Hi I am planning to get a loan and some opinions on the type of loan that I should get.

- Loan amount: 520K
- Ability to make extra repayment (not full amount) that GOES INTO PRINCIPAL with NO Terms and Condition or Fees.
- Lock in Period of 3/5 years.
- Low interest rates (Duh ..haha)
- 25 years/30 years
- Flexi or Term loan depending on the package.

My current situation:-

Lets assume I have currently having cash of 300-400K, but stuck in FD, Sukup bond etc which offers quite high interest rate at the moment compared to home loan interest and therefore no plans to take it out losing the interest.
Might also plan to sell an apartment(loan free) in a few years time which cost 300K ++.
Have the ability to put in more repayment into the loan in the future but not at present. Therefore I need a loan plan that allows me to pay extra payments to the principal in the future if interest rates go up.
Ability to withdraw from extra payment is preferable(if i can find better investment opportunity) but since it's most likely withdrawing one lump sum, a small fee is acceptable.
I probably and most likely won't settle it early, but at minumum I must be able to reduce the principal to say 50K - 100K whenever I want to, therefore a lock in period of 3-5 years is acceptable.

With my kind of "conditions" what would be the best loan type be? Will the bank charge higher interest for the conditions above?

Very simple for you, Semi flexi loan is most suitable for you.

Why? You already mention that you will only withdraw money in one lump sum which is not happen always.

Semi flexi
-extra payment allowed
-withdrawal allowed with prior notice with RM10-RM50 fees depend on which bank.
-no monthly fees

However, you may consider full flexi loan also but full flexi loan will charge monthly fees of RM10. Interest rate i can say it's same for both type of loan.

which bank offers
1. lowest "withdrawal fees"
2. best service
yeah...i know i'm greedy

This post has been edited by vdfoo: Jun 23 2010, 11:33 PM