Our pap gahmen would have US ALL believe that BeCAWs our people’s losses in those FI’s minibonds, maxibonds and et cetera seem ’smaller’ in monetery AMOUNT … ‘We ARE better manageD financially’ … OH REALLY??? IS this CONCLUDED IN PROPORTION TO OVERALL Citizens’ Cash-Wealth-POOL???

Then gahmen OUTLAWED By ‘Legal-Speak’ IMPOSES Penalties on “Loan-Sharks” more commonly known here as “Ah-longs” … AND SO … By … AND In

1. Legalistic Speak … BANKS here ARE LEGALLY ‘CORRECT’ … BUT …

2. “Loan-Shark” Ah-Longs ARE LEGALLY “WRONG” Or “SALAH” in Malay!!! BUT then …

3. IN Moral AND Ethical Speak … ARE BANKS HERE “In their CAT & MOUSE’ games of “LURING” the Innocent AND IGNORANT TOO … ANY BEYYER THAN … Those Loans-Sharks???

4. And ARE Loan-Sharks W/O “LEGALISED-PROTECIONS” Any MORE Immoral THAN BANKS WITH “LEGAL-PROTECTIONS”!!!???

5. Think about Item 4 carefully in balance reasoning … and one would soon realise THAT … IN FACT … LEGALISED-Loan-Sharking IS “ACTUALLY LOAN-SHARKING-AT-LARGE” isn’t IT???!!!

BE WISE Dear Fellow Singaporeans.

Yeah, what do we export now? Any buyers?

With our current exchange rate, our goods are so expensive and our labor costs from the US, Europe perspective is so expensive. As if the current exchange rate can support the value of the goods we produce in view of declining demand. We can keep selling at the same price even if our customers are not buying as much.

I think you would not be counting on local demand.

also, a high exchange rate will favor those FTs who are retiring to remove their retirement back to their home countries.

Are you so sure that the extension of the floor rate has nothing to do with the outlook of our currency?

They are definitely raising the interest rate because they need money. That is the principle of interest. You pay a high price for borrowing people’s money when you need it urgently. This is universal. I don’t know how this does not make sense.

Loan sharks and bankers have been doing that all their lives.

Like you mention, the outflow out of the CPF system is bigger than inflow. That’s why they need monies. Especially after their failed investments.

I think LKY dumped monies into the failed banks earlier on because he needed to make the scheduled payments for CPF this year and the year after. He thought he could make a quick buck. Only to be deceived by the banks.

Now, they are really short of cash.

aussie $ has a much higher interest rate than Sing dollars. so what if it is volatile. (which I am not even sure)
I only need to know that the Chinese needs Australian $ to pay for the commodities that its factories consumme and Chinese monies will appreciate against S$.

In addition, Australia also attract a lot of singaporean students over, earning our s$.

The most I keep it for 5 years and I still can eat the interest as and when I want while leaving the principle there. And the exchange rate cannot be deviate too much for too long. their economy is still strong. They have natural resource to export.

Still better than putting it back CPF and get locked up for 10 years. I cannot even touch the interest. What use is that?

Better still, put 10K in pounds (interest ~3%) 10K in Swiss dollar, 10K in Chinese monies, 10K in Euros, 10K in NZD.

The combined interest rate is still higher than the 1% you get in banks in Singapore.

Then you can take out the interest and spend if you want.

And you can take out the money as and when the exchange rate is in your favor.

Also, these monies at those amt are insured.

As good as S$ but with a higher interest rate. You also don’t take out 1 shot 50K to spend like that what.

Firstly, we’re a net exporting country, we do not need to defend the dollar, as long as exports > import, our currency will always go up. The floating band where our currency is allowed to float, seems more of a way to devalue our currency so that we would have trade surplus, just look at china n japan. The policy of net exporting countries are always devaluing their currency so that they would earn more.

Secondly, the extension of the floor rate is for the CPF account. It says basically nothing on the outlook of the singapore dollar. Extension of this floor doesnt even do anything significant to the CPF money, it is still with the CPF board, maybe a lesser transfer to the special account. They are not raising rates because they NEED money for sure, this does not make sense.

Thirdly, if u already changed ur $$ to aussie to “hedge” then i wish you good luck. Aussie is one of the most volatile and risk adverse currency, it makes no sense to even change the dollar to aussie to hedge it.

So when you can, please take out.

Next, use the monies to buy Singapore govt bonds.

Singapore govt bonds have higher ratings than CPF.

Why? CPF life, they can choose not to pay you.

But if they stop making payments to bond holders which include foreigners. Their reputation will go to the shit with the foreigners and we all know how important this is imprt to the current govt.

So, please don’t be foolish with the 4%. Just buy govt bonds.

It is better and you can take out your monies as and when you want.

Many uncle and aunties will be disappointed.

See when they need monies, they will increase interest rate.

But be warned, they can reduce it just as fast.

They have finally run out of ammunition to defend the Singapore currency.

They had to raise interest rates (at least from their previous intention).

If I were you now, I will change my currencies to Aus as a hedge first.

Govt extends 4% interest rate for CPF savings till Dec 2010
Channel NewsAsia | Posted: 05 September 2009 1325 hrs

SINGAPORE: The government will extend the 4 per cent floor rate for CPF savings by another year till December 2010.

Speaking at a CPF LIFE roadshow on Saturday morning, Manpower Minister Gan Kim Yong said this is in light of global economic conditions and exceptionally low interest rate environment.

The 4 per cent interest rate will apply to savings in the special, medisave and retirement accounts.

Some 700,000 Singaporeans who are CPF members will benefit when the opt-in phase for CPF LIFE kicks in. The first phase of the opt-in exercise will be on a voluntary basis and it will be offered to CPF members born in or before 1954.

Mr Gan said the move is in response to requests from older CPF members who want to join CPF LIFE ahead of 2013 when it will be implemented for all members turning 55.

CPF LIFE, which provides members with a lifelong monthly income from age 65, offers members four plans to choose from.

Members who opt for the LIFE Plus Plan will get a higher monthly income, but leave behind less for beneficiaries, while those under the LIFE Basic Plan will get a lower monthly income and a higher bequest amount.

The LIFE Income Plan offers the highest monthly income, but members will leave nothing behind when they pass away, while the LIFE Balanced Plan – the default plan – provides a balance between the level of retirement income and bequest amount.

The CPF Board said it will send out invitation packages to members aged 55 and above from Monday over the next few weeks. Those below 55 will receive their invitation two months before they turn 55.

Mr Gan also explained that it is important for retirement income not to be too volatile so as to have greater certainty. To achieve this, the interest rate earned by the CPF LIFE funds must be stable.

Since when we have the idea that he is human?

We don’t even know if he eats or pass motion.

So, it should be normal that he doesn’t demonstrate that he has a heart.

if you have finished paying off the loan at 50, you won’t have a chance to monetise it. (if you are singaporean and intend to stay in Singapore).

You cannot take up a hdb loan at 50 to buy that new flat. HDB will tell you that you only have 15 years to pay off the new flat and the monthly installment over 15 years will kill you.

If you try, you might end up to be one of those people who ended up living in the streets because the monthly payment is so big.

If you sell it back to HDB, we all know how low the price is.

Like in most of this govt’s tactics, numbers are only shown when they look good. The substance is not important at all to them.

Wonder what Harvard, MIT and the likes taught them when they were studying there.

It is simple logic, if you put a cap, you can also test their sincereity in wanting to become Singapore citizens. As for genuine Singaporeans who purchase HDB flats, we should also increase the cap to prevent speculation.

A realistic price for 3-room HDB flat should cost not more than $80K while 4-room HDB flat not more than $150K. This is what I call subsidized housing. How can a new 4-room HDB cost more than $200K – it is so ridiculous??

With the horrendous price increase in HDB flats, I felt very discouraged and more encouraged to vote PAP out in the next election!