Today’s topic will be on the interest you pay to CPF on your housing loan.
This is a follow-up article to our previous article.

When you pay your monthly mortgage via CPF Ordinary Account (OA), you are doing several things:
Here’s what happens when you pay your mortgage via your CPF Ordinary Account (OA):

You borrow money from a bank or HDB to pay for your home.Every month, you repay your loan with money from your CPF OA.The amount that you use to repay your loan will accumulate accrued interest.Upon selling your home in the future, you are required to pay back the amount that you had used from your CPF OA to pay for your loan PLUS the accumulated accrued interest, back into your CPF OA.Step 1:
If you borrow from HDB (the stat board) to buy an HDB (the house) flat, HDB charges an interest of CPF OA rate + 0.1% (which is currently