Creation of the 4th War Machine - DBS multiplier

Ever heard of this DBS multiplier? It is a special account offered by DBS to allow us to leverage on its higher interest rate through various components within its structure. 

Wait? Isn't this been around for very very long time? Why did I added this thing in as a valid passive income generator now?

In the past, this account has one mandatory condition that for its main component must be a 'SALARY' income to be qualified to obtain higher interest. As I mentioned in this blog often, my goals is to achieve financial independence and at the same time remain sustainable in the event that I am to lose my salary income. Therefore, any component that require or involved salary income, I do not consider it as an 'sustainable' source, and so will not include it into my strategy. 

But, this changed early this year.

In February 2020, our local bank DBS revised their policy and recognized 'Dividend' as a valid income component. 

 

Omg! Suddenly, my First War machine - the dividend income is now recognized by DBS as an income component under the DBS multiplier. And the best part is, my emergency fund which is sleeping inside a normal saving account can now be transfer to this DBS multiplier account to leverage on its higher interest. 

So in March 2020, I applied and created this account to test it out. Although the monthly interest payout is modest but it was far better than the payout from a normal saving account, enough to cover some of my monthly bills. This 4th war machine could work almost consistently for every month because my dividend payout occurred on average of 9-10 months annually allowing the account to generate higher interest leveraging on the sleeping emergency fund. 

This is as I had mentioned often is my favorite concept of making the money work harder rather than I working for money. This DBS new policy has one shot expanded the job scope of both my dividend war machine and emergency fund and I do not have do anything about it after it was set up except to pay my monthly bills with credit card. 

Thank you DBS for allowing me to further utilize the functions of my first war machine and emergency fund.