked CPF to lower the rate to that level ?) ..

When interest rates were very high 6%-7% then, Govt agreed and  fixed the CPF OA floor rate @ 2.50% pa which the Govt gaurantee and be willing to pay even if interest rates go lower in future.

So, there should not be any question today.

[sogo]

Furthermore few years ago when interest rate were low ( 0-1%) people didn't asked CPF to lower the rate to that level ?) ..

did i ask for my money to be locked inside cpf?

[Scythian]

CPF rates is based on the banks. Most banks have increased the rates for past 4 mths but CPF is still late behind.  I am totally fine since PaP CaMp can be exempted from CPF increase.

"Ordinary Account interest rate

Interest rate from 1 October 2022 to 31 December 2022: 2.5% per annum.

Reviewed quarterly, this rate is computed based on the 3-month average of major local banks' interest rates1 (subject to the legislated minimum interest of 2.5% per annum)."

Note
It's Unfair fixing @ disadvantage for CPF members : Losers

[Scythian]

Whats the correlation between local Banks 3 months fixed deposits used to fix CPF savings ..

What's silly arrangement to link CPF members 30/40 years pensioners money to banks 3 months.

Why not using average 10 years and 30 years fixing every 3 months?

[Scythian]

.
While CPF members are born losers

Smart investors put their $$$ in Banks FD and earning much higher interest rates.