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Just saw it today during work, so figured I would crunch some numbers to see how beneficial is it for me, hopefully it isn't worse off like the prior one.


From a rough look, it seems that a significant number of clients have balances lower than 35k and save less than 500 a month to this account, and too many have many bills to pay.

I am covering only the stuff that applies to me, holding 200k in the account doesn't make sense and I don't really buy financial products from OCBC/Great Eastern.

I'll skip the Boost interest because it tends to be not recurring, and frankly, it doesn't add to much, unfortunately (unless you cash out of shares or other investment products).

For simplicity, I would show examples where the account balance is 35k and 70k (which tends to my account balance most of the time, there is a possibility of dipping below 35k, but it is very remote, at most should be about 36k-40k minimum balance thereabouts), as well as with or without the Step-Up.




So, from these numbers, what I would actually get would be the SAME, except I would only benefit from the Step-Up interest, giving me more interest to 2.3%, 0.45% more.

Well, a little disappointed, but not unexpected.

Looking at the numbers, it seems to punish those with lower bank balances (35k and below) as well as with less than $500 in additional savings. In that case, DBS Multiplier would generally give you a better interest rate with a DBS card (~1.85%).

Few other ideas:
  • If you rely solely on salary crediting, it would be about the same, and if save $500 a month, it would be a nice bonus. 
  • If you have salary crediting and 3 bills, you would lose out, but if you save $500 a month, it would be the same.

For me, if my balances fall to around 40k, I would generally get the Step-Up bonus as I would be replenishing my cash reserves, else I would probably throwing a lot of funds into a market with very cheap valuations, in which the loss of this little amount of interest won't count for much.

Well, that's it for me.

How's the new rates working for you?

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