CPF to recover $1.7 million of wrongly paid Medisave grants for babies

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About $1.7 million in Medisave grants were wrongly paid to 885 children due to a processing error by the Central Provident Fund (CPF) Board.

These children who became Singapore citizens had between $1,000 and $3,000 deposited in their Medisave Accounts under the Medisave Grant for Newborns, more than what they were eligible for, CPF said in a statement on Wednesday (5 April).

The children were not citizens at birth and were either not eligible for the grant or should have received a pro-rated amount when they obtained Singapore citizenship before the age of two. The error happened from March 2016 to January 2017.

The CPF said it has rectified its work processes and will be recovering the overpaid amounts from the Medisave Accounts of these children in April.

Newborns who are Singapore citizens at birth are given a $4,000 Medisave Grant for Newborns in their CPF Medisave account.

The Grant helps parents defray their child’s healthcare expenses, such as MediShield Life premiums, recommended childhood vaccinations, hospitalisation, and approved outpatient treatments.

Families may contact the CPF Call Centre on 1800 227 1188 (Mondays to Fridays, 8am to 5.30pm) if they have questions.