I'm 21 but I don't earn enough to benefit from savings account like DBS multiplier/apply for a credit card, how else can I maximise my savings?

I have been working for a few months but the minimum amount to hit for most accounts in order to earn interest is above 2000(i draw about 1.98k), which i do not hit after CPF. I currently have a Jumpstart account, but is there anything else i can do to maximise savings?DBS Multipler account apparently does not allow you to change card after setting, which im afraid if i link to my debit card i will lose out. Any help is appreciated, :)

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Pang Zhe Liang

13 Apr 2020

Fee-Based Financial Advisory Manager at Financial Alliance Pte Ltd (IFA Firm)

Your Standard Chartered JumpStart account allows you to earn 2% interest per annum for the first $20k balance. In most cases, this is more than what you need as rainy day funds.

More Details (Part 4.1):

Understanding Your Personal Cash Flow

In the situation when you need to boost short term liqudity, then such settings may make sense.

You may consider CIMB FastSaver to this end. This is because it gives an interest rate of 1% per annum for the first $50k account balance. In like manner, there is no monthly fee associated with maintaining the account. Hence, it is worth taking a look as well.

If you draw the same fixed salary every month, then you may consider OCBC 360. Its base interest starts at 1.20% for salary crediting (from May 2020 onwards).

Depending on your expenses (use the guide in the hyperlink above to help you), UOB One may be a possible option as well.

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Zachary Teo

12 Apr 2020

Art Director at Ad Agency

Hey Anon! I think having a Jumpstart account is great start, as for the additional maximising I would say consider the Singlife account as the rest have suggested.

However, personally for me, I would recommend you to go for full deposit on Jumpstart from now till 26 years old. The interest rate is super attractive which easily allow you to grow your cash. As for maximising spendings, Grab card will be good (although their point system is sucky now) to redeem points and get some redemption now and then. Singtel Dash is pretty good now too.

By 26, I forsee that your salary have also increase and that is when you also switch to accounts with higher interest and allow you to get a credit card. And if the spendings within this 5 years is low, you should be able to hit above $10k and shift to an account with higher interest.

Hope this helps!

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