Anyone looking to take charge of their finances knows that they have to build a good sized savings account. Living paycheck to paycheck is difficult, and the situation can easily move from bad to worse should a sudden change occur in their finances such as loss of a job, if their car breaks down, or a family member falls sick. People save for a variety of reasons, and as they save, they look to ensure that their money continues to grow by earning a good amount in interest. Some of the reasons people save include the following:

 

Upward mobile adults in Singapore, especially those who are conscious of the need to save up their money, are always looking for the best place to do just that. It is not enough to have a safe place to save one’s money; the money should also earn interest so that their savings can keep growing. With the various banks in Singapore looking to attract people with extra cash to save, banking options are many. Here is a quick rundown of great savings account options to choose from:

1. DBS: Multiplier Account

This account can earn one as much as 3.5% interest per annum. The interest rate given every month is based on the following two factors:

If, for example, one credits a salary of S$2000 and then spends about S$400 on the credit card that he has with DBS, the interest rate earned per annum will be 1.55% pa. Should the person then take insurance of $100 every month, then the interest earned goes up to 2% pa.

Bonus interest is doled out based on how many eligible transactions one completes every month. In order to get the bonus interest, one must first credit their salary into the account. There is no minimum amount for this. Further, one must meet one of their other requirements. The other requirements include:

Whereas other savings accounts carry minimum requirements on salary amounts and credit card spending, this one does not. It is therefore ideal for those who are not able to meet the said requirements.

2. Standard Chartered Bank: Bonus Saver Account

With this account, one has the chance to earn as much as 3.88% pa in interest. This account offers a particular interest rate as a base, and then using various transactions, one is able to add on so that he or she can take advantage of the bonus interest. Luckily, one does not need to put in an initial deposit to get started. However, one needs to keep a minimum balance of S$3000 every month. To earn bonus interest, the following should be done:

The following combinations can earn interest at these rates:

Bonus interest is capped at S$100,000.

 

3. Bank of China: SmartSaver Account

This account works well for people who earn much and spend much. On average, one can hope to earn about 1.95% pa. However, those on the high end can expect 3.15%. This is what one can expect:

To earn the full 3.15%, one would have to deposit a monthly salary above S$6000, and have a credit spend of at the very least S$1500. By combining all the transactions, one is able to max out at 3.55% pa. Bonus interest is capped at S$60,000.

An average earner who spends conservatively will not be able to earn in the higher percentages with this account. It is ideal for a high income earner, S$6000 and above, who also spends a lot of money – as much as S$1500 on credit cards every month.

4. UOB: One Account

This account is known as the major competitor for the OCBC 360 account, the one account can give one a maximum of 3.88% pa. However, it is important to note that one can only get this interest rate if they have savings of S$75,000. Anything below S$75,000 accrues a lower interest rate.

 

This account works best for someone who has over S$30,000 in the bank and can continue to grow their savings and combine this with other transactions to get to the full 3.88% pa interest rate. The other transactions that can be combined with this to max out on the interest rate include:

If one credits their salary to the bank and additionally spends a minimum of S$500 or carries out three GIRO debit transactions, they can earn the following interest rates per annum if they have saved the following amounts:

 

5. OCBC: 360 Account

This account also pays two types of interest, base interest and bonus interest. Base interest accrues on a daily basis and is compiled at the end of the month. Bonus interest is earned based on how much one has saved and carrying out specific monthly transactions. The transactions that can earn one interest include the following:

Interest calculations:

Interest is calculated as follows:

An initial S$1000 is required to open the account and the bonus interest is capped at S$70,000. This account works well for people who are earning a salary of S$2000 and above as well as people who are looking to invest and insure through OCBC.

6. Maybank: Save Up Programme

This account promises as much as 3% pa in interest. The saver is expected to put in an initial S$500 deposit and maintain a monthly balance of S$1000 and above. The base interest starts at 0.1875% for the initial S$3000, and then goes up to 0.25% for the next S$47,000. The bonus interest is then dependent on the following:

If one carries out 2 of the transactions above, the interest rates earned are 1.05%. If he or she carries out 3 of the above transactions, they become eligible for the full 3%. The bonus interest is capped at $60,000.

This account works well for people who are not earning very high incomes and are going to take some loan products offered by Maybank.

7. CIMB: FastSaver Account

This account earns a basic interest rate of 1% p.a. for the initial S$50,000. An initial deposit of S$1000 is required, but there is no minimum balance requirement. This makes this an ideal account for someone with a lot of money saved up, looking for a place to stash it where they can still earn high basic interest without having to jump the usual hoops. The CIMB FastSaver account serves this purpose and has the particular advantage of not locking your finances in as is the case with fixed deposit accounts.

 

This account does not give a bonus interest rate; it has a basic standard rate of 1% p.a. It works best for people who do not want to jump hoops in order to get a great interest rate. It is also convenient because if offers online banking. It also works well for people who have a lump sum of money that they do not want to put in a locked savings account like a fixed deposit account.

With such great options, it may be a great idea to know what one should be thinking about when carrying out these comparisons. Here are some guidelines that can help:

The goal is to ensure that as a saver, one gets the very best deal for their needs. Everything should be considered when figuring out what works for each person because one size does not fit all.