[SINGAPORE] While local banks are dropping their interest rates on savings accounts, Standard Chartered Bank (StanChart) has raised its rates to an all-time high.
Its revised interest rates, which took effect on Jun 1, is a two percentage point increase to 8.05 per cent, from 6.05 per cent previously. This is the highest rate available in the industry for comparable savings accounts.
Conversely, local banks such as UOB and OCBC trimmed the interest rates on their respective savings accounts last month to align with “long-term interest rate environment expectations”.
Bonus$aver, StanChart’s flagship deposit account, features a tiered interest rate structure, rewarding clients who deepen their engagement with the bank through activities such as salary crediting, card spend, insurance and investment.
A new enhancement to the investment category will allow equity trades of at least S$20,000 through its online trading service, SC Online Trading, to qualify for interest alongside unit trust purchases.
Account holders will still have to fulfil several criteria to earn the bonus interest rates – including crediting a minimum monthly salary of S$3,000 and spending a minimum of S$1,000 on eligible credit and debit cards.
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With the new rates, account holders who meet the criteria are now able to earn a bonus interest rate of 1.5 per cent each year, up from 1 per cent, for card spend and salary credit.
They will also have to be insured and investing with the bank, where they can enjoy interest rates of up to 2.5 per cent.
While its base interest rate of 0.05 per cent remains unchanged, interest rates across all other engagement pillars were raised to provide “additional value to clients”.
With all conditions met, clients are able to earn the maximum interest rate of 8.05 per cent on the first average daily balance of S$100,000.
“By integrating banking with wealth solutions, we’re offering clients a smarter way to grow their savings while deepening their relationship with the bank,” said Usman Khalid, global and Singapore head for deposits, mortgages and payments at StanChart.
The inclusion comes with the bank’s effort to recognise the growing interest in stock trading. The lender said that new client acquisition jumped 50 per cent in 2024. Its online trading platform also saw a rise of more than 65 per cent in trading volumes last year.
For the first time, the bank is also offering shares tied with new clients opening a deposit account from now till Jun 30.
Besides opening the account, they would also have to apply for a Bonus$aver World Mastercard credit card with a deposit of minimally S$50,000 in fresh funds.
These new clients will then receive 50 units of SPDR Straits Times Index ETF, which is the first locally created exchange-traded fund.
“The Bonus$aver headline rate matches the overall relationship value clients have with Standard Chartered, covering daily banking as well as wealth solutions,” said Khalid.
“While we continuously monitor macro trends, this holistic approach allows us to sustainably offer such a proposition, rewarding clients who choose us as their primary banking partner.”
