1.28% Savings Account?

Wa, 1.28% is not bad. Actual link is here. Let’s look at the details:

  • Initial deposit of $1,000- $5,000
  • Monthly GIRO of $200 – $10,000
  • Interest rate for first $200,000 balance
  • No restriction for withdrawal

Questions that need to be answered, but with no information:

  • What is the minimum bank balance?
  • Is there a fall-below fee?
  • How is the GIRO set up? Authorization to SIF to deduct from your appointed bank?
  • *BONUS* Will this GIRO be considered as a GIRO transaction by your appointed bank?
  • *BONUS* How MANY GIRO deductions can be set up? ie. Can 1 SIF account be used to GIRO in money from multiple bank accounts?

This looks quite enticing. Current market competitors are CIMB FastSaver (1%, minimum $1,000 deposit) and Citibank Maxigain (0.75% – 1.95%, minimum $15,000). As a pure savings-only account, either for emergency or general savings, these 3 accounts are pretty good.

If you have a small sum and you can’t spare a $200 GIRO, go for CIMB and get 1%
If you have a small sum and you can spare a $200 GIRO, go for SIF and get 1.28%
If you have a large sum and you are okay to wait, go for Citibank and get 0.75% that will roll up into a very formidable 1.95%

Personally, I like seeing that consumers are getting good options. Personally, I use CIMB FastSaver for money that I think I might need to withdraw soon, while the rest of my emergency fund is nicely sitting in Citibank MaxiGain, getting 1.65% as of last month.

With OCBC being such a bitch for dropping their 360 interest rates, Citibank looks set to be the contender for their money. Once I max out at 1.95%, there is no reason to fulfill any criteria with OCBC anymore, since throwing it all into Citibank would yield me even higher interest and with no hoops the jump.

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