CPF Ordinary Account interest rate to remain at 2.5%

CPF Ordinary Account interest rate to remain at 2.5%

    POSTED: 15 Aug 2013 11:43 AM
 
The CPF Board said the interest rate for Ordinary Account (OA) savings in the Central Provident Fund (CPF) will remain at 2.5 per cent from 1 October 2013 to 31 December 2013.

SINGAPORE: The CPF Board said the interest rate for Ordinary Account (OA) savings in the Central Provident Fund (CPF) will remain at 2.5 per cent from 1 October 2013 to 31 December 2013.

The computed CPF interest rate, derived from the major local banks' interest rates for the three-month period from 1 May 2013 to 31 July 2013, worked out to be 0.21 per cent per annum, below the legislated minimum of 2.5 per cent a year.

An extra 1 per cent interest will still be paid on the first S$60,000 for combined balances, including up to S$20,000 from the OA.

The extra interest from the OA will go into the member's Special or Retirement Account.

The concessionary interest rate for Housing Board mortgage loans, which is pegged to the interest rate for OA, will also remain at 2.6 per cent per year from 1 October 2013 to 31 December 2013.

- CNA/xq

- wong chee tat :)