i) The salary credit component has increased from 1% to 1.2% p.a.
ii) The bill payment and spending components have reduced from 1% to 0.5% p.a. each.
iii) There is a new invest or insure component where you get 1% per year once you insure for minimum $8000 per annum or invest with a minimum of $40k. Good thing is this bonus will keep running every month for the next 12 months.
iv) There is a new 1% p.a. incremental bonus on the incremental account balance (Note: it’s the DIFFERENCE between the 2 months average daily balance and not the TOTAL)
v) The maximum amount for the bonus interests (max 3.25%) has increased from $50k to $60k
Overall, the total interest p.a. has dropped from 3.05% to 2.25% if you follow the existing tiers. However, you get additional bonus on $10k more! The bonus 1% is good for people who are looking to invest in Unit Trusts or insurance. With the last 1% for incremental bonus, maybe it is not necessary to keep moving your money out every month but instead just keep to accrue the bonus interest.
For more information, check out the OCBC 360 page here