SINGAPORE - Central Provident Fund (CPF) members will continue to earn annual interest rates of up to 3.5 per cent on their Ordinary Account (OA) monies, and up to 5 per cent on their Special and Medisave Accounts (SMA) monies in the third quarter of 2017.
These rates include the extra 1 per cent interest paid on the first $60,000 of a member's combined balances (with up to $20,000 from the OA), which is part of the Government's efforts to enhance members' retirement savings, said the CPF Board and Housing and Development Board (HDB) in a joint statement on Friday (May 12).
CPF members aged 55 and above will also earn an additional 1 per cent interest on the first $30,000 of their combined balances, which is over and above the current extra 1 per cent interest earned on the first $60,000 of their combined balances. This takes the interest on their retirement balances to up to 6 per cent per year.
The CPF Board and HDB said the OA annual interest rate will be maintained at 2.5 per cent from July 1 to Sept 30, as the computed rate of 0.24 per cent is lower than the legislated minimum interest rate.
Meanwhile, the concessionary interest rate for HDB mortgage loans - pegged at 0.1 per cent above the OA interest rate - remains unchanged at 2.6 per cent per annum for the quarter.
The SMA annual interest rate will be maintained at 4 per cent for the quarter. The Retirement Account annual interest rate will be maintained at 4 per cent for the year 2017.
For more informtion, go to cpf.gov.sg or call the CPF Call Centre on 1800-227-1188.