Standard Chartered JumpStart: What Are The Changes in July 2020?
168
shares
Seedly Standard Chartered JumpStart July Change

Standard Chartered JumpStart: What Are The Changes in July 2020?

Kenneth Fong
168
shares

Ah… the Standard Chartered JumpStart account.

standard chartered logo

A favourite amongst students, fresh grads, and those who just entered the workforce.

Why?

Well… you get to earn a flat 2% p.a. interest with (almost) no strings attached.

Yep.

There’s no minimum deposit required.

No minimum spend to meet.

And no need to credit your salary either.

The only catch?

You MUST be between 18 and 26 years old at the time you apply for the account.

.

.

.

But unfortunately, all good things must come to an end.

There will be changes made to the Standard Chartered JumpStart savings account come 1 July 2020.


TL;DR: Changes to Standard Chartered JumpStart from 1 July 2020

The prevailing interest rate on the first $20,000 of your eligible balance will drop from 2.00% p.a. to 1.00% p.a.

Anything above the first $20,000 will still continue earning the 0.10% p.a. interest.

Seedly Standard Chartered JumpStart July Change

Revision of Interest Rates for Standard Chartered JumpStart from 1 July 2020

RequirementsBefore 1 July 2020From 1 July 2020Changes in 2020
First $20,0002.00% p.a.1.00% p.a.-1.00% p.a.
Above $20,0000.10% p.a.0.10% p.a.No change

Standard Chartered JumpStart’s interest rates requirements are pretty straightforward.

Just.

Put.

Money.

In.

Yep, it’s that fuss-free.

But while it used to give 2.00% p.a. interest on the first $20,000 in your account.

It’ll be slashed by half to 1.00% p.a. interest, come 1 July 2020.

In other news, the CIMB FastSaver is also another fuss-free savings account (read: don’t have to do anything, just park and forget) which gives you up to 1.80% p.a. interest.

And on a larger eligible balance amount too.

#justsaying

#readtilltheendplease

What I’m trying to get at is… want more options?

Check out our FREE Savings Account Calculator and find out which is the best high-interest savings account for you.


Is it Still Worth Opening a Standard Chartered JumpStart Account After 1 July 2020?

This is the first time that Standard Chartered has decided to revise the interest rates for their JumpStart account since introducing it back in 2019.

And it’s a pretty hefty cut since they’re slashing the initial interest rates by half.

But considering that they pretty much nerfed the Standard Chartered Bonus$aver with the July 2020 revision to the interest rates.

It’s no surprise that they’d do the same for the JumpStart account too.

Although, to be fair.

The JumpStart still has its merits since it has:

  • No minimum deposit
  • No fall-below fee
  • No lock-in period
  • No need to credit your salary
  • No need to invest or buy insurance
  • No annual or monthly fees
  • No minimum spend needed

In fact, you can even get 1% cashback on eligible spending with a debit card — capped at $60 a month.

That’s all pretty neat.

Most of the high-interest savings accounts out there will need you to jump through at least a few hoops.

Oh, and the coolest thing about the JumpStart?

You can continue to maintain the account even after you turn 27 years old.

AND you can continue to receive the prevailing interest on your JumpStart account balances for as long as Standard Chartered doesn’t decide to change the terms and conditions.

Mr Krabs Looking At Money
Source: SpongeBob SquarePants | Giphy

Should I Switch out of My Standard Chartered JumpStart Savings Account?

What if you’re above 26 years old and are no longer eligible to apply for the JumpStart?

Or what if you’re thinking of switching out of your JumpStart savings account to another account which gives more interest instead?

Well… there’s another similar fuss-free high-interest savings account which you might wish to consider.

Enter: the CIMB FastSaver savings account.

CIMB Bank Logo

Like the Standard Chartered JumpStart savings account, the CIMB Fastsaver has:

  • No fall-below fee
  • No lock-in period
  • No need to credit your salary
  • No need to invest or buy insurance
  • No annual or monthly fees
  • No minimum spend needed

BUT there is a minimum deposit of $1,000 required though.

And you’ll need a lot MORE capital in order to hit the highest interest rate of 1.80% p.a.

Account BalanceInterest Rates
(w.e.f 15 July 2020)
First $50,0000.5% p.a.
Next $25,0000.8% p.a.
Next $25,0001.5% p.a.
Above $100,0000.4% p.a.

See what I mean?

So let’s say you have $20,000 in your JumpStart account right now and want to shift it to some other savings account to earn more interest.

You could consider the CIMB FastSaver, however, you’d only be clocking 1.00% p.a. interest.

Because your account balance only qualifies you for the interest earned on the first $50,000.

You’d need at least $100,000 on hand to be able to qualify for the up to 1.80% p.a.

And frankly, at that kind of amount, you might want to consider investing or other financial instruments to make your money go further.

.

.

.

Long story, short?

It really depends.

You’re going to need to do a little homework to figure out what makes sense for you.

Because frankly, 1.00% p.a. interest is still not bad lah

I mean, have you seen the latest Singapore Savings Bonds?

July Singapore Savings Bonds

Want to find out which is the best savings account?

Why not try our FREE Savings Account Calculator and find out?

It’ll only take you less than a minute.

REITs Tool

About Kenneth Fong
Owner of a 4-room HDB BTO and married to a financial clutz. Probably the closest to an adult you can find on the Seedly team.
You can contribute your thoughts like Kenneth Fong here.

Still have more questions after reading the article? Fret not, ask our community here!

Stay updated with the latest finance tips!
Receive bite-sized finance on Telegram here.

What's Popular

    • Loading articles
    • Loading articles
    • Loading articles
    • Loading articles
    • Loading articles
Comments
168
shares

What's Popular

    • Loading articles
    • Loading articles
    • Loading articles
    • Loading articles
    • Loading articles

Still have more questions after reading the article? Fret not, ask our community here!