CPF interest rates of 3.5% to be extended to first quarter of 2016

Logo of CPF at its former building at Robinson Road.
Logo of CPF at its former building at Robinson Road. PHOTO: ST FILE

SINGAPORE - Central Provident Fund (CPF) members will continue to earn interest rates of up to 3.5 per cent a year for their Ordinary Account (OA) from Jan 1 to March 31 next year.

This extension of the same interest rates was revealed by CPF and the Housing Development Board (HDB) in a joint press release on Monday (Nov 30).

They will also earn up to 5 per cent per annum on their Special and Medisave Accounts (SMA) over the said period.

Up to 5 per cent a year can also be earned on members' Retirement Account (RA) monies. It includes an additional 1 per cent interest paid on the first $60,000 of a member's combined balances (with up to $20,000 from the OA), as part of the Government's efforts to enhance retirement savings.

Meanwhile, those aged 55 and above will earn an extra 1 per cent interest on the first $30,000 of their combined balances from January 2016, increasing the interest earned to 6 per cent.

Other interest rates will remain the same over the first quarter of 2016.

The OA interest rate stays at 2.5 per cent a year, the concessionary interest rate for HDB mortgage loans - pegged at 0.1 per cent above the OA rate - will be maintained at 2.6 per cent and the SMA interest rate remains unchanged at 4 per cent.

The RA interest rate will also be maintained at 4 per cent for the period between Jan 1 and Dec 31, 2016.

For further enquiries, CPF members can visit www.cpf.gov.sg or contact the CPF Call Centre at 1800-227-1188.