What are the pros and cons of starting a savings plans with prudential? What are most people's thoughts on it?

Besides what both Cheries have mentioned, I'll add on one more con: relatively low returns. Returns of about 3% a year is kinda low and you will likely need to set aside a large amount of premium to reach your financial goals.

If you are comfortable with holding stocks and know which are the good ones to hold they may potentially be a better idea returns wise and help reach your financial goal faster. You can also setup a recurring monthly programme through something like ocbc's blue chip investment plan.

Personally I won't touch an endowment plan precisely cos of what I mentioned above. Started on one years back as I didn't know any better but sold it away a couple of years ago to fund something that is giving me mid double digit returns a year compounded.

Hi there, I'm presuming that you are referring to an endowment plan, I have listed down some of the pros and cons to it.

Pros:

• Guaranteed returns
• There are also non-guaranteed returns
• It disciplines you to save regularly
• Some insurance coverage (but if you are looking solely for saving purposes, this might be a disadvantage as it comes at some costs)

Cons:

• Long commitment period
• The actual return on the participating fund is not what the policy holder receives.

Some may prefer doing their own investment as it provides more flexibility and control at lower cost, some may prefer investing into Singapore Saving Bonds and some might prefer endowment plan as it of a more disciplined structure. There are many tools around that will help encourage savings, ulltimately, it is important to know what your goals are and what you want to achieve while doing so. Here we have laid out the basics on saving plans, but please do your own due diligence before making any commitments!