POSB savings account
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I dropped by a POSB branch the other day. The teller started to tell me about their new account: POSB Save-As-You-Protect (SAYP).
As far I knew, I only know of the Save-As-You-Earn (SAYE) account. A good way of forcing one to set aside a monthly amount of money for savings. But I was told, POSB doesn't issue that sort of accounts anymore.
I had a looked at the website http://www.dbs.com/posb/insurance/sayp/
But can anyone tell me if there's a catch to this? It seems too common the banks are moving towards savings-insurance/endowment type of accounts. Seems like I have to pay for a premium for the protection that I really do not need/want, in the form of the money I set aside each month. What I really need is just a form of forced savings.
What about MySavings? http://www.dbs.com/posb/deposit/msa/ -
i guess its like a typical savings plan where u mus put in money every mth but they add on abit of insurance but only terminal or death insurance. nt bad i guess. im also thinking of getting one. but u better ask the teller for a plan first, as in for the next 15 yrs wats the payout etc and ask them printout give u see.
these kinda plan u can take out money every mth but u will get lesser when the amount matures.
actually their plan kinda short. most common i see is 25 yrs and ask u put min $100 every mth. dunno whether short will affect its interest growth anot....
btw, its nt first of its kind like the website says.... so many companies already have such plans since so long ago.... -
the interest rate is pathetic.
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maybe bcoz of the protection factor incorporatedOriginally posted by No9:the interest rate is pathetic.
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insurance plans are better
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Yeah, the interest rates offered by Sg banks are indeed pathetic. I rather be burying my money in my backyard (if i had one) or under my bed (if i didn't have a backyard).
What I am looking for is some forced savings (unlike CPF, I want to have the means of dipping into this fund should there be a rainy day. Not till I am grey and old) where a certain amount is stashed away automatically. Having a better interest would be a bonus too.
But with this account, I am not sure if I need the protection or not. Another good way for the insurance company to earn our money?
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seems like u all got better plans already... share lehz? frm where de? the interest is hw much, like hw one?
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no more SAYE ah? means die die have to pay for the insurance ?
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Yeah, no more SAYE. Instead posb came up with SAYP. Savings and Protection. SAYE must be not profittable for posb to continue.
The other option i can think of is MySavings. Works something similar to saye but no maturity. Withdrawal only at posb/dbs branch. Interest somewhat better than normal savings, but still pathetic
Any other ideas? -
MySavingsAccount aka MSA is similar to Save As You Earn but it is somehow more flexible. For SAYE, early termination b4 2 yrs will have a early account closure fee of $20 but this is not applicable in MSA. You can withdraw anytime u wan for MSA, the interest is higher than SAYE, it consists of no insurance tie up, and you can transfer xtra money u have into it anytime. It's a monthly contribution to this account from your personal savings account.
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now they have a My Savings Account (MSA).
interest is abt 1%, higher than the normal or SAYE account.
However, there's always other banks which offer higher interest. -
I took OCBC savings plan. U should check it out.
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I will recommend Standard Chartered Extra$avers account.
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hong leong
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For forced/fixed savings, I think the sacing plans offered by some insurance companies offer better interest rates than those offered by banks.
If the interest rate offered by banks is too low, the increasing rate of inflation will actually result in a reduction in the value of money saved!
Some insurance companies you may enquire are Manulife/ Great ERastern, etc. -
The OCBC MSA seems quite good. They offering 1.68% for a 2yrs saving plan. However, any premature withdrawal will not get the rate lor. For juz as little as $50 per month u cAn open this account liao. U can close the account after 6months without any panalty but then the special rate will not be given to u..