POSB SAYE Account Reviews

Assume that you are a salaried employee. Your employer credits your salary every month in your savings account and you use that account to meet all your monthly expenses, including household expenses and loan payments (if any). So what happens to the money that is left in your savings account after you have met all your expenses? Do you just keep it in your account? On the positive side, keeping money in the salary account gives you the much-needed liquidity in times of emergency. On the negative side, your money is just lying idle and you are losing out on returns that you could earn by investing it somewhere. It’s for such situations that the POSB SAYE Account was designed. This account lets you save money as you earn money. It allows you to earn an additional interest of 2% p.a. on an amount that you transfer to this account from your POSB/DBS salary crediting account. It also doesn’t take away the liquidity of your money since you can withdraw your funds at any time through POSB branches, internet banking, DBS phone banking, and ATMs. What’s more? You can decide the amount that you wish to contribute to this account, as long as it’s in multiples of S$10. Read on to understand everything you need to know about this account.

Features and Benefits: Earn Bonus Interest of 2% p.a. for the First Two Years

Here are the key features and benefits of the POSB SAYE Account:

  • Bonus interest: You can earn a bonus interest of 2% p.a. for the first two years, in addition to the base rate. However, to earn the bonus rate, you should not make any withdrawals from this account for the first two years.
  • Fixed monthly contributions: You can choose any amount that you wish to contribute to this account every month. Your fixed monthly contribution should be in a range of S$50-S$3,000 and should be in multiples of S$10.
  • Fund transfer date: You can also choose the date of the month when you wish to transfer the funds to this account. You can choose any date between the 1st and the 25th day of a month.
  • SAYE-GIRO for automatic fund transfer: You don’t have to transfer the funds manually every month. Once your POSB/DBS salary crediting account is linked with this account, the amount will get automatically transferred to the SAYE Account through SAYE-GIRO facility.
  • Base interest: The base interest you will earn on your deposits in the SAYE Account is based on the amount you transfer every month. Check out the interest rates section below to find out more about base interest.

Promotions: Get a S$20 Cash Gift Plus a Chance to Stay at The Canopi

  • Open a POSB SAYE Account online and get an assured cash gift worth S$20. Additionally, 50 lucky applicants will get a complimentary one night stay in a deluxe tent at The Canopi, Bintan.
  • To be eligible for the promotional offer, you must maintain your monthly contributions to the SAYE Account for at least six months (without having an unsuccessful contribution) and make no withdrawals during this period.
  • The promotion expires on 31 October 2018.

Interest Rates: Earn Base Rate of Up to 0.25% p.a. Plus Bonus Interest of 2% p.a.

The interest you will earn on your savings in the POSB SAYE Account will include bonus interest of 2% p.a. and a base interest of up to 0.25% p.a. The base interest will be determined on the basis of the amount you contribute to this account every month.

Base Interest Rates on POSB SAYE Account

Monthly deposit amount Interest Rate
S$50 - S$290 0.05% p.a.
S$300 - S$790 0.20% p.a.
S$800 - S$1,490 0.25% p.a.
S$1,500 - S$3,000 0.25% p.a.
Interest rate in case you fail to deposit the monthly amount or you make withdrawal or you close the account 0.05% p.a.

Bonus Interest Rate on POSB SAYE Account

You will earn a bonus interest of 2% p.a. on your monthly deposits in this account, if:

  • You don’t make any withdrawal in the first 24 months.
  • You continue to credit your salary to the POSB/DBS account that is linked with this account.
  • You don’t close the account within the first 12 months of opening it. In case you close the account sometime between the 13th and the 24th month, you will earn bonus interest only for the first 12 months.

Fees and Charges

You will have to pay a fee of S$20 if you close your POSB SAYE Account before the 24-month term. The fee will be automatically charged to your SAYE Account at the time of closure.

Are You Eligible to Open This Account?

You are eligible to open this account if you are 16 years or older and if you have a POSB/DBS account (current or saving) as your salary account. Remember that if your age is below 18 years, you will need a valid internet banking login/debit card for applying online.

Documents Required

If you are applying online, you don’t need to provide any supporting documents. However, if you are applying at a branch, you will need the following documents:

Singaporeans and PRs

  • NRIC.


  • Passport.
  • Work pass as issued by the Singapore’s Immigration and Checkpoint Authority.
  • Address proof: Ministry of Manpower issued in-principle-approval letter OR telephone bill OR utility bill OR bank/credit card account statement OR letter from your current employer OR letter from any government body regulated for AML practices in an FATF member country OR letter from any of the regulated insurance organisations in an FATF member country.

How to Apply for POSB SAYE Account

There are two ways you can apply for this account:

Apply Online

For online application, you can use any of the following:

  • Your iBanking login credentials.
  • Your debit card/ATM card and PIN.
  • Your MyInfo login credentials.

Apply at a Branch

You can visit any nearest POSB/DBS branch to apply for this account. Remember to carry your supporting documents if you are applying at a branch.

Frequently Asked Questions

Q. What happens if there are insufficient funds in my designated salary crediting account?

A. If the funds in your designated POSB/DBS salary crediting account are not sufficient to make the transfer, you will have to deposit the amount in cash over the counter.

Q. When will the bonus interest be credited to my account?

A. The bonus interest earned for the first 12 months will be credited in the 13th month, while the interest for the next 12 months will be credited in the 25th month.

Q. What happens to my SAYE Account after it matures?

A. Once your SAYE Account matures, you can do any of the following:

  • Transfer the account balance to an SGD fixed deposit account or any other appropriate account and continue the SAYE Account for another term of 24 months with the existing contribution amount.
  • Close your SAYE Account after transferring the balance to a designated account of yours.
  • Continue your SAYE Account without making any new contributions. In this case, you will continue to earn the prevailing base rate plus the bonus rate. Certain terms and conditions will apply.

Q. What will happen to my bonus interest if I make a withdrawal from the account before maturity?

A. If you withdraw any amount in any month, the bonus interest for that month as well as for the previous months will be forfeited.

Q. Are there any checking or credit facilities available with this account?

A. No, there is no checking or credit facility available with this account.

Q. Can I open multiple POSB SAYE accounts?

A. No. You can only hold one POSB SAYE account at any given point in time.

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