Since I can withdraw SSB without much penalty, should I keep emergency funds in SSB?

Hi anon,

This would depend on the SSB interest rate at the moment. If the rates are good, you can put them in SSB, but with staggering of your funds. They're terrible now though. High interest savings account would work best, and if you have maxed that out, then move into SSBs/FDs or money market funds.

As an example, you could divide your emergency funds into 3 portions, one in your bank with enough to last 3-4 months, another portion in SSBs to last 3-4 months, and the last one in a 1 year FD or similar.

This ensures that you have liquidity, as you would only need prepare to cash out the SSB when your balance in your bank drops to around 1 - 2 months of your expenses.

If you haven't done it, dont bother. The SSB rates now are pathetic.

Go create Singlife Account. (Google it and see reviews on Seedly) First 10k get 2.5% p.a.

If you are below age 26, go create SBC Jumpstart 2% p.a. for first 20k.

With that, you will have 30k emergency funds in LIQUID CASH.