Top up in an Ideal plan

Hi Mr Tan,

I had an ideal plan with monthly payment of $400. If I had a lump sum payment of $5000, do you think it would be beneficial to top up this amount to the ideal plan?

I am currently also looking at Revosave. I am thinking of having a monthly premium of $250 for 15 years. The idea of cashback annually meet my objective - saving and able to use the amount after the 2nd year.

However, the comments I read so far are not really impressive. What would be your advise.

REPLY

You should check with NTUC Income about the topping up in the Ideal plan. If the topping up is made as a single premium, then you incur the upfront charge of 3.5% only. You should check if they can give you a bonus to reduce this upfront charge. If not, it is all right to make this investment.

It is better to invest in the Ideal plan, rather than through Revosave, as the charges are much lower.