SINGAPORE - The interest rates of Central Provident Fund (CPF) accounts will remain unchanged in the second quarter of 2022, the Housing Board and CPF Board said on Friday (Feb 11).
From April 1 to June 30, CPF members below 55 years old will continue to earn interest rates of up to 3.5 per cent a year on their Ordinary Account, and up to 5 per cent a year on their Special and MediSave accounts.
These interest rates include the extra 1 per cent interest on the first $60,000 of their combined balances, capped at $20,000 for the Ordinary Account.
For members aged 55 and above, the Government pays an extra 2 per cent interest on the first $30,000 of their combined balances (capped at $20,000 for Ordinary Account), and an extra one per cent on the next $30,000.
This means that they will earn up to 6 per cent interest per year on their retirement balances.
The extra interest paid to CPF members is part of the Government's efforts to enhance the retirement savings of CPF members.
The extra interest on the Ordinary Account will go into members' Special Account or Retirement Account to enhance their retirement savings.
For CPF members who are over 55 and participating in the CPF Life scheme, which provides a lifelong monthly payout that begins when the member turns 65 years old, the extra interest will still be earned on their combined balances, which include the savings used for CPF Life.
From April to June 2022, the yearly floor rate of 2.5 per cent interest earned on the Ordinary Account will be maintained, as will the 4 per cent floor rate for the Special and MediSave accounts.
The 4 per cent floor rate on the Retirement Account will remain unchanged for the rest of the year, as announced on Sept 27 last year.
The concessionary interest rate for HDB housing loans, which is pegged at 0.1 per cent above the Ordinary Account interest rate, will remain unchanged at 2.6 per cent a year.
For more information on CPF interest rates and their computation, members of the public can visit cpf.gov.sg/CPFInterestRates.