NEW: UOB One Account

Great news!

UOB has launched a new account: One Account

With the terms and conditions changed for the OCBC 360 account come 1 May 2015, this new UOB One account may be the new place to park your S$50,000.00!

The fundamentals of the UOB One Account is similar to that of the OCBC 365 account.

Base interest: 0.05% (included in all the interest rates below)

Scenario 1:
Spend $500 on UOB One card:
First $10,000: 1%
Next $20,000: 1.5%
Next $20,000: 2%
Subsequent amount: 0.5%

Effective interest is 1.6% at $50,000!
OCBC 365 will only earn you 1.05% assuming you spend $500 on OCBC credit card and pay 3 bills online. 

If you only had $10,000, OCBC 360 account will give you better rates at 1.05%.

Scenario 2:
Spend $500 on UOB One card + Credit salary of more than $2,000 OR 3 GIRO Debit transactions:
First $10,000: 1.5%
Next $20,000: 2%
Next $20,000: 3.33%
Subsequent amount: 0.5%

Effective interest is 2.43% at $50,000!
OCBC 365 will only earn you 2.05% assuming you credit $2,000 salary, spend $500 on OCBC credit card and pay 3 bills online. 

But if you have less than $30,000, you are better off with OCBC 360 account as UOB One only gives you 1.5% while OCBC 360 gives you 2.05%



From the explanation above, if you have more than $30,000, the UOB One account will trump the OCBC 360 account with the same amount of effort. (OCBC has added 2 additional requirements for the additional 1% interest.

Especially for those who are already spending more than $500 on the UOB One card every month, this account is a godsend because you are already guaranteed additional 0.5% at least, depending on which tier your balance is at. And also for those who do not meet the salary crediting requirement. The UOB One account is for you.

Anyway, it is pretty easy to meet the 3 GIRO debit transactions requirement. Hence everyone should be looking at scenario 2 instead.

I'll do a clearer comparison once OCBC released details of the remaining 2 criteria.


Tags: UOB One account, OCBC 360 account