DBS Multi-currency

[dreant]

I just realised this account doesn't earn me any interest. I don't know if I should care about tat but I didn't get to use it so far.
Wonder if I should close it but was thinking in the future I might need to use it?
For now my money is like stuck there forever. Lol.

It does for SGD, CNH, and USD balances, as well as for AUD and NZD over 650k.

DBS Multi-Currency Account Interest Rates

But you shouldn't care, because the rates are minuscule. There are other places you can put your money that would give you better interest returns if that's what you're looking for.

For SGD, look into Citi Maxigain or CIMB Fastsaver. For other currencies, it'll probably have to be in a FD, but it can cost trying to move the funds around, you're better off just placing it with the bank it's currently in.

 

[Charlie_Zhan]

While the action is 'valid' (not quite sure what you mean by that actually... it is a possible course of action), it may have some complications, depending on your situation.

a) You can't open a bank account in Japan, unless you have residence status - ie, you are on a student, work, or cultural visa.

b) You can only close your DBS MCA account in person, over the counter - It can't be done remotely, over the phone, or by internet.

If you're moving to Japan, and will be here for a while, then (a) is not a problem, but (b) might be. If you're not moving to Japan, then (a) is impossible, and (b) won't be a problem instead.

Some banks in Japan set the ATM withdrawal limit for foreign cards at JPY50,000 per transaction. So, you'll need at least 6 withdrawals to pull most of your JPY280,000 out. You might like to work out the fees involved in doing so, and figure out if it would otherwise be cheaper to just TT the funds into your JP account instead, if you already have one setup at this time.

If you're moving to JP, it could be a little difficult to get a credit card here. It's not impossible, but it could take some time. In such a case, simply keeping your DBS MCA, and using it for debit only functions is perhaps another course of action you could consider, since there are no fees involved when you do so. The upside of doing so is, if you'll be here for a while, you can always 'top up' your JPY wallet from your SGD balance via internet banking when yen is weak, as required.

The 'buy/sell' spread is the difference in the bank rates when you buy, or sell the currency.

At this point in time (rates at 30/04/2018, 7:03pm) DBS rates are:

JPY100 Sell 1.2273
JPY100 Buy 1.1981
(Rate at: 01/05/2018, 11:48am)

If you were changing SGD to JPY, and want JPY100,000, the bank uses the 'sell' rate, and it'll cost you SGD1227.30

If you were changing JPY to SGD, and had JPY100,000, the bank uses the 'buy' rate, and will only give you SGD1198.10 for it.

So, if you changed SGD > JPY > SGD immediately, you would effectively lose some money, because of the difference in the banks 'buy' and 'sell' price (which is where the bank makes money on FX).

you can close dbs accounts over the phone or via an account closure form via mail.

Sent from International Space Station using GAGT

 

[assiak71]

Can MCA be converted to a joint account? Or better to open a separate basic savings joint acc. Thanks.

 

[ixoral]

Can be converted. For any joint acc opening, both person must be at counter.

Can MCA be converted to a joint account? Or better to open a separate basic savings joint acc. Thanks.

 

[assiak71]

Can be converted. For any joint acc opening, both person must be at counter.

Thanks.
Whats the maim benefit of MCA? I dont see any benefit for me compared to a basic savings acc. Is it to withdraw cash overseas? But will need to login to buy the foreign currency first right. And is it any foreign atm?

Also saw that multipler acc is an eligible MCA acc. What does that mean? Multiplier acc has multi currency functionality? Means can just use Multiplier acc instead of expicitly opening a MCA acc?

Thanks.

 

[hwmook]

Thanks.
Whats the maim benefit of MCA? I dont see any benefit for me compared to a basic savings acc. Is it to withdraw cash overseas? But will need to login to buy the foreign currency first right. And is it any foreign atm?

Also saw that multipler acc is an eligible MCA acc. What does that mean? Multiplier acc has multi currency functionality? Means can just use Multiplier acc instead of expicitly opening a MCA acc?

Thanks.

A MCA of course purpose is to store multiple currency and you can use it using the debit card while overseas. If you don't have other currency to store then a normal account will do the job, you can always draw foreign currency using a normal bank account too, just that it will draw from your SGD balance and convert to foreign currency whenever you use it.

 

[dreant]

Whats the maim benefit of MCA? I dont see any benefit for me compared to a basic savings acc. Is it to withdraw cash overseas? But will need to login to buy the foreign currency first right. And is it any foreign atm?

DBS: MCA FAQ

 

[assiak71]

DBS: MCA FAQ

Thanks seen that but still cant appreciate it. Say i go for overseas holiday which accepts credit card for almost everything, what is the benefit of using MCA debit or overseas atm?

Say it is a less developed country where cc is not widely accepted, does withdrawing cash overseas (from MCA foreign currency wallet) have better exchange rate than SG money changer?

Thanks.

 

[xsoldix]

MCA dont have much currencies to change to anyway.

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[dreant]

Thanks seen that but still cant appreciate it. Say i go for overseas holiday which accepts credit card for almost everything, what is the benefit of using MCA debit or overseas atm?

Say it is a less developed country where cc is not widely accepted, does withdrawing cash overseas (from MCA foreign currency wallet) have better exchange rate than SG money changer?

Thanks.

Not at all - you will always get a better exchange rate at a good money changer than via a bank.

Whenever you make a foreign currency transaction on your credit card, there is an extra 1.5% to 4.0% added to the exchange rate (depending on the currency). Using this account, and changing funds in advance, could save you some money.

I don't think it's useful for short holiday trips at all; but it's great for online shopping, and could be useful if you'll be staying in another country for any significant period of time.

 

[zarray]

Hi all,

I would like to be able to use the DBS MCA account as I will be in Australia for approximately 1-2 months and would prefer not to handle so much cash and coins especially.

I have set up my MCA to have a look at the Forex rates and true enough *cough cough* DBS forex rates are hardly competitive. As of right now 7 May, 1SGD : 0.98357AUD whereas a quick look online at get4x.com showing most places offering 1SGD : 0.99AUD or slightly higher.

Am I able to work around this by buying AUD from external moneychangers and depositing the AUD at any of the local DBS bank branches to top-up into the MCA?

 

[xsoldix]

Hi all,

I would like to be able to use the DBS MCA account as I will be in Australia for approximately 1-2 months and would prefer not to handle so much cash and coins especially.

I have set up my MCA to have a look at the Forex rates and true enough *cough cough* DBS forex rates are hardly competitive. As of right now 7 May, 1SGD : 0.98357AUD whereas a quick look online at get4x.com showing most places offering 1SGD : 0.99AUD or slightly higher.

Am I able to work around this by buying AUD from external moneychangers and depositing the AUD at any of the local DBS bank branches to top-up into the MCA?

Help you out.
Read this.
https://www.dbs.com.sg/iwov-resources/pdf/deposits/DBS_deposit_guide.pdf

Page7.
After that, page 17.

Short summary, AUD deposit, comission-in-lieu of 2.5%.

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[zarray]

Help you out.
Read this.
https://www.dbs.com.sg/iwov-resources/pdf/deposits/DBS_deposit_guide.pdf

Page7.
After that, page 17.

Short summary, AUD deposit, comission-in-lieu of 2.5%.

Posted with fingers HardwareZone Forums app

Thanks for your prompt reply! Yikes 2.5% deposit comission or S$10 minimum fee.

Hopefully Revolut and Monaco can quickly get their act together and prevent the banks from profiting unecessarily.

 

[Lareina]

Does anyone know if it is okay to leave this account inactive without any transactions at all? I know it's useful for travelling or online shopping, but I'm struggling whether to keep it since i don't get to do either one of those. Although i can leave it for future use but it could be many years later so was wondering will the bank freeze this account if i keep it inactive? For now I have to keep min $3k in this account which i find it a waste. Trying to see what is the best option now. :/

 

[dreant]

Does anyone know if it is okay to leave this account inactive without any transactions at all? I know it's useful for travelling or online shopping, but I'm struggling whether to keep it since i don't get to do either one of those. Although i can leave it for future use but it could be many years later so was wondering will the bank freeze this account if i keep it inactive? For now I have to keep min $3k in this account which i find it a waste. Trying to see what is the best option now. :/

That should already answer your question. There are better places you can park $3k that you have no plans to use.

CIMB Fastsaver pays 1%p.a.... so, $3k would effectively be an opportunity cost of about $30/year

Not sure about you, but that works out to one lunch for me per month.

Stashed into an account that pays even better returns like the Citi Maxisave, it's effectively costing you about $60/year (~2%), or a nice dinner with a friend.

 

[Lareina]

Thanks for your advice. But I'm surprised why a foreign bank will offer a higher rate for savings account and no fall below fee? Much better than local banks! Are they dependable?

 

[yumyumz]

Does anyone know if it is okay to leave this account inactive without any transactions at all? I know it's useful for travelling or online shopping, but I'm struggling whether to keep it since i don't get to do either one of those. Although i can leave it for future use but it could be many years later so was wondering will the bank freeze this account if i keep it inactive? For now I have to keep min $3k in this account which i find it a waste. Trying to see what is the best option now. :/

Why not use the multiplier account?

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[hwmook]

Thanks for your advice. But I'm surprised why a foreign bank will offer a higher rate for savings account and no fall below fee? Much better than local banks! Are they dependable?

I am surprised by your logic, if a local bank give a better rate then why would you bother with a foreign bank with a smaller presence in Singapore. Of course foreign banks need to give better terms in order to compete.

 

[gravityz3r0]

Hmm, is it right to say that buying the foreign currency (for example AUD) using the multiplier account and then spend it directly using my debit card is better than spending via traditional way?? (having it charged as AUD and debit from my SGD account).

I know the buy-in rate sucks, but don't forget that when you charge directly to your AUD debiting account, you also save the administrative + forex fee which could amount to 3.25% and that itself kinda offset the lousy rate. Am i right?

 

[Toadipc2]

OMG! How stupid I was. Thought I would share this here so that those reading this thread is better informed.

My wife and I were very enticed by the recent DBS Multi Currency promotion for a USD Deposits with 2.5% P.A. for 4 months and went on to open a multi currency account. After transferring a fresh fund of $42k into the account, I called the DBS Hotline to seek advice on how to convert that into USD. The lady advised that just transfer the amount from SGD to the same account in USD will do. And I did just that.

To my horror, we were immediately down by $597 (from 42k become $41405 SGD equivalent. I called the hotline again, and was told that this is how the bank charge on the exchange rate.

Doing our maths, with our fresh fund of SGD $42k (USD $30k equivalent), our interest after the 4 months promotion would come up to about $350 SGD. We are already down by $250 before the promotion starts...sigh. Lesson learnt, never trust the bank again.