In today’s economy, maximising savings is more important than ever. As a Singaporean looking to grow my hard-earned money in the easiest way possible, I embarked on a quest to find the ideal savings account.
After exploring various options, I landed on the UOB One Savings Account. Here’s why I believe it’s a game-changer, and how you too can effortlessly get up high interest rates without jumping through too many hoops.
Update as of 2 April 2024: With effect from 1 May 2024, UOB will be lowering its interest rates to 4.5% per annum for the UOB One Account. The bank will also increase its savings cap from S$100K to S$150K. For more information, click here.
Disclaimer: Please note that this is an opinion piece based on an individual experience and is not intended as financial advice. It’s crucial to conduct your own research and consider your personal financial circ*mstances before making any decisions.
My Experience with UOB One Savings Account
The UOB One Savings Account initially drew me in with its straightforward approach:
- Simply credit your salary (minimum S$1,600)
- Spend a minimum of S$500 per month on any eligible UOB credit card
What truly impressed me was the 7.8% interest rate — one of the highest I’ve encountered in the Singaporean market. This translates to significant potential returns, especially for individuals like myself who prioritise saving for the future.
In order to have the maximum amount of interest, you’ll need to maintain an account balance of S$100,000.
Update as of 2 April 2024: With effect from 1 May 2024, the interest rates for balances of S$100K will be lowered to 4.5%. Two new tiers will be introduced, where you can get 4.5% and 6% in interest for balances of $125K and $150k respectively.
With these changes, you can still earn up to S$6,000 total interest in a year for deposits of S$150,000 when you spend a minimum of S$500 on eligible UOB Cards and credit your salary (minimum S$1,600) via GIRO/PAYNOW each calendar month.
Here’s the UOB One Savings Account interest rate table for your reference:
Update as of 2 April 2024:
Here’s the link to calculate how much interest you can potentially get with the UOB One Savings Account.
After using the account for some time, I can confidently attest to the ease of meeting the qualifying criteria and the transparency of the interest rate calculation (if not, I wouldn’t be recommending it to you guys).
I find that these criteria seamlessly integrate with my existing financial habits, as using one of the eligible credit cards for everyday spending (more on this later) allows me to accumulate rewards points as well.
How to maximise your benefits
To unlock the full potential of the UOB One Savings Account, here are my key recommendations:
Salary Crediting: Ensure your salary is channelled directly into your UOB One Savings Account. This is not only a crucial step for qualifying for the highest interest rate, but it also promotes financial discipline by keeping your savings readily available.
You can also opt to utilise three GIRO transactions, but as you can tell, the amount of interest you’ll get drops significantly.
Strategic Credit Card Use: Choose an eligible UOB credit card that aligns with your spending habits. Utilise this card for everyday purchases to not only meet the minimum spending requirement but also benefit from accumulated rewards points.
Remember to pay your credit card bills in full and on time to avoid incurring interest charges and undermining your savings efforts.
Eligible UOB Credit Cards (and my favourite one!)
UOB offers a diverse range of credit cards that qualify for the UOB One Savings Account’s highest interest tier, catering to various spending preferences:
UOB One Card: This cashback card offers up to 15% cashback on selected online and in-store categories, making it ideal for everyday spending.
EVOL Card: This cashback card grants up to 8% cashback on online and mobile spend.
UOB Lady’s Card (top pick!): This points/miles card gives you 4 MPD on up to S$1,000 spend per month on one category of your choosing.
The categories you can pick from include:
- Beauty & Wellness
- Fashion
- Dining
- Family
- Travel
- Transport
- Entertainment
The category can be changed every quarter, depending on your needs.
UOB Lady’s Solitaire Card (top pick!): This premium card has a minimum salary requirement of S$120,000 per year. This points/miles card gives you 4 MPD on up to S$2,000 spend per month. Card holders may choose up to two preferred rewards categories (pick from the same list as UOB Lady’s Card).
Quarter calendar
Conclusion (as of 2 April 2024)
UOB did not make any changes to the requirements of achieving the One Account bonus interest. You will be eligible for the bonus interest when you continue to:
- Make a minium card spend of S$500 per calendar month
- Credit a salary of at least S$1,600 per month
- Eligible credit cards continue to include the UOB One Card, UOB Lady’s Card (all card types) and the UOB EVOL Card.
