Singapore, 9 April 2014 – OCBC Bank is out to woo young professionals by mapping an achievable path to market-beating interest rates of up to 3.05% p.a.

What is different about the bank‟s enhanced OCBC 360 Account is that the interest rate varies depending on the types of transactions made, rather than the amount of cash flowing through the account. This makes it easier for customers who are not exceedingly cash rich to still earn a very attractive interest rate, just by consolidating all banking transactions in one primary bank account.

Table 1 – Transaction type and rates

Here‟s how it works: On top of a base interest rate paid on the account balance, there are three separate ways to earn bonus interest – Salary Bonus Interest, Payment Bonus Interest and Credit Card Spend Bonus Interest – that would apply to the first S$50,000 of the account balance (see tables).

A young professional should easily qualify for the 1% p.a. Salary Bonus Interest since you need only credit a salary amount of S$2,000 or more each month to the enhanced OCBC 360 Account. To earn the other kinds of bonus interest each month, you simply pay any three bills using that account (1% p.a. Payment Bonus achieved) and charge S$400 to OCBC Credit Cards (1% p.a. Credit Card Spend Interest reaped). The Bonuses are not tied together in any way, so you can choose which Bonuses to qualify for.

The OCBC 360 Account that has now been enhanced was originally launched in July 2013. It introduced the concept of earning more interest the more you banked with OCBC Bank: Customers who performed any two Internet banking transactions would earn 1.28% p.a. on their balances. Within seven months, more than 16,000 accounts were opened. Existing OCBC 360 Account customers will automatically earn the even higher interest rates now offered with the enhancement of the account, so long as they fulfil the conditions.

Table 2 – Example of a customer’s OCBC 360 Account

What Consumers Want in a Bank Account

Respondents in an OCBC Bank research study conducted at the end of last year had said they wanted the following features with their banking accounts:

1. Rewards for doing more with the bank
2. Products that meet their needs at various life-stages
3. Banking products and processes that are kept simple
4. Convenient access to a wide ATM network with no or short queues (Note: OCBC & UOB ATMs combined totals 1,200)
5. Easy bill payment including for credit card bills from other banks
6. An online tool to track expenses and manage the budget

Addressing consumers, Mr Lim Wyson, OCBC Bank‟s Head of Group Wealth Management, said: "The OCBC 360 Account is what you say you want in a bank account – „Let me have a banking account that rewards me for what I do with the bank‟. We have made it achievable and worthwhile for you to bank with us. It is so simple – almost effortless – that you cannot ignore this account if you want to make your money work hard for you."

He added: "The OCBC 360 Account appeals to the young working professionals who will benefit from using this account as their primary account."