settled the differential payment to the developer two months ago
and expected the bank to have released the loan amt to developer.

yesterday received letter from developer saying that payment was long overdue.

developer says letter has been sent to lawyer to advise payment since June
lawyer says never received any letter , only received it yesterday.

and the penalty interest amts to few hundred.

it is not my fault, and I dont think I shud pay the interest.

what can I do.
Taikor-taikor, please advise

Tell developer to show you letter of acknowlegment receipt from lawyer if they claimed to have sent to lawyers. If they can produce, *** the lawyer, if they can't, *** them.

last time got the interest charges from the developer claim the bank release the thing slower ... complain to lawyer, then lawyer say is the developer fault for release certain document slower ...

after long argument, lawyer ask us to pay first, claim later (means claim from lawyer) ... waited 2 months and get the payment

you should discuss with your lawyer see what's the outcome, developer will reduce the interest charge but would not waived it de

agree with both matrix and alexis wll

Yah.. what they said

thank you very much, bros

really appreciate it

Is letter notifying of amount due the main/only reason for delay in release of loan?

If you buy a property which is quite advanced in construction stage plus if your loan margin is high, it will be very likely that late payment interest will be incurred if follow strictly terms of SPA. ie...late charges start 14 days after billing which normally is SPA date. In cases like this, most developer will extend certain grace period for loan drawdown without late interest charges as normal process will take 2-3 months before loan release.
Check if lawyer's office attributed to any delay in the process. If yes, buat bising..if lawyer is reputable, usually they will settle interest issue with developer who recommended them.

This post has been edited by ??!!: Aug 21 2009, 02:28 PM

Based on the lates re-imbursement situation from Bank to Developer, should we check or 'kejar' the bank to make sure they have make the necessary re-imbursement before the bank claim payment of interest from us(the buyer) i mean.

thanks, but i think different law firm have different procedure... before we take the loan from the lawyer recommended by the agent, we keep ask will get interest or penalty or not if let you do... they keep said "no worries, we are very fast and efficient one..." ... end up get the interest now they bare the interest (few hundred only)... but i did keep chasing the payment, keep go law firm whenever i'm free...

since you paid few thousands ( in my case few thousands la ) ... you should have the right to know whose fault and who will pay for it instead of paying it yourself... if lawyer don't want responsible, ask for discount from developer (they will be very happy to reduce the amount for you...)

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Added on August 22, 2009, 12:02 pmand, the developer also understand usually bank release payment very fast... once they sent the letter for disbursement( i think is this word )... within 3 days the bank already send the cheque to them...

This post has been edited by alexis_wll: Aug 22 2009, 12:02 PM

Normally, when bank release any portion of loan, they will cc to borrower and at the same time, tell u have to service interest for portion of loan disbursed.

It will be good if buyer/borrower is rajin 'chase ' the lawyers and banks re the process, but this is not necessary if the legal firm is efficient. However, it is normally not that easy as the conveyancing procedures are not something easily understood by laymen.

This post has been edited by ??!!: Aug 23 2009, 12:11 AM

In my case, everything was going on smoothly except lately I could feel that the bank could not meet the due date as the solicitor is saying that there is a restriction on the title and they need a consent letter from the developer. I am not sure what are this consents for? The property is under construction and the 1st billing is for 65% completion.

The developer claimed that the individual title is out but they haven't executed the MOT yet. It is a leasehold property.

The bank lawyer say that they need the adjudicated MOT for presentation before advicing the bank for releasing the progressive payment.

Now, I do not know when does the bank release the payment?

The bank solicitor say that they could not meet the due date. I've been emailing the developer many times with regards to the MOT thing. But never get any reply. In this case could the developer charge late interest on purchaser?

You should start your own thread.
And it doesn't sounds right, only 65% complete but with individual title??

Landed property....at time of purchase, Qualified Title (QT) not issued...therefore loan security by way of Deed of Assignment.
Now, QT issued?...which means loan will be secured via charge?

Is this the case?

If it is strata title (ST)property, if only 65% complete, no way application for ST can commence.