Keep Medisave for the future use

31 October 2012

Editor, Voices
Today Paper

Jeffrey Law has suggested that Medisave be allowed to be used

for basic dental services at private clinics (Today, 31 Oct).

While I recognize that some people do not have savings to pay for 

these basic services, I wish to encourage the public to avoid using 

Medisave for small payments. Each withdrawal incurs an administrative 

charge of $3. 

The Medisave account can earn an attractive interest rate of 4% 

per annum, much better than the meager interest that they can earn 

on other savings. Most people will need their Medisave savings to pay 

their medical bills when they are get old, so it is best to keep the savings 

intact, where possible. 

The public should set aside some savings from their regular earnings 

to meet unexpected payments and emergencies, such as medical 

and dental treatment. 

They should attend the financial planning talks organised by the Financial 

Services Consumer Association (www.fisca.sg).

Tan Kin Lian

President
Financial Services Consumer Association