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. For informational purposes only; not financial advice.
What Is the CPF Ordinary Account?
The CPF OA earns a guaranteed 2.5% p.a. (extra 1% on first S$20,000 for members below 55). As at 2026, the SA Closure has moved OA/SA balances to the Retirement Account for members 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), stamp duty and legal fees. Withdrawal is capped at the Valuation Limit. On property sale, CPF used plus accrued OA interest 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%). 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. Members under 55 can transfer OA to SA for 4% (irreversible). After 55, transfer to RA to build toward FRS (S$213,000) or ERS (S$426,000) for maximum CPF LIFE monthly payouts.
Frequently Asked Questions
Can I use CPF OA to buy private property?
Yes, subject to the Valuation Limit. Members 55+ must maintain the Basic Retirement Sum (~S$106,500 for 2026 cohort).
What is the CPF OA interest rate in 2026?
2.5% p.a. guaranteed. Members below 55 receive extra 1% on first S$20,000 (combined OA, SA, MA).
How much CPF OA can I invest via CPFIS?
Only amounts above S$20,000 OA minimum are investible. With S$50,000 in OA, you can invest up to S$30,000.
Should I transfer CPF OA to SA?
Transfer earns extra 1.5% (SA: 4% vs OA: 2.5%) but is irreversible. Only transfer what you do not need for housing or CPFIS.
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 — the CPF accrued interest refund. Can be reused for next property or to boost RA.