When I signed up for the loan, it was mentioned that it is zero moving cost, and if not mistaken stated in the letter of offer (I got to check this when i get back); now the lawyer says that the bank only pays them 2% of the loan amount and I have to pay the balance.

Is there such thing? What can I do about this?

Tried calling the customer care of the bank and they are checking for me with the loan department and will get back to me

should be all in the writing. if not written, it's not valid.

n lawyer's fee is 2 portion.

1 is for S&P ur agreement with the developer, another 1 is for Bank Loan Agreement.

usually the bank oni covers the bank loan agreement's legal fees.

ok...should check the offer letter...

it is a sub sale, so it is just the bank loan agreement's legal fees....

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Added on February 23, 2010, 3:47 pmchecked with the bank that the loan agreement fee borned by the bank is capped up to 2% of the loan amount, and my loan amount was too small...so i had to pay the difference....

but is that such clause?

This post has been edited by leongal: Feb 23 2010, 03:47 PM

Yes, there is some bank offer ZEC but capped at 2% or some 3% of the loan amount. The extra will have to pay yourself.

Normally banker will inform the client about this capped limit, not sure about your's banker. You walk in bank to apply or go through a banker? May i know which bank is that?

i applied through a mortgage broker, who didn't inform me before this. So, I was abit shocked to find out.

My bank is OCBC, and the bank did not call and inform me about this. I only get to know when I called my lawyer to get some updates from them, and they told me that there was some outstanding legal fees. Then, I called the customer service, and then confirmed with me that they only paid 2% of the loan amount to the lawyer

This amount has to be settled before they proceed to title transfer?

hoyoyo... quite bad for the banker not to tell u earlier la..i applied for CIMB loan previously and they told me about this before I signed anything with them

Sad to hear about your case, there is always some banker/broker that never mention all the detail about the cons of their package. Only mention and keep telling their pros to secure the loan with you. There's nothing much you can do now as the lawyer already processing your doc. Remember ask the lawyer to give discount.

is 2% enough to cover?

Normally, not enough.

hi leongal,


sorry to hear that you had an unpleasant surprise from the OCBC.

We do have a capping of 2% for ZMC package, which was enforced for a certain period of time previously. For your scenario i suggest you to call back the mortgage broker to sort out the matter. There's nothing much can be done at the stage of progress thou.




Yes.



if the loan amount is less than RM 300k, it is very likely that its not enough. Customer may have to pay for the difference on their own.




Yes, if your op for ZMC package, it should be written in the Main Letter Offer (first 6 pages).


Hope the above helps.

Let me know if you need any clarification from my side.

This post has been edited by merce: Feb 23 2010, 06:30 PM

So sorry to hear that, looks like you have a very unpleasant experience of buying that house. I'm taking OCBC also but my legal fees was financed into the loan amount. I actually save more on the interest because they give me lower interest rate.

Thanks for the advice people; yes, there's nth tat we can do at this stage, I blame on myself for not understanding well the loan package and also partly the broker who didnt let me know about this clause

I am paying the shortfall amount....I really learnt many unpleasant things from my transaction...

Thanks

So, who recommend you that loan broker?

here (get what i mean?)...i actually believed in karma cos initially he helped me; so i wanted to help him back.....but learnt my lesson (not sure if the person reads this, but hope he will learn to advice his future clients in a better manner.....yes, i am disappointed)

anyway, finally got back home and checked on the offer letter, it was stated there - and again, i blame my own ignorance of not understanding the statement and also still "blame" on the person not explaining it to me earlier....

The legal fee for loan agreement is only 1% of the loan amount.
The rest are stamp duty & disbursements.
If u say 2% of the loan amount not enough to pay for the loan agreement, and if the outstanding balance is burdensome, then the lawyer must be charging a hell lot on disbursement & misc charges.

If it's only a couple of hundred, after finding out the truth, just settle it lah.

Also got 1 broker approached me here when I just bought my house, anyway, I took the loan from OCBC mortage staff recommended by my agent, the service is very good and very fast.

yup, settle oredi....close one eye...

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Added on February 23, 2010, 10:18 pmactually many bankers/ brokers did pm me....but i choose him for the reason mentioned about...

the worst decision i ever made was believing that his lawyer was good after he said so (sorry if you see this, but i am just telling how i feel) I was NAIVE...

i dun care if the lawyer gives me discount or whatsoever, the most important thing is get the things done, which is the basics, and they are JUST not doing it.....it is the case where "I represent my lawyer and not my lawyer represent me"

This post has been edited by leongal: Feb 23 2010, 10:18 PM

Oh. Same damn thing happened to me. Piss me off.

aw, so sorry. I also took the lawyer recommended by my agent. The agent help me to get quotation from 3 lawyers and I choosed the 1 with most discount. Turn out their service is good too, I'm very satisfied. I'm going to get my key probably next week.

This is what i always mention to all my clients who getting loan.
Rate is important for a loan, but service is more important then the rate. If a bank or banker give you bad service, usually end up with more $$$ for sure.