UOB One Account

New Interest Rates for UOB One Account

As of 1 August 2020, UOB will be changing their interest rates again for the UOB ONE Savings Account. The newest change will affect both categories A and B, with the hardest hit being category B.

This change will affect the interest rates in both categories of:

CATEGORY A: spending S$500 on UOB One Card

• Category A has been hit by a 50% decrease with its 0.50%p.a. lowered to 0.25%p.a. from account balances below S$75,000.

CATEGORY B: spending S$500 on UOB One Card + Salary Crediting of at least S$2,000 (or making 3 GIRO debit transactions)

• Category B has been hit more dynamically, with a decrease ranging from 0.40 to 1.18%.

All these changes are illustrated in the table below:

Updated UOB One Account Interest Rates with effect from 1 Aug 2020

How to Get the Highest Interest rates for UOB One Savings Account?

To enjoy the bonus rate, you definitely have to hit at least Category A of spending S$500 on a UOB Card each calendar month.

Qualifying UOB Cards include:

• UOB One Card
• UOB Lady’s Card
• UOB YOLO
• UOB One Debit Mastercard
• UOB One Debit Visa Card
• Mighty FX Debit Card

To maximise the highest possible interest rates accruable, it is recommended to hit Category B where the interest rates are:

• 0.75% p.a. bonus for the first S$15,000 of your account balance.
• 0.85% p.a. bonus for the next S$15,000 of your account balance.
• 0.90% p.a. bonus for the next S$15,000 of your account balance.
• 1.00% p.a. bonus for the next S$15,000 of your account balance.
• 2.50% p.a. bonus for the next S$15,000 of your account balance.
• 0.05% p.a. bonus for total account balance above $75,000

Is UOB ONE the One Best Savings Account for you in 2020?

It is relatively simple to perform the two UOB One Account actions to qualify for category B. Additionally, UOB also offers flexibility for those who cannot perform the salary crediting action with their 3 GIRO transactions action.

Taking the advice from our blog analysis: Despite UOB drastically reducing interest rates across the board, you won’t get much better with other banks considering the multitude of changes made to many other savings accounts in 2020.

We will refrain from making further comparisons as we believe that with the newest rate revisions, the pros of UOB ONE Account will become highly limited.

We are also anticipating other savings accounts to follow suit. As such, we will hold off making verdicts until the dust has settled.

(The assessment below is based on rates prior to the May 2020 rate revision)

Pros:

• Overall, UOB ONE provides competitive interest rates
• Simple and fuss-free account that does not require the fulfillment of many criteria to gain bonus interest rates
• Suitable for consumers who only plan to credit their salary and spend via card.

Cons:

• Does not incentivise additional spending on other financial products like loans, investments, or insurance
• Requires a relatively high balance of at least S$60,000 to reap the highest bonus rates possible
• Not suitable for those not looking to spend from this account

Want to know how UOB One Account compares with other savings accounts? Here's a compilation of The Best Savings Accounts in 2020.

Terms and fees for UOB One Savings Account

• Initial deposit: S$1,000
• Minimum Average Daily Balance: S$1,000
• Fall below fee: S$2
• Early closure fee: S$30 within 6 months of opening an account

Eligibility: who can apply for UOB One Account?

• Citizenship status: Singaporeans, PRs and Foreigners
• Minimum age to open an account: 18 years old

For more information, you can check out their website here.