CPF ORDINARY ACCOUNT INTEREST RATE FROM 1 JULY 2011 TO 30 SEPTEMBER 2011
	Joint News Release by: Central Provident Fund Board Housing & Development Board 13 May 2011 --
	Interest Rate For Ordinary Account (OA)
	The Board will continue to pay 2.50% interest per annum for members’ CPF savings in their Ordinary Account (OA) from 1 July 2011 to 30 September 2011.  The computed CPF interest rate derived from the major local banks’ interest rates for the three-month period, 1 February 2011 to 30 April 2011, worked out to be 0.36% per annum.  However, the higher rate of 2.50% will be paid as the CPF Act provides for a minimum CPF interest rate of 2.50% per annum.
	HDB’s Mortgage Rate
	The concessionary interest rate for HDB mortgage loan, which is pegged at 0.1 percentage point above the CPF interest rate for the OA, will remain unchanged at 2.60% per annum from 1 July 2011 to 30 September 2011. The detailed computations of the CPF OA interest rate and the HDB mortgage loan interest rate are given in the Annex.
	Extra Interest of 1%
	In addition, an extra 1% interest will continue to be paid on the first $60,000 of a member’s combined balances, with up to $20,000 from the OA.  The extra interest from the OA will go into the member’s Special or Retirement Account to enhance his retirement savings.
	PUBLIC ENQUIRIES
	Members with enquiries may call the CPF Call Centre on 1800-227 1188.
	ANNEX :
	COMPUTATION OF CPF ORDINARY ACCOUNT (OA) INTEREST RATE AND HDB MORTGAGE RATE FOR JULY 2011 to SEPTEMBER 2011 12-MONTH DEPOSIT RATE (% PA)       SAVINGS RATE (% PA) AVERAGE 80FD:20SD (% PA) MONTH / YEAR DBS (1) OCBC (2) UOB (3) DBS (4) OCBC (5) UOB (6) 28-Feb-11 0.3500 0.4500 0.4500 0.1250 0.1500 0.1000 0.3583 31-Mar-11 0.3500 0.4500 0.4500 0.1250 0.1500 0.1000 0.3583 30-Apr-11 0.3500 0.4500 0.4500 0.1250 0.1500 0.1000 0.3583 (A) NORMAL CPF OA INTEREST RATE               Average for 3 months (Feb 2011 to Apr 2011) (Using the 80 FD : 20 SD formula) 0.36% (computed interest rate)           CPF OA Interest Rate for Jul 2011 to Sep 2011 2.50% (legislated minimum rate)         (B) HDB MORTGAGE RATE               CPF OA Interest Rate for Jul 2011 to Sep 2011 2.50%     Plus: Fee to cover Cost of Loan Administration 0.10%               -------     HDB Mortgage Rate for Jul 2011 to Sep 2011 2.60%       -------           NOTES: (1) Balances of $20,000 to < $50,000 (2) Balances > $20,000 to $50,000 (3) Balances < $50,000 (4) Balances > $10,000 to $100,000 (AUTO-SAVE Account)  (5) Balances > $10,000 to $50,000 (EASI-SAVE Account) (6) Balances > $3,000 to $50,000 (UNIPLUS Account)         The CPF OA interest rate at 2.5% per annum remains higher than the 12-month fixed deposit and savings rates of major local banks for the three-month period of 1 February 2011 to 30 April 2011.