Tag: fintech

Interest Rate Series (DBS Multiplier) [2.5 out of 5 Burger Patties]

On By RistrettzIn Interest Rate Series, Interest Rates, Personal Finance Series, RandomLeave a comment

As on 4 November 2022

On 4 November 2022, 3 working days after OCBC rolled out their new interest rate on their flagship 360 accounts, DBS followed up with an email that the DBS Multiplier has increased from 3.5% to 4.1%. The balance cap amount is also increased to S$100,000

The Multiplier account has always been proportioned by the transaction amount.

below S$2,000

S$2,000 to below S$2,500

S$2,500 to below S$5,000

S$5,000 to below S$15,000

S$15,000 to below S$30,000

Above S$30,000

The next layer of categories to fulfil will be the number of categories. They are known to be:

1. Salary/Dividends/SGFinDex

The Salary portion has to be a GIRO transaction with code “SAL” or “PAY”, which seems pretty strict given that there are increasing numbers of the next generation in the ‘gig economy’

For dividend crediting, these eligible dividend has to be from CDP, DBS Vickers Securities, DBS Online Equity Trading, DBS Unit Trusts, DBS Online Funds Investing and Invest-Saver (Promotion their own eco-system)

Connecting and sharing financial information from SGFinDex to NAV Planner (I would think one needs to do this on a monthly basis

2. Credit Card Spend

For the monthly card spend, it has to be on any DBS credit card and has to be eligible spending. Eligible will be the usual suspects and it will be very much dependent on the MCC codes.

3. Home Loan Installment

Home Loan financing has to be from DBS or POSB (New or Refinancing). The eligible amount will be from the monthly home loan instalment amount.

4. Insurance

Similar to my previous post on insurance and investment in these high-yield accounts. These are usually valid for a limited period and interest rates are always subject to changes. Further, only selected insurance are eligible.

5. Investment

Nothing much to comment on here. This section will be pretty hard for most people to fulfil.

Additional option: The PayLah! Retail Spend. Honestly, don’t seem like a good deal to me.

The ideal interest rate will be between 0.9% to 2,5%. Frankly, nothing much has changed though and I don’t think it is even worth announcing via their communication channels. I feel like there wasn’t even much thought placed into it. I just felt like it isn’t any effort to compete with these changes. With the most recent 0.75 bps increase by the US Feds, this is not anything competitive and not quite worth looking into for now.

For more information, check the link here: DBS Multiplier Calculator

Conclusion

Nothing worth looking at for now. Till next time.

Foray into CryptoCurrency – The MCO Card (Crypto.com)

On By RistrettzIn Alternative Investments, CryptocurrencyLeave a comment

Cryptocurrency

Invest in cryptocurrency! The first thing that comes to mind is that it is a scam or it is risky. It is not only after you take some time to find out more.

Getting someone to go into cryptocurrency can be challenging. When I first started, I was late to the game but the fees I paid were way much higher than what it is today. Today, I can see that the adoption crypto is slowing and steadily increasing and solutions are being provided to solve the problems in the real world. There are indeed real world situations that need solutions.

MCO/CRO Card

I have been with crypto.com (CRO) for almost 2 years now. (Updated:  3years now) Though I did not experience that huge dip in prices after it went as high as USD20+ (MCO) but what I have seen from them is absolutely amazing.

CRO coins are what define crypto.com (They were used to be called Monaco and MCO coins) and the fact that they managed to obtain the domain name says something great about them.

I would say the CRO coin is more of a hybrid crypto. You can get a real metal card depending on how much of the coins you buy. A real debit card that pays you instant cashback on anything you can pay with the card.

You can always opt for a “free card” and that gives you a 1% cashback on all transaction and it gets better.

Buying and staking 50 MCO coins will get you the Ruby card – 2% cashback

These staking requirement changes from time to time so do visit https://crypto.com/cards to find out more.

In summary:

Blue card – 1% cashback (No staking required)

Red card – 2% cashback (USD 400 equivalent)

Blue/Green card – 3% cashback (USD4,000 equivalent)

Icy White card – 4% cashback (USD40,000 equivalent)

Black card – 5% cashback (USD400,000 equivalent)

What I really like about this is not just the cash back. However you have to be comfortable to lock in at least 10000 CRO for an initial 6 months.

Pros:

1. I always want to buy cryptocurrency more fuss-free and easier. This platform makes it really easy

2. Funding from SGD does not incur any fees if you use xfers and follow their instructions diligently

3. 100% cashback in CRO coin for subscription to Spotify and Netflix (literally free – capped at the amount for blue and green card)

4. Unlimited access to loungekey (Airport lounge)

5. You can trade other crypto available on the app and their exchange

6. Certain coins have “earn” capabilities, meaning you get interest by staking it on the earn platform on the app.

Cons:

1. The price of CRO is around 0.25 SGD at time of writing. That’s double of what I initially got into but you never know when it will go higher or lower

2. You need to put in an initial investment to get all these benefits

3. You need to fund your debit card with cash first before using it.

Things may get complex from here if I add on more information. If you wish to know more, drop me a note and I can share more with you.

Meanwhile, if you use my link/referral code, you will get USD25 and I will get USD 25 worth of CRO.

All you need is to make a transaction and stake your CRO to get the debit card of your choice. That’s some cool amount of cash to start off with.

https://platinum.crypto.com/r/im3py887ty to sign up for Crypto.com and we both get $25 USD 🙂

Blockchains and a Fourth Industrial Revolution

On By RistrettzIn Macroeconomic, Personal Finance SeriesLeave a comment

We hear a lot about FinTech funding and block chain technology. Along with Bitcoin, Ethereum or even new funding coins as an alternative way implemented into bank payment systems over the last 3 to 4 years. This is ruling the world today.

It is rather difficult to bring across this concept and idea as it works better in demonstration as compared to talk about it.

What is FinTech?

It is mainly disruptive technology that has the capabilities to replace financial services. It can be in the form of cheaper way or a more convenient way. At the same time, it will proof to be more efficient and safer too.

Just to get yourselves interested on the concept of block chains, do watch this quick video: BLOCKCHAINS

I really like to see, read and hear about Bitcoins in which they are a small subset of the bigger ecosystem and this is a good introduction to start with: BITCOIN

Such block chains systems should be a secure channel as a third party using bitcoin as part of the transaction which in turn can be redeemed back into the real currency thus creating a market and a natural one in doing so.

The World Economic Forum 2016 early this year in Davos discussed deeply into the trends and how the world is moving into. In summary, it could possibly be the fourth industrial revolution.

Revolutions are a result of significant changes that destabilizes and question the status quo. Eventually, it pushes change through over time.  The first revolution might bring about a new form of problems coming many centuries into the future. (Such as air pollution, breaking the ecosystems, genetics and food production techniques just to name a few)

Source: WEF

Changes

Significant changes brings about many issues such as loss of jobs/income. The non-necessary skills required previously and to reduce amount of time and effort required to get things done. Eventually, new skills and new jobs will eventually be created thus it is important to stay relevant. The loyalty that one pledge to the company are no longer viable. Companies are also faced with the same task of returning ROI on every dollar of shareholders’ money and that in my opinion is vested interests.

a. IOT – Internet of Things

The big subset of block chains in my view is Big Data. That is IOT, Internet of Things combined. With many many different concepts to build a computer server that can maintain and sustain all of this. Many of us know this and that is Cloud computing. In time to come, Superhuman computers may be developed into cybersecurity into a whole new level. (e.g. AI, Artificial Intelligence)

I would believe that Amazon and IBM resources would have the capabilities to bank on such new technology. I do see a lot of the practicality developing into China. A lot of these are going on aggressively but the level of secrecy and confidentiality still plays such a big role as a former communist country. My guess is that China will bring blockchains to a whole new level all together and that would be a footprint into the new world technology.

b. Alternative Financial Solutions

Financial Institutions are not tapping greatly on FinTech to date. Take a look at Nokia today. Sometimes it makes us think about embracing change before it is too late. The Financial services are also part of a new form of Robo-Advisors. This is another form of artificial intelligence. From here on, related services are going to be transformed into a new level all together.

The change is here and FinTech and Bitcoins are also an alternative way of investing. That would add on to the list of asset allocation in the previous posts. There are plenty of alternative asset classes. Don’t fall prey to unreal ones so always do your DUE DILIGENCE (DD).

Only Steve Jobs believed in the future of smart phones and tablets before it came here today.

“If at first, the idea is not absurd, then there is no hope for it.” – Albert Einstein