Between March 2016 and January 2017, due to a processing error, 885 children who obtained their citizenship after birth received between $1,000 and $3,000 more MediSave Grant for Newborns (MGN) in their MediSave Accounts than they were eligible for.
These children were not citizens at birth. They were either not eligible for the MGN or should have received a pro-rated amount, depending on the age when the child became a citizen, which has to be before the child turned 2 years old.
Newborns who are Singapore citizens at birth are not affected.
The Central Provident Fund Board (CPFB) apologises to the affected families for this error. We have rectified the work processes involved in the payment of MGN. We have also conducted a thorough review of our processes and have strengthened them to ensure accuracy in future MGN payments.
We will be recovering the overpaid amounts, totalling about $1.7 million, from the MediSave Accounts of these children in April. The parents of the affected children will be informed via mail.
Affected families may contact the CPF Call Centre at 1800 227 1188 (Mondays to Fridays, 8 am to 5.30 pm) if they need further clarifications.
MediSave Grant for Newborns (MGN)
As part of the Marriage and Parenthood Package, all Singapore Citizen newborns are credited with a $4,000 MediSave Grant for Newborns (MGN) 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.
The MGN was introduced on 26 Aug 2012 and was enhanced from $3,000 to $4,000 for citizen babies born from 1 January 2015. Children who are not citizens at birth but obtained Singapore citizenship before 2 years old are given pro-rated amounts, based on the age when the child became a citizen.
