DBS Multiplier Account: An Ideal Bank Account to Multiply Your Money

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DBS Multiplier

Just starting your career and find that the criteria set by most high-interest bank accounts are out of reach? We understand that. Some of us don’t earn that much in our first job, or we don’t have consistent credit card expenditure every month, causing us to lose out on bonus interest.

The DBS Multiplier Account changes that. By offering us more flexibility in the kinds of transactions we make, and the amount of those transactions, we can earn a decent rate of interest in most scenarios.

Let’s take a look at the revamped DBS Multiplier Account in detail, and see how you could benefit from it.

How can you multiply your money with a higher rate of interest?

When your transactions in a month sum up to S$2,000 or above, you can enjoy a higher rate of interest. As simple as that.

Transactions here include salary credit, credit card bills, home loan instalment payments, investments, and insurance. Most importantly, your salary needs to be credited to a DBS/POSB deposit via GIRO, but there is no minimum amount that needs to be deposited as salary!

  • Credit card bills: Make your retail or cash advance transactions using your DBS/POSB personal credit card(s). These transactions must be done within the first and last calendar day of the month.
  • Home loans: Any kind of a DBS/POSB home loan monthly instalment you make will be considered.
  • Insurance policies: Once you open a DBS Multiplier Account, buy an insurance policy offered by DBS/POSB and pay its premiums regularly.
  • Investments: Credit your dividends via GIRO to any DBS/POSB savings account. Alternatively, buy a unit trust via DBS/POSB or use DBS Vickers to make trades online.

Here’s how you earn interest with the DBS Multiplier:

DBS Multiplier Account Interest Rates

Source: DBS

What is the rate of interest you can earn based on your salary credit and eligible transactions in a month?

You could get up to 3.5% p.a. on your first S$50,000 balance in your DBS Multiplier Account. This comes up to S$1,728 in a year as interest. 

DBS Multiplier Account Interest Yield

Source: DBS

Take a look at a simple illustration to see how your interest is calculated

Transaction Type Illustration 1 Illustration 2 Illustration 3 Illustration 4
Salary credit S$2,800 S$6,000 S$3,000
Credit card expense S$500 S$2,000
Home loan instalment with POSB/DBS S$1,300
Insurance with POSB/DBS S$400 S$200
Investment with POSB/DBS S$1,600
Sum of approved transactions in a month S$3,300 S$7,700 S$3,800 S$3,000
Interest rate 1.85% p.a. 2.2% p.a. 0.05% p.a. because there’s no salary credit 0.05% p.a. because there aren’t any transactions in any of the 4 designated categories

Related: Best High-Interest Savings Accounts in Singapore

What is the main catch of having a DBS Multiplier Account?

The bonus interest is applicable only on your first $50,000. In comparison to other savings account options, this is quite low. But if you’re still in your early years of working and are building up your savings, this cap should not matter that much to you, yet.

The other thing to note is that you need a monthly balance of at least S$3,000, or you will be charged a fall-below fee of $5.

Other top savings account options in Singapore

Apart from the DBS Multiplier Account, there are several other high interest-earning deposit account options in Singapore:

Standard Chartered Bonus$aver Account

You can enjoy an interest rate of up to 3.88% p.a. on your first S$100,000 deposited in the account. The Bonus$aver emphasizes on credit card spending and salary crediting to enjoy the high interest rates.

UOB One Account

You can earn an interest rate of up to 3.33% p.a. provided you fulfil two requirements:

  • Spend at least S$500 using your UOB One Card or/and selected UOB cards on a monthly basis.
  • Either have a minimum salary of S$2,000 credited to your UOB One Account or pay 3 bills on a monthly basis via GIRO.

OCBC 360 Account

Earn up to 3.05% on your first S$70,000 with the OCBC 360 Account. For most people, it should be relatively easy to achieve 1.85% by crediting your salary, spending S$500 on your OCBC credit card, and making three bill payments.

BOC SmartSaver

This is one of the most lucrative savings accounts available in Singapore. You can potentially earn up to 3.55% p.a. on your first S$60,000 in the account. It works best if you’re able to credit more than S$6,000 in salary, or spend at least S$1,500 across BOC debit/credit cards. The other good thing is that even if you can’t meet those requirements, there is a lower requirement which lets you earn 1.95% p.a. in bonus interest rates. All you need is at least S$2,000 salary credit, at least S$500 card spending, and three bill payments.

So, DBS Multiplier Account… Yay or Nay?

Definitely a yay for us. With the recent change to align itself with the needs of young individuals, the DBS Multiplier Account gets a hearty approval from BankBazaar. With high interest, no minimum spending and no minimum salary credit, we think you should act fast and grow your savings quickly.

Before you go, take a look at a few tips you can use when opening a new bank account.



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