Make it easy to pay by bank transfer

Mr. Tan,
When I get my invoices processed, my Accounts department will start processing if I provide an email copy in advance. They still need an original (i.e. signed) invoice before releasing the cheque. I think that this is required as an audit trail.

A direct debit payment (DDA) has to be done through banks. I understand that it is a hassle to arrange with the bank such a payment mode. I think that there are extra charges or delays. For one-time payments, perhaps it's much easier to pay by cheque.

REPLY
We are caught in the old ways of making payments, due to various reasons. Mostly, it is the reluctance to try a new way.

Many people continue to write cheques and mail them. The receipients have to open the envelope and visit the bank to deposit the payment into their account.

In many other "advanced" countries such as Cjhina, the payee instructs the bank to make the transfer to the payor. The bank gives detailed information to the payor about the payment - sufficient for audit trail, etc

I hope that employees of commercial organisations or banks reading my blog will ring this matter up to their bosses.

Low transaction cost

I have a good arrangement with my remisier. He sends a few documents to me daily to keep me updated on the major investment opportunities. If I need information on any company, I send an e-mail to him. He forward it to the research department and give me the information within one day.

I pay 0.3% for each transaction. If it involves $10,000, the brokerage is $30. He keeps about 40% of this fee, i.e. $12. If the trade is $50,000, he earns $60. He also takes care of the paperwork involved in the trade. Although the cost is low, my remisier can look forward to a few trades in each month from each active client.

I hope, one day, that insurance sales can be made as efficient and low cost as trading of shares.

Contact NTUC Income

Dear Mr. Tan
I tried to email my NTUC Income agent regarding to my living policies cash value. However, she has not replied to my mail for a long time. Then I tried to write to xxxxx@income.com.sg, Again, there is no reply. What other email address can I write to for a reply?

REPLY
You can try the service quality officer, sq@income.com.sg

Benefit Illustration

Dear Mr. Tan,

I am given a benefit illustration for a life insurance product. It seems to be quite detailed, long and complicated. Do you have any tips on the important things to watch out for?

REPLY

You should ask the agent to explain the key points to you. You can ask the questions contained in this FAQ:
http://www.tankinlian.com/faq/right.html

Make sure that the agent explain the answers clearly. Do not be shy to ask for clarification, if the point is not clear to you. It is the agent's duty to provide clear explanation.

True cost of life insurance

Dear Mr. Tan

I read several comments in your blog. They seem to suggest that there is such a thing as a high cost life insurance policy, and a low cost policy. How can a consumer tell the difference?

REPLY

You can read this FAQ:
http://www.tankinlian.com/faq/true.html

It explains the true cost of a life insurance policy, as reflected in the reduction in the yield that can be earned from the life fund.