CPF interest rates to remain unchanged for third quarter of 2022
The Central Provident Fund Board logo seen on a building in Tampines. (File Photo: CNA/Calvin Oh)
SINGAPORE: Interest rates for Central Provident Fund (CPF) accounts will remain unchanged for the third quarter of 2022, the CPF Board and the Housing and Development Board (HDB) said on Friday (May 27).
From Jul 1 to Sep 30, CPF members below 55 will continue to earn interest rates of up to 3.5 per cent per annum on their Ordinary Account money, and up to 5 per cent per annum on their Special and Medisave Account (SMA) money.
These interest rates include an extra 1 per cent on the first S$60,000 of their combined balances, capped at S$20,000 for Ordinary Accounts.
For members aged 55 and above, the Government pays an extra 2 per cent interest on the first S$30,000 of their combined balances, capped at S$20,000 for Ordinary Accounts, as well as an extra 1 per cent interest on the next S$30,000.
"This means that they will earn up to 6 per cent interest per annum on their retirement balances," said CPF Board and HDB.
The extra interest paid to CPF members is part of the Government's efforts to enhance retirement savings for CPF members. Extra interest received on the Ordinary Account will go into the member's Special Account or Retirement Account.
"If a member is above 55 years old and participates in the CPF LIFE scheme, the extra interest will still be earned on his or her combined balances, which includes the savings used for CPF LIFE," they said.
The Ordinary Account interest rate will be maintained at 2.5 per cent per annum from Jul 1 to Sep 30. The concessionary interest rate for HDB housing loans, which is pegged at 0.1 per cent above the Ordinary Account interest rate, will also remain unchanged at 2.6 per cent per annum for the same period.
The prevailing interest rate of 4 per cent will be maintained for Special and MediSave accounts in the third quarter of 2022, and until the end of the year for Retirement Accounts.
