Savings Accounts

Best Savings Accounts That Give You High Returns

If you are looking to up your savings game this year, we showcase three savings accounts that will help you achieve your goals of being a super saver in 2023.
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Savings accounts have made a resurgence in today’s era of high interest rates. Banks across the board have increased their interest rates for their savings accounts to levels we haven’t seen in years. With the vast number of different savings accounts out there that offer different promotional rates, you might be confused as to which savings account will best suit your needs.

We break down three of the most attractive savings accounts for the average young working adult in Singapore so that you are able to make a more informed decision about how to best maximise your savings.

For the ease of comparison, we shall assume the profile of an average Singaporean early-career working adult, who:

  • Has an account balance of at least S$10,000
  • Has at least S$2,000 of salary credited into their savings account every month after CPF contributions
  • Spends at least S$500 a month on their debit or credit card
  • Pays at least three giro bills a month

Lowest Hurdles to Enjoy High Interest Rates – UOB One Savings Account

UOB One Account
UOB One Account
Consider this if You're a consistent saver with a stable budget Read Our Full Review
  • Min. Age Requirement
    • 18
    • Min. Initial Deposit
      • S$1,000
      • Min. Balance Requirement
        • S$1,000
        Account Monthly Average BalanceSpend min. S$500 a month on an eligible UOB credit/debit card
        Total Interest (p.a.)
        Spend min. S$500 a month on an eligible UOB
        Total Interest (p.a.)
        Spend min. S$500 a month on an eligible UOB card AND credit your salary of at least S$1,600 via GIRO
        Total Interest (p.a.)
        First S$30,0000.65%2.50%3.85%
        Next S$30,0000.65%3.00%3.90%
        Next S$15,0000.65%4.00%4.85%
        Next S$25,0000.05%0.05%7.80%
        Above S$100,0000.05%0.05%0.05%
        Max Effective Interest Rate at S$100k balance:5.00%
        Effective Interest Rate for the average young working adult3.85%
        Promotional rates, if any, are not included

        The UOB One savings account is a good option for those who want to take the simplest approach to maximising their savings. The two main criteria to unlock the highest levels of bonus interest — crediting your salary of at least S$1,600 and spending S$500 a month on a UOB card — make it such that almost all working Singaporeans should be able to enjoy the high interest rates without much hassle.

        WIth the UOB One savings account, the bonus interest earned is less dependent on the number of financial products you have with UOB, and more dependent on your savings account balance. The more you grow your account balance, the higher interest rates you will enjoy.

        Do keep in mind that the interest rates given by UOB are tiered. If you have an account balance of S$100,000, you will not enjoy 7.80% interest on the whole S$100,000, but only on the last S$25,000. The maximum effective interest rate (EIR) for an account balance of S$100,000 is a healthy 5.00% p.a. For the average young working adult with an account balance of S$10,000, you will enjoy an EIR of 3.85% p.a.

        Related: UOB One Savings Account Raises Interest Rates to 7.8% - Should You Save Or Invest?

        Highest Maximum Effective Interest Rate in the Market – OCBC 360 Savings Account

        PROMO: None currently available
        Consider this if You're a consistent saver with a stable budget Read Our Full Review
        • Min. Age Requirement
          • 18
          • Min. Initial Deposit
            • S$1,000
            • Min. Balance Requirement
              • S$3,000
              Rate TypeDetails & RequirementsInterest Rate
              Base RateNo Requirements; applied to entire balance0.05% p.a.
              Grow Bonus
              • Maintain balance of at least S$200k
              • (Bonus interest added to base rate)
              +2.40% p.a. on first S$100k
              Step-Up Bonus
              • Deposit at least S$500/month
              • (Bonus interest added to base rate & applied
              • to specific band of balance)
              +1.20% p.a. on first S$75k
              +2.40% p.a. on next S$25k
              Spend Bonus
              • Spend S$500/month on OCBC credit card
              • (Bonus interest added to base & applied to
              • specific band of balance)
              +0.60% p.a. on first S$100k
              Salary Bonus
              • Credit S$2k+ salary to account via GIRO
              • (Bonus rates added to base rate & applied
              • to specific band of balance)
              +2.00% p.a. on first S$75k
              +4.00% p.a. on next S$25k
              "Wealth" Bonus
              • Insure or invest with OCBC Bank
              • (Bonus rates added to base rate & applied
              • to specific band of balance)
              +1.20% p.a. on first S$75k
              +2.40% p.a. on next S$25k
              Max Effective Interest Rate at S$100k balance:7.65%
              Effective Interest Rate for the average young working adult3.85%
              Max EIR is highest at a S$100k balance even with the Grow Bonus left inactive. Promotional rates, if any, are not included

              The total EIR that you are able to obtain with OCBC’s 360 savings account on an account balance of S$100,000, without the growth bonus, would be 7.65% p.a. This is the highest maximum EIR of the three accounts showcased in this article.

              If you are considering depositing S$200,000 in the OCBC 360 savings account to meet the growth bonus criteria, this would make the interest earned on the first $100,000 in your savings account a whopping 10.05% p.a. The interest on the next S$100,000 would only be the base interest of 0.05% p.a. The extra interest you would earn from doing so would be S$290 in a year (S$240 from the growth bonus and S$50 from the base interest on the next S$100,000).

              Realistically, most of us will not choose to purchase an investment or insurance product purely to unlock the bonus interest. The average Singaporean is also unlikely to keep S$200,000 in a savings account. A more realistic expectation would be to meet the salary, save and spend bonuses criteria to get an EIR of 4.65% p.a. for an account balance of S$100,000. For an account balance of S$10,000, the effective interest rate would be 3.85% p.a, making the OCBC 360 one of the savings account with the higher interest rates for the average working young adult.

              Read Also: Best Fixed Deposit Rates & Promotions in Singapore

              Best For High-Income Earners with Low Bank Account Balances – Bank of China SmartSaver

              Bank of China SmartSaver
              Bank of China SmartSaver
              Consider this if you're just getting started on your savings journey
              • Min. Age Requirement
                • 18
                • Min. Initial Deposit
                  • S$200
                  • Min. Balance Requirement
                    • S$200
                    Interest CategoriesCriteriaInterest Rate (p.a.)
                    Base Interest RateAccount Balance of less than S$5,0000.15%
                    Account Balance of S$5,000 - S$19,9990.20%
                    Account Balance of S$20,000 - S$99,9990.30%
                    Account Balance of S$100,000 and above0.40%
                    Wealth Bonus InterestPurchase of eligible insurance products to earn this bonus interest for 12 consecutive months2.40%
                    Card Spend Bonus InterestMonthly spend of S$500 - S$1,4990.50%
                    Monthly spend of S$1,500 and above0.80%
                    Salary Crediting Bonus InterestCredit a combined monthly salary of S$2,000 - S$5,9991.90%
                    Credit a combined monthly salary of S$6,0002.50%
                    Payment Bonus InterestComplete three bill payments of at least S$300.90%
                    Extra Savings InterestApplication on to your account balance of S$100,000 – S$1,000,0000.60%
                    Maximum Effective Interest Rate at S$100k balance (excluding extra savings interest)7.00%
                    Effective Interest Rate for the average young working adult3.50%
                    Effective Interest Rate for a high income earner4.40%
                    Promotional rates, if any, are not included

                    The maximum EIR that you can earn if you meet their higher tier of all the bonus interests on an account with a balance of S$100,000 is 7.00%. Assuming our profile of the average young working adult in Singapore, you would be able to meet the lower criteria for the card spend bonus, salary crediting bonus as well as the payment bonus. Together with the based interest earned, you will enjoy an effective interest rate of 3.50% p.a. on your savings account.

                    At first glance, this looks less attractive than the UOB One and OCBC 360 savings accounts. However, if you are someone with a higher monthly income and a corresponding higher monthly expenditure, you are able to enjoy a higher card spend bonus as well as a significantly higher salary crediting bonus interest. This applies even if you have multiple jobs as long as your combined monthly salary credited into your bank account is S$6,000. If you spend at least S$1,500 a month, and have a monthly income of at least S$6,000 after CPF contributions, you would be able to earn 4.4% p.a. on your savings account.

                    Hence, Bank of China’s SmartSaver account benefits those who are just starting to grow their savings account but already have a high income and moderately high monthly expenses. Unlike a lot of other savings accounts such as the UOB One savings account, where the bonus interest tiers are dependent on your account balance, the Bank of China SmartSaver account allows you to enjoy high interest rates of over 4% with a relatively low savings account balance.

                    If you would like to explore even more different savings account options that are currently on the market, check out our roundup of the best savings accounts in Singapore.

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                    Enya Rodrigues

                    Enya is a budding Research Analyst at ValueChampion. She has a BA in Economics from the University of Melbourne and has previously worked in the banking sector. Enya combines her experience and passion for personal finance to bring digestible and enriching financial content to readers.