Digital Bank? What are they, you may ask… A simple take of what Digital Banks are: A Digital Bank offers the same type of banking services as a traditional bank except it operates entirely online without any single physical infrastructure, such as a bank branch. To some who do not know, in the late 2022s, there are a few digital banks which have established their presence in the banking world. Most notably, GXS Bank and Trust Bank which have no minimum balance and attractive interest rates that accrue daily!

How Safe are Digital Banks?

To the skeptics of digital banks, Digital banks also have the same deposit protection as traditional banks. They too are part of the Singapore Deposit Insurance Corporation’s (SDIC) Deposit Insurance (DI) Scheme. Under the DI Scheme, if any of the member bank or finance company fails, all of the insured deposits are insured up to S$75,000...