Personal Finance
Treating my CPF OA as a savings account
By Value Warrior  •  March 14, 2021
This is what I am doing now with my new property purchase. Because of the low home loan interest rate now, instead of using CPF OA to pay off the property, I am keeping the money in my CPF OA for the higher interest. In fact I am topping up my CPF OA via Voluntary Housing Refund (VHR) to inject my spare cash into my OA and treating it as a high interest saving account. This mean that instead of having my spare cash sitting in the bank earning close to nothing, or using it to pay off the bank loan at about 1.5%, I am putting the cash into CPF OA for the higher interest of 2.5%. You can definitely put your cash into other higher interest instrument but since I am more risk adverse, CPF OA seems like an obvious choice for me. Besides the benefit of higher interest rate in CPF OA...
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By Value Warrior
A regular working Joe starting out his value investing journey. I started my investment journey late at the age of 34. Looking back i wish i had started earlier so that power of compounding can work its magic. Nevertheless a good time to start investing is always NOW!!! So here i am having started this journey, i planned to reach Financial independence at age 65. Wish me luck.

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