CPF Board Closes Special Accounts of 1.4 Million Members

Savings moved to RAs of those aged 55 and above, up to Full Retirement Sum

- Chor Khieng Yuit

About 1.4 million Central Provident Fund members who are aged 55 and above as of Jan 19 will not have a Special Account (SA) any more after their accounts were closed on the day by the CPF Board.

Following the SA closure, they will have an Ordinary Account (OA), a MediSave Account and a Retirement Account (RA), which was created for them on their 55th birthday.

The savings in their SA have been transferred into their RA up to the cohort's Full Retirement Sum (FRS), which is two times the Basic Retirement Sum (BRS), or $213,000 in 2025, said the CPF Board in a statement on Jan 19.

These savings will continue to earn the long-term interest rate of at least 4 per cent per annum from Jan 1 to March 31. The interest rates are reviewed quarterly and the Government has committed to pay at least 4 per cent on the RA to end-2025.

Any remaining savings in the SA have been transferred to the OA, where they will earn 2.5 per cent interest a year.

The CPF Board said members who would like to continue earning the higher interest rate of 4 per cent a year can choose to move some of these OA savings into their RA up to the current year's Enhanced Retirement Sum (ERS), which is $426,000 in 2025.