Skip to content
EnjoyCompare
EnjoyCompare
  • About Us
  • Blog
  • Contact Us
  • Ed Testing
  • Greg Test
  • Home
  • Mortgage
|Saving for a rainy day|

When should you start saving?

Savings Account / By Edavieswork

Saving for a rainy day

Come rain or shine, its time to start saving

We are coming towards the end of the Northeast Monsoon season, which means more sunshine and less rain! Typically lasting from late November to early March, the season brings periods of prolonged moderate to heavy rain, cooler temperatures and sometimes even resulting in flash floods around Singapore.

The weather is sometimes similar to our lives – there will be sunshine and rain, and the worse thing is you can’t really do anything about it except to ride with it. You can only ensure you are ready for it when the situation appears.

As with money management, the idea is the same. When an unforeseen crisis hits, are you ready for it? We may embrace living in the moment, living hand to mouth with our monthly salary, but what happens when a bad patch hits and you need money urgently?

There lies the wisdom of the adage – “Saving for a rainy day”.

Financial advisors often argue that one should have at least six months’ worth of salary kept in a rainy day fund, where the amount is justified as being sufficient to tide you over an emergency situation for half a year. This does not apply to only circumstances where one is being laid off from work, it could also mean having to stop work due to health reasons, in which the latter could incur additional healthcare costs.

Take a hard look at your current financial situation, are you ready for a rainy day? If not, the great news is that its never too late to start saving.

Despite a generally low interest rate environment, you can still find some great banks offering higher interest rates on savings even without a fixed deposit account.

For instance, from now till 31 March 2015, Standard Chartered has an e$aver account which gives you a high interest of up to 1.35% p.a. on your incremental balance. Your incremental fresh funds will earn you a 1.1 percent interest annually, which makes for great incentive to save more each month!

If you make regular purchases on your credit or debit card each month, Stanchart has another awesome product to optimise your saving/spending habits as well – the Bonus$aver Account .

What you need to do is charge at least $500 to your card each month and earn 1.88 percent p.a interest on your first $25,000 savings balance. Unlike other current and savings accounts, Bonus$aver is an unique account with interest rates that are higher than most time deposits.

Time deposits usually give you a higher interest rate than normal deposit accounts because there is a minimum lock-in period for your money. While this is useful if you have spare cash to keep aside for earning the interest, it may not be the best option as an emergency fund since you will probably need to withdraw the money urgently.

So act fast because from now till end of March 2015, deposit at least $3000 to start your Bonus$aver account and you get to receive a free fitbit flex. Deposit at least $50,000 and get a free Samsung GALAXY Tab 3! What’s great is that while you kickstart your new savings habit, the initial deposit that you put in will already be working hard at earning a high interest for you!

 

Compare Savings Coming Soon

Post navigation

← Previous Post
Next Post →

Recent Posts

  • Best Standard Chartered Credit Cards in Singapore
  • Best Citi Credit Cards in Singapore
  • Best American Express Credit Cards in Singapore
  • Advantages of an Online Money Transfer Service
  • Tips for Finding the Right Home Loan

Recent Comments

    Archives

    • May 2019
    • April 2019
    • March 2019
    • February 2019
    • January 2019
    • September 2018
    • June 2018
    • May 2018
    • March 2018
    • February 2018
    • January 2018
    • December 2017
    • November 2017
    • October 2017
    • September 2017
    • August 2017
    • July 2017
    • June 2017
    • April 2017
    • March 2017
    • February 2017
    • January 2017
    • December 2016
    • November 2016
    • October 2016
    • September 2016
    • August 2016
    • July 2016
    • June 2016
    • May 2016
    • April 2016
    • March 2016
    • February 2016
    • January 2016
    • December 2015
    • November 2015
    • October 2015
    • September 2015
    • August 2015
    • July 2015
    • June 2015
    • May 2015
    • April 2015
    • March 2015
    • February 2015
    • January 2015
    • December 2014
    • November 2014
    • October 2014
    • September 2014
    • August 2014
    • July 2014
    • June 2014
    • May 2014
    • April 2014
    • March 2014
    • February 2014
    • January 2014
    • December 2013
    • November 2013
    • October 2013
    • September 2013
    • August 2013
    • July 2013
    • June 2013
    • April 2013
    • March 2013
    • February 2013
    • January 2013
    • December 2012
    • November 2012
    • October 2012
    • September 2012
    • August 2012

    Categories

    • Broadband
    • Credit Card
    • Home Loan
    • Insurance
    • Money Transfer
    • Personal Finance
    • Personal Loan
    • Savings Account
    • Travel Insurance
    • Uncategorised
    • VPN

    Meta

    • Log in
    • Entries feed
    • Comments feed
    • WordPress.org
    Copyright © 2023 Helen Pritchard
    Website by Built By Ed