Is ELASTIQ another great alternative to High Savings A/C with 3 years locked in interest rate while banks may continue to adjust the interest rate down further?

Elastiq is definitely a good deal to consider. Considering most banks are lowering their interest rate, it is something you should consider.

Here is some key advantage of Elastiq:

1) Policy Protected by SDIC

This policy is protected under the Policy Owners' Protection Scheme which is administered by the Singapore Deposit Insurance Corporation (SDIC).

2) Guaranteed return

There is a guaranteed return of 1.8% p.a. for the first 3 years. This is quite competitive in this climate of low-interest rates.

3) Flexible Withdrawal

There is only a 90 days lock-in period. You can withdraw anytime after the 90 days lock-in period without penalty.

4) Bonus Return

There is a non-guaranteed bonus of 0.3% if there is no withdrawal in the first 3 years.

Here are some reviews by some Financial Bloggers - feel free to take a look.

• Strong and Frugal

• Heartlandboy

Do check out our NDP promotion for Elastiq if you are are interested to find out more.​​​

Elastiq is especially attractive in this time where bank interests are unlikely to rise to before in the coming months. This is what I have gathered on this product so far and hope this helps:
Pros:

1. 1.8% p.a. guaranteed crediting rate for the first 3 years

2. Lock-in period of only 90 days (unlike other endowment plans outside which can be 5-10 years long)

3. Flexible withdrawal - withdraw from your account without penalty or interest claw back 90 days after the policy issue date

4. Adhoc Top-ups - may perform a one-off top-up of a minimum of S$500

5. No penalty or interest clawback during withdrawal

6. Non-guaranteed bonus of 0.3% will be given every 3 years if no withdrawal has been made before.

Cons:

1. Lock-in period of 90 days

2. Minimum S$500 and in increments of S$500 per withdrawal

3. Nominal service fee would apply if your average daily account value for the policy month falls below S$5,000.

Bonus benefit: receive Etiqa eWallet credits worth 0.5% of policy’s premium value ($50 for $10k, $100 for $20k etc..!) when you tap on the referral promotion now. Reach out to me if you are interested in a referral code.