CPF Ordinary Account Uses Singapore
Singapore Investor Guide 2026 · Not financial advice
The CPF Ordinary Account (OA) in Singapore can be used for housing, approved investments via CPFIS, education, and certain insurance premiums, earning a base interest rate of 2.5% per annum. This is for informational purposes only and does not constitute financial advice.
What Is the CPF Ordinary Account?
The CPF OA is one of three main CPF accounts. It earns a guaranteed 2.5% p.a. (plus extra 1% on first S$20,000 for members below 55). As at 2026, the SA Closure has moved OA/SA balances into the Retirement Account for members aged 55+ up to the FRS (S$213,000 for those turning 55 in 2026).
Use 1: Housing Purchases
OA funds can pay: down payment, monthly mortgage repayments (HDB loans at 2.6%, bank loans), and stamp duty/legal fees. Withdrawal is capped at the Valuation Limit. On property sale, CPF used plus accrued interest at OA rate must be refunded to CPF.
Use 2: CPFIS Investments
Via CPFIS-OA, invest in: SGX shares and REITs, unit trusts, ETFs, endowment policies, gold (up to 10% of investible savings). Minimum S$20,000 must remain in OA before investing. Best used for SGX-listed S-REITs or low-fee ETFs like the Nikko AM Singapore STI ETF.
Use 3: Education
Pay tuition fees at CPF Board-approved Singapore institutions. The loan accrues OA interest and must be repaid to CPF after graduation.
Use 4: Insurance Premiums
OA funds pay: Home Protection Scheme (HPS) premiums automatically each year, Dependants’ Protection Scheme (DPS), and some MediShield Life components.
OA Interest and Transfers
OA earns 2.5% p.a. To earn higher 4% rate, members under 55 can transfer OA to SA (irreversible). After 55, transfer to RA to build toward FRS (S$213,000) or ERS (S$426,000) for maximum CPF LIFE payouts.
Frequently Asked Questions
Can I use CPF OA to buy private property in Singapore?
Yes, CPF OA can purchase private residential properties subject to the Valuation Limit. Members 55+ must maintain the Basic Retirement Sum (BRS: ~S$106,500 for 2026 cohort).
What is the CPF OA interest rate in 2026?
2.5% p.a. guaranteed. Members below 55 receive an additional 1% on the first S$20,000 (combined OA, SA, MA), subject to CPF Board announcements.
How much CPF OA can I invest via CPFIS?
Only amounts above the S$20,000 OA minimum are investible. E.g. with S$50,000 in OA, you can invest up to S$30,000 via CPFIS.
Should I transfer CPF OA to SA?
Transfer earns an extra 1.5% (SA: 4% vs OA: 2.5%) but is irreversible. Only transfer amounts you don’t need for housing repayments or CPFIS investing.
What happens to CPF OA when I sell my HDB flat?
CPF OA used plus accrued interest (2.5% p.a.) is refunded to your CPF. This is the CPF accrued interest refund — it can be reused for your next property or to boost your RA.