CPF Accrued Interest

[tangent314]

Nothing weird about it. It is the same rule for everyone below or above 55. Just that they didn't bother to make an exception for those above 55, which would require special handling and calculations. Easier to just make the money go through 2 transactions.

 

[henrylbh]

so technically if you have already met FRS can choose not to refund??

If you have already met FRS and did not make a property pledge, it just means that you do not have to pay back the property pledge. The money still needs to go a round trip into your CPF-OA and back out again (assuming you are > 55 yo) though, where there could be a slight delay.

you still have to refund. you can only take it out 15 days later.

According to CPF's reply -

you can request to refund only up to your FRS if you prefer to receive the monies sooner. In this case, you will receive the amount above your FRS directly from your lawyers upon completion of the property sale

 

[01asdf]

you still have to refund. you can only take it out 15 days later.

Only if you can't be arsed to inform them in advance and expect CPF to "apply common sense and know" (your mind)

 

[BBCWatcher]

Only if you can't be arsed to inform them in advance and expect CPF to "apply common sense and know" (your mind)

Moreover, if CPF attempted to read these minds, there'd be people complaining that they lost a month, or possibly more, of valuable CPF interest on these funds.

 

[dork32]

Only if you can't be arsed to inform them in advance and expect CPF to "apply common sense and know" (your mind)

i kena bluffed by my lawyer. i refunded the cpf of my mom and withdrew it immediately.

 

[dork32]

you want to hear a crazier story? i am the buyer of my mom's property. i wrote a cheque to cpf, then withdraw from it and put it back into my bank

stupid laywer.

 

[henrylbh]

you want to hear a crazier story? i am the buyer of my mom's property. i wrote a cheque to cpf, then withdraw from it and put it back into my bank

stupid laywer.

How would (many) lawyer knows CPF's rules?

 

[ELKYme]

Bro, are you sure it happened this way? I thought that If your Mum had used her CPF funds to purchase the property initially, upon the sale of this property, the amount used + accrued int. by your mum would have to FIRST go back into her CPF.
If she had previously not set FRS by pledging this property, the proceeds of this sale will go into her RA until she has FRS.

After the above is done, your mum (NOT YOU) can withdrew whatever additional balance remaining in her CPF if she’s above 55).
https://www.mortgagesupermart.com.sg/resources/new-cpf-housing-refund-policy

Can you share more in detail on how you refunded your mum’s CPF and withdrew the funds from her accounts?

In your particular case, it means that if a parent/child relationship have a joint tenancy in a property, there may be a loophole where the child is able to take advantage of the situation.
This is concerning.

i kena bluffed by my lawyer. i refunded the cpf of my mom and withdrew it immediately.

 

[henrylbh]

Nothing weird about it. It is the same rule for everyone below or above 55. Just that they didn't bother to make an exception for those above 55, which would require special handling and calculations. Easier to just make the money go through 2 transactions.

I would rather that every cent goes back to CPF and then decide when and how much I need to withdraw subsequently if I have met FRS. If the excess, assuming it is fairly large, were to return directly to seller, he would not be able to deposit it into his CPF atm machine (if he wants to) as there is an annual limit.

 

[dork32]

How would (many) lawyer knows CPF's rules?

they do this type of stuff. they should know.

 

[dork32]

Bro, are you sure it happened this way? I thought that If your Mum had used her CPF funds to purchase the property initially, upon the sale of this property, the amount used + accrued int. by your mum would have to FIRST go back into her CPF.

this was wat happen loh. but they say i can give to the lawyer and lawyer can pass to my mom. which means do not have to go thru cpf

 

[dork32]

After the above is done, your mum (NOT YOU) can withdrew whatever additional balance remaining in her CPF if she’s above 55).
https://www.mortgagesupermart.com.sg/resources/new-cpf-housing-refund-policy

i withdraw vs i ask my mom to withdraw and pass the money to me. any difference?
i need the cash for the purchase of a resale hdb under her name.

 

[dork32]

In your particular case, it means that if a parent/child relationship have a joint tenancy in a property, there may be a loophole where the child is able to take advantage of the situation.
This is concerning.

wat concerning loophole are you tokking about.

i kena pay stamp duty for transfer 20+k. you call that loophole?

 

[henrylbh]

Bro, are you sure it happened this way? I thought that If your Mum had used her CPF funds to purchase the property initially, upon the sale of this property, the amount used + accrued int. by your mum would have to FIRST go back into her CPF.
If she had previously not set FRS by pledging this property, the proceeds of this sale will go into her RA until she has FRS.

After the above is done, your mum (NOT YOU) can withdrew whatever additional balance remaining in her CPF if she’s above 55).
https://www.mortgagesupermart.com.sg/resources/new-cpf-housing-refund-policy

Can you share more in detail on how you refunded your mum’s CPF and withdrew the funds from her accounts?

In your particular case, it means that if a parent/child relationship have a joint tenancy in a property, there may be a loophole where the child is able to take advantage of the situation.
This is concerning.

He was not explicit. The way he said, you have to assume that his mum has met FRS of her cohort. Otherwise, whatever he paid to her will go back to her CPF and it would have been channeled into her RA to meet FRS and he could only made her withdraw the balance and return or give it to him.

 

[henrylbh]

they do this type of stuff. they should know.

No not many know. The lawyer would simply write to Cpf to ascertain what's the amount to fund, if any, period. Like that, you know what's the standard reply from CPF?

 

[ELKYme]

First off thank you for the clarification. I got a little worried as I misunderstood when you made this statement. The way you wrote it gave me the impression that there’s a way (loophole) where you could take your mum’s CPF (whether she’s willing or not).

Procedure wise is important in order to safeguard your mum’s interest in this case. Which is, funds rightfully needs to go back into her CPF first, it is her CHOICE on what to do with it (give it to you for your case).

you want to hear a crazier story? i am the buyer of my mom's property. i wrote a cheque to cpf, then withdraw from it and put it back into my bank

stupid laywer.

 

[The_Davis]

First off thank you for the clarification. I got a little worried as I misunderstood when you made this statement. The way you wrote it gave me the impression that there’s a way (loophole) where you could take your mum’s CPF (whether she’s willing or not).

Procedure wise is important in order to safeguard your mum’s interest in this case. Which is, funds rightfully needs to go back into her CPF first, it is her CHOICE on what to do with it (give it to you for your case).

go search his posting history. you would get the full picture then

 

[The_Davis]

real-life example of what happens when you sell flat after 55 with property pledged (i.e BRS). pretty interesting read …
http://finance.theindependent.sg/re...ment-sum-66-year-old-cpf-member-outraged/amp/

If I am below 55 when I sell and i have already hit frs for 55, can i withdraw the amount above frs by informing my lawyer?

 

[henrylbh]

If I am below 55 when I sell and i have already hit frs for 55, can i withdraw the amount above frs by informing my lawyer?

What ever amount you have in CPF before reaching 55 cannot be withdrawn.

 

[The_Davis]

What ever amount you have in CPF before reaching 55 cannot be withdrawn.

The truth hurts