Trust Bank Singapore Review: Digital Bank Singapore

Singapore’s financial market is fiercely competitive, so when a new entrant makes a splash, it turns heads. This new entrant is none other than Trust Bank, which attracted over 500,000 retail customers within its first seven months and garnered S$1 billion in deposits by May 2023. This rapid growth positions it on a trajectory to challenge the dominance of the big three — DBS, UOB, and OCBC, aiming to become the fourth-largest retail bank in customer numbers.

In this blog, we review Trust Bank’s offerings in Singapore, exploring what makes it so enticing to locals. We’ll dissect its credit cards, interest rates, partnership with NTUC, and other factors to determine if you should open a savings account with them. Let’s begin!

What is Trust Bank Singapore?

Trust Bank Singapore is a digital bank partnered with Standard Chartered Bank and FairPrice Group. Launched on 1 September 2022, Trust Bank aims to delight customers with an easy-to-use and transparent banking experience. The brand prides itself on being a digitally-native bank with convenient cloud banking features, the latest technology, and cutting-edge security.

Digital Banks aren’t new to Singapore, with other entities like GXS and MariBank setting up and vying for a slice of the pie. However, Trust Bank Singapore is seen as the “next big thing”, as it holds a full banking license from the Monetary Authority of Singapore (MAS). This enables it to offer a comprehensive range of services, including savings accounts, debit/credit cards, and other services you’d expect from a normal bank, all while ensuring regulatory compliance and financial stability.

Finally, while most digital banks are fully online, Trust Bank sets itself apart with a network of 20 ATMs across the island, including 19 Standard Chartered ATMs and one at FairPrice Xtra in Vivocity. 

Trust Bank Products and Services

Trust Bank Singapore presents a well-rounded array of financial products and services carefully crafted to cater to the diverse banking needs of today's consumers. Let’s review their offerings:

Trust Bank Savings Account

The Trust Bank Savings Account is designed for those aiming to maximise their savings with competitive interest rates and a fee-less banking experience. Offering one of the highest interest rates in Singapore, this account ensures your savings grow without the burden of unnecessary fees or restrictions.

• High Interest Rates: Earn up to 3.0% p.a. interest on deposits up to S$500K.
• Fee-less Structure: No lock-in period, monthly fees, minimum balance, account closure fee, or foreign transaction fees.
• Enhanced Savings: Enjoy up to 11% savings on groceries and food spend at FairPrice Group with the Trust debit card.

Trust Bank Credit Card and Debit Card

Instead of offering a separate credit card and debit card, Trust Bank offers its customers the convenient option of using a single card and switching between credit or debit card functions within the app. The card also features a numberless design on the physical card for added security, reducing the risk of identity theft or unauthorised access if stolen. 

• Exceptional Savings: Up to 21% savings on groceries and food spend at FairPrice Group outlets and up to 22.78% savings on fuel at Caltex.
• Zero Fees: No annual, foreign transaction, cash advance, or card replacement fees.
• Personalised Features: Option to choose your repayment date and preferred credit limit.

Trust Bank Loan Services

Trust Bank’s Loan services are tailored for fast, flexible, and fair financial support. With competitive interest rates, no hidden fees, and flexible repayment options, customers can access the funds they need quickly and manage them easily through the Trust App.

• Competitive Rates: Loan interest rates start from as low as 2.87% p.a. (EIR 5.41% p.a.), with no processing or hidden fees.
• Flexible Repayments: Choose your loan amount and tenure, with options from 3 to 60 months.
• Quick Access: Instant loan approval with funds deposited directly into your Trust savings account.

Trust Bank Insurance

Trust Bank offers a comprehensive suite of insurance products underwritten by NTUC Income to protect you and your loved ones in various aspects of life. 

• Comprehensive Coverage: Wide range of insurance options, including travel, pet, home, domestic helper, car, motorcycle, and family personal accident insurance.
• Easy Application: Seamless application process directly through the Trust App.
• Exclusive Benefits: Special perks and offers available for Trust Bank customers, leveraging its partnership with NTUC FairPrice Group and Income Insurance.

Interest Rates and Returns

One of the biggest reasons for Singaporeans to choose one bank over another are interest rates. So, how does the Trust Bank savings account fare? Let’s review it in greater detail.  

Trust Bank advertises interest rates of up to 3.0% p.a. on the first S$500K for their savings account. However, on closer inspection, this 3.0% is not a flat rate. There are certain prerequisites one has to meet in order to achieve the full amount.

Base Interest: All account holders enjoy a base interest rate of 1.5% p.a., applied universally without any prerequisites.

Balance Bonus Rate: An additional 0.5% p.a. is available for maintaining a minimum Average Daily Balance (ADB) of S$100K throughout the month.

Bonus Interest for Card Transactions: Union members benefit from an extra 1% p.a. for completing 5 eligible card transactions monthly, while non-union members can earn a 0.5% p.a. bonus under the same conditions.

Interest for the Trust Bank savings account is calculated daily, based on the end-of-day balance, using a 365-day year, and credited on the last day of the month.

To earn the advertised interest rate of 3.0% p.a., you would need to maintain a minimum ADB of S$100K whilst meeting the spending requirements on your Trust Bank credit card or debit card. Unless you have substantial savings of over S$100,000, you would most likely be earning the base interest rate of 1.5%, or between 2 - 2.5%, if you meet the spending requirements on the Trust card.

How does the interest rate on the Trust Bank savings account compare to other digital banks and StashAway Simple Guaranteed? 

As you can see, while the Trust Bank savings account starts with a lower base interest rate compared to its digital bank counterparts, GXS and Mari, it offers the possibility of earning higher interest rates provided you are able to meet the specific tier conditions.

However, for those seeking a straightforward option without the complexity of tiered rates and aiming for a base rate that surpasses the 3% offered by Trust Bank, StashAway Simple Guaranteed is an attractive alternative.

Looking for Better Returns?

For individuals searching for a hassle-free way to earn higher interest rates without having to manage tiers, StashAway Simple Guaranteed is an alternative that is ideal for short-term investment in Singapore where you can enjoy guaranteed interest rates of up to 3.1% p.a, providing a clear, predictable return on your investment.

StashAway Simple Guaranteed Interest Rates:

In comparison to the Trust Bank savings account, StashAway Simple Guaranteed offers a compelling advantage for those seeking straightforward, higher-yield investments. With a guaranteed interest rate of up to 3.8% p.a., it provides a predictable and attractive return without the need to fulfill various conditions. Additionally, the flexibility to choose your lock-in period and the ease of no minimum or maximum investment amounts make it an excellent alternative for maximizing short-term savings. 

Additional Perks of Trust Bank Singapore

Trust Bank Singapore offers additional lifestyle perks that enhance the banking experience beyond conventional banking benefits. These include:

Earning Linkpoints: Trust Bank customers can earn Linkpoints by spending with their Trust card. The accumulated Linkpoints can be redeemed to offset purchases at FairPrice, Unity, Cheers and other Link partners. 

Partner Offers and Rewards: The Trust app allows users to discover coupons and redeem them at partnered merchants for discounts, free gifts, and more. Users can also earn stamp cards by shopping at partnered merchants, 

Trust Bank Limitations

Despite its appealing features, Trust Bank has its limitations. While the base interest rate of 1.5% p.a. is competitive, consumers who are adept at managing multiple interest tiers and spending categories may potentially be better off with a high-yield savings account. Alternatively, they may also achieve better returns from pursuing short-term investment options in Singapore, like StashAway Simple’s cash management solutions.

Eligibility and Opening an Account

Opening a savings account with Trust Bank is a straightforward and easy process.

Eligibility Requirements

To open a Trust Bank savings account, you must meet the following criteria:

• Be 18 years or older.
• Hold Singaporean Citizenship or Permanent Residency status.

Step-by-Step Guide to Opening a Trust Bank Savings Account

1. Download the Trust Bank App from the app store
2. Launch the App and click "Get Started" 
3. Choose the option to apply for a savings account.
4. Select "Apply with MyInfo" and use your Singpass to securely continue your application.
5. Verify Information your pre-filled information and ensure it is correct.
6. After verifying your information, confirm your details and set up a 6-digit password for your account.

Foreigners residing in Singapore will have to upload a copy of their passport in addition to the MyInfo authentication. The application process typically takes a few minutes but can be extended to up to 5 working days if additional clarifications are needed. 

Comparing Trust Bank vs GXS vs MariBank

Should You Sign Up with Trust Bank?

After reviewing its offerings, is Trust Bank right for you? If you like the idea of a simple savings account with competitive basic interest rates, seamless tech-enabled banking, and lifestyle perks such as promotions for shopping at FairPrice, then it might be an attractive option for you. 

Alternatively, for those seeking a straightforward way to boost their savings with higher interest rates than Trust Bank provides, exploring short-term investment alternatives like StashAway Simple could be a smart move. Cash management solutions like StashAway Simple are great for those looking to enhance their financial returns without locking up funds long-term. Ultimately, the decision rests on your financial strategies and how actively you wish to manage your savings and investments.