CPF Q3 rates: Slight rise for Special, MediSave & Retirement Accounts to 4.08%

SINGAPORE: The Central Provident Fund (CPF) has set the interest rate for members’ Special, MediSave, and Retirement accounts at 4.08% per annum for the period from 1 July to 30 September.

This represents a slight increase from the 4.05% rate observed in the second quarter of 2024, marking a return to the rate declared in the first quarter of the same year.

In a joint statement released on Wednesday (29 May), the CPF Board and Housing Board attributed this marginal rise to an increase in the 12-month average yield of 10-year Singapore Government Securities (10YSGS), to which the interest rate for these accounts is pegged, plus 1%.

Meanwhile, the interest rate for Ordinary Account (OA) savings remains unchanged at 2.5% for the third quarter of 2024, as its pegged rate remains below the floor rate of 2.5%.

Correspondingly, the concessionary interest rate for HDB housing loans, which is pegged at 0.1% above the OA interest rate, will also remain unchanged at 2.6% for the same period.

CPF members below 55 years old will continue to earn an additional 1% interest on the initial S$60,000 (US$44,460) of their combined account balances, capped at S$20,000 for the OA.

Similarly, those aged 55 and above will persist in earning an extra 2% interest on the first S$30,000 of their combined balances, with the same OA cap, and an additional 1% on the subsequent S$30,000.

The additional interest accrued on OA balances will be directed to a member’s Special Account or Retirement Account, clarified the CPF Board and HDB.

“If a member is above 55 years old and joins CPF LIFE, the extra interest will be earned on their combined CPF balances, which includes the savings used for CPF LIFE,” said the statement.