Trust Bank: Earn up to 3.5% p.a. interest rate

What happened?

Recently, we saw news that Trust bank expects to be profitable around the end of 2025 as its revenue tripled in the first half of 2024.

With its total retail customers increasing to 800,000 in August 2024, compared to 577,000 a year ago, Trust Bank is on track to be Singapore's fourth-largest retail bank in terms of customer numbers by the end of this year. 

This would put it just behind household names DBS, UOB and OCBC. 

However, Trust Bank recently announced its revision of interest rates from December 2024. Starting 1 December 2024 to 28 February 2025, interest rates will be lowered from 3.5% p.a. to 3.0% p.a. From 1 March 2025 onwards, interest rates will be further lowered to 2.75% p.a.

Let us find out what is Trust Bank Singapore, and if it might be worthwhile opening a savings accounts with one of the digital banks that have emerged in recent years. 

What is Trust Bank Singapore?

Trust Bank Singapore is a digital bank backed by a unique partnership between Standard Chartered Bank and FairPrice Group.

The former owns 60 per cent while the remaining 40% is owned by the FairPrice Group's enterprise arm.

Launched on 1 September 2022, Trust Bank currently offers a savings account, a debit/credit card, and accident insurance coverage.

Unlike digital banks such as GXS and MariBank, Trust Bank Singapore actually has a full banking licence, complete with 20 ATMs islandwide.

This includes 19 StanChart ATMs and 1 ATM at FairPrice Xtra (Vivocity).

What is the current interest rate on the Trust Bank savings account?

Trust Bank Singapore’s savings account offers you an interest rate of up to 3.5% p.a. until November 2024.

This is made up of the following:

• Base interest of 1.25% p.a with no conditions
• Balance bonus rate of 0.50% p.a. if you maintain a minimum S$100K Average Daily Balance (ADB) for the month
• Spend bonus rate of 1.00% p.a. if you are a union member with 5 eligible card transactions, or bonus interest of 0.50% p.a. for non-union member with 5 eligible card transactions.
• Salary bonus rate of 0.75% p.a. if you credit min. S$1,500 monthly salary via GIRO in a single transaction.

Balances above S$800,000 will earn 0.05% p.a. interest.

Your interest will be calculated on a daily basis (based on each day-end deposit balance using a 365-day per annum basis), and credited on the last day of the month.

There is no lock-in period, no monthly fee, and no account closure fee on the Trust Bank savings account.

However, you will need to be at least 18 years of age to be eligible for a Trust Bank savings account. 

What is the upcoming interest rate on the Trust Bank savings account?

Trust Bank will be revising its interest rates down to 3.0% p.a. from 1 December 2024 to 28 February 2025 and 2.75% p.a. from 1 March 2025 onwards.

What users may like about Trust Bank

#1 – Attractive rewards with your credit card spend

But wait! The savings account is not all that Trust Bank has to offer.

You can also accumulate Linkpoints when you shop with your NTUC Link Card or Trust Link Card, which can be tracked on your Trust mobile app.

There are also savings you can enjoy on FairPrice Group groceries and food:

NTUC Link Card

• With credit card, get up to 21% savings when you hit a minimum monthly spending of S$350
• With debit card, get up to 11% savings when you hit a minimum monthly spending of S$200

Trust Link Card

• With credit card, get up to 15% savings when you hit a minimum monthly spending of S$450
• With debit card, get up to 5% savings when you hit a minimum monthly spending of S$200

What users may not like about Trust Bank 

#1 - Lower interest rate compared to best no-frills savings account

Trust Bank's base interest rate of 1.25% p.a. and soon to be 0.75% p.a. with no conditions is lower than what some other no-frills accounts are offering.

For union members, the current interest rate of 2.25% p.a. offered by Trust is still lower than the interest rate offered by the best savings accounts with the highest interest rates in Singapore. 

Especially with the upcoming lower interest rates, readers who want to maximise the yield on their savings would probably want to look at other high-yield savings accounts instead.

#2 – Balance bonus rate of 0.5% only applicable to average daily balance (ADB) of above S$100,000

It is important to note that to earn the maximum interest rate of 3.50% p.a., you will need to maintain an average daily balance of above S$100,000 for the month.

The average daily balance is the sum of daily balances divided by the number of days in the month. 

This means that you may not be able to enjoy the maximum interest rate of 3.5% p.a. if your daily balance exceeds S$100,000 on some days of the month, but the ADB remains below S$100,000.

How does Trust Bank compare to GXS and MariBank?

In case you’re wondering how does Trust Bank compare to GXS and MariBank, I've compiled them in the table below.

Is it safe to deposit your money with Trust Bank Singapore?

Trust Bank Singapore holds a full banking licence that is issued by the Monetary Authority of Singapore.

As mentioned previously, it is backed by two reputable names–Standard Chartered and FairPrice.

Additionally, all deposits in Trust are fully secured by the Singapore Deposit Insurance Corporation (SDIC) up to S$75,000 per account.

Final verdict on Trust Bank Singapore

If you are a NTUC union member, Trust Bank offers an interest rate of 2.25% per annum with just 5 eligible card transactions every month up till 30 November 2024.

This would make the interest rate earned lower than Mari savings account and GXS savings account. 

However, you will get a higher interest rate of 3.50% p.a. if you are able to maintain an average daily balance of S$100,000 and above, are a union member with 5 eligible card transactions, and credit at least S$1,500 monthly via GIRO in a single transaction up till 30 November 2024.

In addition, Trust Bank stands out for its wider product offering, particularly rewards earned with the NTUC Link Card or Trust Link Card. 

To find out which savings account allows your money to work harder, check out our guide to the best savings account with highest interest rates in Singapore 

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