If you’re looking for ways to maximise your savings in Singapore, a multiplier account might be the answer. Multiplier accounts offer higher interest rates than traditional savings accounts, and they’re a great way to earn more money on your deposits. In Singapore, DBS Multiplier is one of the most popular options for a multiplier account.
To understand how a multiplier account works, you need to know that it’s a type of savings account that rewards you with higher interest rates for meeting certain criteria. These criteria can include things like making regular deposits, spending on a credit card, or taking out a home loan. The more criteria you meet, the higher your interest rate will be.
DBS Multiplier is a popular choice for multiplier accounts in Singapore because it offers high interest rates of up to 4.10% p.a. To qualify for the highest interest rate, you need to meet certain criteria, such as making a minimum monthly deposit of $2,000 and spending on a DBS/POSB credit card. DBS Multiplier also offers a range of other features, such as no minimum balance requirement and easy account opening.
Key Takeaways
- Multiplier accounts are a type of savings account that reward you with higher interest rates for meeting certain criteria.
- DBS Multiplier is a popular choice for multiplier accounts in Singapore, offering high interest rates and a range of features.
- To qualify for the highest interest rate with DBS Multiplier, you need to meet certain criteria, such as making a minimum monthly deposit and spending on a DBS/POSB credit card.
Understanding Multiplier Accounts
What Is a Multiplier Account?
If you’re looking for a way to earn higher interest rates on your savings in Singapore, a Multiplier Account may be the solution for you. This type of account is offered by several banks, including DBS, and is designed to reward you with bonus interest rates when you meet certain criteria.
A Multiplier Account typically requires you to credit your income, such as your salary or dividends, into the account. Additionally, you must transact in one or more categories, such as credit card spend, home loan instalment, insurance, or investments. The more categories you transact in, the higher the bonus interest rate you can earn.
Benefits of Multiplier Accounts
One of the main benefits of a Multiplier Account is the potential to earn higher interest rates on your savings. With DBS Multiplier, for example, you can earn up to 4.10% p.a. on your account balance, compared to the basic savings account interest rate of 0.05% p.a.
Another benefit of a Multiplier Account is the flexibility it offers. You can choose which income and transaction categories to credit and transact in, based on your financial goals and lifestyle. This means that you can customize your account to suit your needs and maximize your bonus interest earnings.
Overall, a Multiplier Account can be a great option for those looking to earn higher interest rates on their savings in Singapore. By understanding the criteria and benefits of this type of account, you can make an informed decision about whether it’s right for you.
Eligibility and Opening an Account
Who Can Open a Multiplier Account?
If you are a Singaporean or Permanent Resident, you are eligible to open a DBS/POSB Multiplier Account. Foreigners are also eligible to open the account, but they must have a valid work permit or employment pass.
The Account Opening Process
Opening a Multiplier Account is a straightforward process that can be done online. You will need to have a SingPass account to complete the application process. If you do not have a SingPass account, you can register for one on the SingPass website.
Once you have your SingPass account, you can begin the application process by visiting the DBS or POSB website and filling out the online application form. You will need to provide some supporting documents, such as your identification card or passport, proof of address, and income documents.
After you have submitted your application, you will need to make an initial deposit of at least $1,000 to activate your account. Once your account is activated, you can start earning interest on your savings.
Overall, opening a DBS/POSB Multiplier Account is a simple and convenient way to earn high interest on your savings. With a few simple steps, you can open an account and start earning interest on your savings today.
Maximising Your Interest Earnings
If you are looking to maximise your savings with a high-interest savings account in Singapore, the DBS Multiplier Account is a great option. With interest rates of up to 4.10% p.a., you can earn bonus interest rates by meeting certain requirements, such as crediting your salary and transacting in multiple categories.
How Interest is Calculated
The interest rate on your DBS Multiplier Account is calculated based on the following factors:
- Your account balance
- The number of categories in which you transact
- The amount of eligible transactions you make in each category
- Whether or not you credit your salary to your account
The interest rate you earn can range from 0.4% to 4.1% p.a., depending on these factors.
Strategies to Increase Interest Earned
To maximise your interest earnings on your DBS Multiplier Account, consider the following strategies:
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Credit your salary to your account: By doing so, you can earn a higher bonus interest rate on your account balance.
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Transact in multiple categories: The more categories in which you transact, the higher your bonus interest rate will be. Some of the eligible categories include credit card spend, home loans, and investments.
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Make eligible transactions in each category: To earn bonus interest, you need to make a certain amount of eligible transactions in each category. For example, if you transact in the credit card spend category, you need to make at least $2,000 worth of eligible transactions to earn the bonus interest rate.
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Maintain a high account balance: The higher your account balance, the higher your bonus interest rate will be. However, keep in mind that the bonus interest rate is only applied to the first $100,000 of your account balance.
By following these strategies, you can maximise the interest earned on your DBS Multiplier Account and grow your savings in Singapore.
Associated Fees and Features
Understanding the Fees
Opening a DBS Multiplier Account is free of charge. However, there are some fees associated with the account that you should be aware of. For example, if you withdraw cash from an ATM overseas using your DBS Multiplier Debit Card, you will be charged a service fee of $5. This fee is waived for withdrawals made in Malaysia, Indonesia, and China.
In addition, if your account balance falls below $3,000, you will be charged a monthly service fee of $5. However, this fee can be waived if you maintain a monthly salary credit of at least $2,000 or if you have a total relationship balance of at least $50,000 across your DBS/POSB deposit accounts, loans, and/or investments.
Additional Features and Perks
DBS Multiplier Account comes with several additional features and perks that make it a great option for those looking to maximize their savings. For example, you can link your DBS Multiplier Account to PayLah! to make payments and transfers seamlessly. You can also use your account to invest in the SGX-listed ETFs through the digiPortfolio feature.
Moreover, you can earn bonus interest rates of up to 4.10% p.a. on your savings, depending on the eligible transactions you make with DBS/POSB. These transactions include salary credit, credit card spend, home loan instalments, insurance premiums, and investments in the SGX-listed ETFs.
Finally, DBS Multiplier Account also comes with a free SGF Index subscription, which gives you access to real-time market updates and insights to help you make informed investment decisions.
Comparing with Other Savings Accounts
DBS Multiplier vs. Other DBS/POSB Accounts
DBS Multiplier account is a popular choice among Singaporeans due to its high-interest rates and flexibility. However, it’s important to compare it with other DBS/POSB accounts to see if it’s the best option for you.
DBS Autosave is a savings account that automatically saves a fixed amount of money from your DBS/POSB account to your DBS Autosave account. While it offers a higher interest rate than a regular savings account, it’s lower than the DBS Multiplier account. If you’re looking for higher interest rates, the DBS Multiplier account is a better option.
DBS Multiplier vs. Competitor Accounts
When it comes to comparing the DBS Multiplier account with competitor accounts, it’s important to consider the interest rates and requirements.
The UOB One account is a popular competitor to the DBS Multiplier account. While it offers higher interest rates for a lower minimum balance, it has more requirements to meet. For example, you need to spend a minimum of $500 on your UOB credit card to qualify for the higher interest rates. On the other hand, the DBS Multiplier account only requires you to credit your salary and make a minimum of one transaction with your DBS/POSB card.
The OCBC 360 account is another competitor to the DBS Multiplier account. It offers similar interest rates and requirements, but with a different focus. While the DBS Multiplier account rewards you for your salary and transactions, the OCBC 360 account rewards you for your savings, investments, and insurance.
Finally, the POSB SAYE account is a savings account that rewards you for saving regularly. While it offers a higher interest rate than a regular savings account, it’s lower than the DBS Multiplier account. If you’re looking for higher interest rates, the DBS Multiplier account is still the better option.
Overall, the DBS Multiplier account is a great option for those looking for high-interest rates and flexibility. While there are other options available, the DBS Multiplier account stands out for its simplicity and ease of use.
Frequently Asked Questions
How can you maximise the interest on your DBS Multiplier Account?
To maximise the interest on your DBS Multiplier Account, you need to transact in at least one of the eligible categories and ensure that your account balance is above the minimum required amount. The eligible categories include salary credit, credit card spend, home loan instalments, insurance, and investments. You can earn bonus interest on top of the base interest rate by performing eligible transactions in at least one category.
What’s the minimum balance required for a DBS Multiplier Account?
The minimum balance required for a DBS Multiplier Account is $3,000. However, if you are below 29 years old with no eligible income, the minimum balance required is $0.
How do you calculate the interest for your Multiplier Account in Singapore?
The interest for your Multiplier Account in Singapore is calculated based on the sum of your eligible transactions in each category. The interest is credited into your account in two parts: base interest and bonus interest (if any). The base interest is credited on the last calendar day of the month, while the bonus interest is credited by the 7th working day of the following month.
Which savings account offers the best interest rates in Singapore?
The DBS Multiplier Account offers one of the best interest rates in Singapore, with up to 4.1% p.a. on savings up to $100,000. Other savings accounts that offer high-interest rates include the UOB One Account, OCBC 360 Account, and Maybank Save Up Account.
What are the key differences between DBS My Account and the DBS Multiplier Account?
The key difference between DBS My Account and the DBS Multiplier Account is that the latter offers higher interest rates when you transact with DBS/POSB. The DBS My Account is a basic savings account that does not offer any bonus interest.
How can you close your DBS Multiplier Account?
To close your DBS Multiplier Account, you need to visit any DBS/POSB branch with your NRIC/Passport and your ATM/Debit Card. You can also call the DBS/POSB hotline to request for account closure. However, do note that you will need to clear all outstanding balances and fees before closing your account.