Hi,

Is there any penalty if we were to cancel the loan after signing the offer letter from bank? It's Maybank to be precise. S&P haven't sign yet.

Yes you can do it.... as long as the loan agreement yet to sign.
Maybank ? all i can said are , all bank had thier pros and cons. and different people have different point of view.
Take it easy .

Do you have a copy of the Letter of Offer? If you have, you might as well check for any clauses stating if there is any form of penalty.
Worst come to worst, your loan application may be recorded in CCRIS, and then only will you have trouble getting loans from other banks.

if i remember correctly, there is no charge if the amount is yet to be disburse. if after the amoun has been disburse then u need to pay lo

oh, does that mean the loan cancellation will be reflected in CCRIS too?

Recently I took loan from PBB half way I cancel the loan then kena Rm2000 penalty (this is excluding legal fees) hehe

Yes check your LO it's written there whether any charges

This post has been edited by keithcky: Aug 23 2011, 06:17 PM

Once you applied for your loan it will automatic reflected in CCRIS. Example 3 bank you applied , 3 also approved and it will sure reflected in CCRIS.
No matter you sign or no sigh the LO.
and you can cancel if you dont like the service or package of maybank. as long as u dont sign the loan agreement from lawyer.
the officer sure tell you submit already and cannot cancel + blah blah........ ( u know they need to hit target and earn thier commision so on ) . anyhow, you can cancel.
For more info you should refer back to the S&P lawyer. he can clear all ur question.
just my 1 cent

This post has been edited by MaiGehGeh: Aug 23 2011, 06:15 PM

did you pay?

Yes I paid to my lawyer then the lawyer settle with the bank

Ok. If there are too many approval from different type of banks in CCRIS, would it affect my future loan? Lawyer said no problem can cancel the loan

yes, there is penalty clause in all LO once you signed the letter and returned to the bank....

LO has nothing to do with SPA.

if you signed SPA and back out...lagi teruk....1% of purchase price penalty...

wrong wrong wrong!!!!

please read the LO careful before signing the dot dot line...some bank will penalize you, some won't, not ALL...don't mislead people here..

speaking from experience, 1 celaka bank Uxx has this hidden clause until I ask the SA and the SA told me YES, penalty 2K if you sign and later cancel the LO...

but other bank like Mxxxxxx didn't change you at all even you already signed the dot dot LO and cancel later.....so LO is not a standard doc...it all depend on that bank policy!!!

So, I will never go back to that celaka bank anymore!!! WTF!!!

most will ask for few hundred for processing fees? Well it is for the effort of bank in processing your loan

if offer letter states a certain penalty you can always ask for modification. any normal bank will budge if they want you as customer. even a quick elimination by hand co-signed will do.

You can ask for modification in the Letter of Offer, but doubt most banks will entertain as it is part of their standard letter.
TS said that she has signed the LO. So for sure cannot change the conditions.
Like what someone has mentioned, you need to refer to the LO for the T&C.
If still have not sign the loan agreement, then still have chance to avoid penalty

the offer letter have validity, just let it expired, nothing bad will happen
won't penalise you.

But if signed, it won't be that easy rite? Or else, everyone can get the offers and let it expire, which would be unfair to banks

It's better not to simply sign any doc.

However, if in the case that you have signed the LO and with to make any changes, ie. change loan type, property details like description & price, u can check in ur LO if there is certain charge if u want to do any amendments... but if u wish to change bank for ur homeloan i think this LO will be lapse and will not be valid... since they also can't charge u as u r not using them

Thing will get worse if u have signed the loan agreement prepared by the lawyer firm... u will be penalized on the cancellation..

how about if just only applying for the loan & not yet even sign the LO?any penalty?

No worry. if you cancel the application then the bank must update ccris as well otherwise BNM will go after the bank.

no need to pay. it apply to all banks.
banks will have their terms and condition requesting you to pay.
but you need not pay a single sen as you are not legally bound to pay

You can apply many loans from various banks to compare their package. If no signed LO u do not get penalty. Even u sign it and decide want to use another bank, it's up to u no charge at all.. as i said, unless u want to make amendment to the signed LO with the same bank, then u will get prob coz they may charge u like rm200 to reapply new loan since details are amended.

what if there's a clause in bank Offer Letter.
Mentioned "RM2000 will be charged upon 1st disbursement"
The 1st disbursement refer to??

btw, SPA not sign yet...and is DIBS scheme, developer beared everything project
...so, what's the consequences?
The 1st disbursement applicable in this scenerio?

not legally bound to pay? you already signed the LO whoa! legally it's binding! Offer and Acceptance, 1st rule in all contracts!

OK lah...if the banks have not appointed the lawyer to prepare loan doc...maybe they can be lenient a bit....let it goes...if only the signing of LO...

but they do reserve the right to demand payment...

You are quite right. Once you have sign the LO, it means that you have accepted the offer from the bank. As to whether there is any penalty for the cancellation, will depend on the conditions stated on the LO. Also up to the bank.
If their lawyer has proceeded with the loan agreement, there could be some charges, depending to the stage of work and also up to the lawyer's firm.

be careful of pbb, do not simply sign anything.
i just kena charged by pbb same as u, they do nth but want money only


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This post has been edited by rockrockrock: Aug 6 2014, 11:17 AM

same as above..rhb

want to go for Islamic

I considering to Cancel my Housing Loan
AFTER I already SIGNED
SPA
LOA
Loan Agreement
All done, Except the Bank haven't release the 1st claim yet from Developer.

May I know what is the implication
And what will cost me?

cool bro,
for SNP part developer can forfeit the 10% DP you pay,

for loan part is depend on the bank,
fast fast call to bank and see how they charge

Mind me asking what's the conclusion?

Did you have to pay (a lot?)

Depends on yr spa is sch h or g or non schedule.

Penalty clearly stated in yr spa for both parties.

Why u want to cancel, chicken out is it?

Hi Bros, if i have not paid any amount to Lawyer Firm for S&P agreement and Loan agreement, does it mean that I have not signed them? I have signed the LO from bank, can i still cancel the loan, thinking of withdraw now.

I remember when u sign SAP the lawyer said once sign if cancel need to pay penalty of 10% of sap price even though I Haven pay them. Lo from Bank usually charge u 2k for cancellation.

Thanks bro, i think i have not signed the S&P because I have not paid any reimbursements to law firm? Is it work like that?

Not necessarily like that. Who are you buying from? Subsale or developer?

Surely you'd know if you've signed the agreement? Lots of pages to initial too.

from developer, the solicitor did give us a lot of papers to sign but I also wonder why they can process without received our payments, besides we received letter from developer asking us to pay the 10% down payment, is that normally work like that??

I'm gonna assume you've signed, so there're gonna be penalties. Well at least you haven't paid the 10% so they can't forfeit that.

Check your loan LO, sometimes they spell out the penalty for backing out.

yes i assume you've signed the SAP already cause first document lawyer need u to sign is SAP.
is developer pay for the legal fee on this project? if yes they will proceed without payment from you.
as for bank Lo, if there's a penalty you may try give a reasonable excuse and get the Loan officer to help you to cancel without penalty.

Denda RM2000?

Is there a way to cancel my mortgage loan after disbursement? Signed the LA when i had a steady job and recently got terminated. What should i do?

after disbursement nope. Before then yes.

wat happens to the property then? you cancel also?

you need to 1st cancel your purchase. There will be penalty involved.

once you have done so, then proceed to cancel your bank loan.

Nothing is 'cant be done'. BUT beware of what you have signed and what are the penalties involved.

Yes can, you will be blacklisted by bank
Just find another job do 1st

This post has been edited by x132755: Jan 28 2018, 05:10 PM

Similar situations happened, signed bank offer letter, haven’t sign s&p yet. Agent told me to pay the legal fees n stamp duty if I cancel it. Is this true ?

Read up your bank offer letter at cancellation clause. As far as i know, there are penalty for conventional loan but there are no penalty for islamic loan. for legal fees, if lawyer has prepared the agreement half way, maybe lawyer can claim from you the preparation fees. For stamp duty, your offer letter already stamped? if yes then maybe lawyer can claim the stamp duty fees from you but i doubt lawyer has sent for stamping as usually lawyer only stamp ur documents once received payment from you. Hope this help and i provide u the correct info

Paying stamp duty for what doc?

Let yr agent know you will report his real estate licence holder to authority if he or she persist?

Hi, my lawyer suggest me to talk directly to the s&p lawyer n I did so. He said will stop all the doc & pay them the processing fees which is about 600rm. And for loan side I already talk with the banker, will write a letter to waive off the penalty. The agent just trying to scare me.

Could only take agents words with a large pinch of salt.

How many percent of disbursement amount is allowed to still cancel the purchase? Eg 30%?

without SPA, loan officer wont and cant prepare loan documents.

since you havent signed SPA, there is no way the spa lawyer can prepare loan doc (loan doc is prepared by spa lawyer usually).

You have appointed your own lawyer for this case?

if bank LO state like this, then I need to pay only RM1100 to bank if i cancel loan now since laywer already involved?

1.loan agreement already prepared by lawyer. i have not yet sign.
2.SNP/SPA still in progress between developer & another lawyer and developer ask me to sign loan agreement first.

https://i.imgur.com/XQ0Z80l.png

This post has been edited by Rudd: Jul 9 2018, 12:33 AM

Lol Mine PBB No need pay 1 cent

cannot see ur attachment....

I applying for islamic loan, this is the t&c

https://www.rhbgroup.com/~/media/images/mal...annexure-1.ashx

I'm unable to find any cancellation clause in this.....

Tried to email rhb cs, they ask me to look for the banker who process my loan. text that banker and no response. Call branch no pick up, is there any other way for me to reach them? do anyone have contact for rhb damansara jaya branch?

Anyone has experience with Hong Leong? The banker told I might need to pay the 2k penalty. LO signed but not SPA and loan agreement.

Uob is rm2000 , stated black and white in the lo. Just signed today.

I kena also. Signed LO then the seller retract offer. Since its mark up seller don't want to bear. How? Left it hanging till now. Hopefully when apply for loan later can "switch".

Hi, I have also applied from HLB, bt thinking to switch bank now (Mbf) for lower interest rate.

Did u pay any penalty? Or do you know how long is the validity period of this LO?

How come u no need to pay leh? The contract clearly stated is RM2k penalty on whatsoever reason after u signed.

呀the Officer said penalty 2k if cancel then I no response after that he no response too. lol

This post has been edited by airtawarian: May 8 2022, 12:16 PM

Lol, later go into bad debt and effect ur credit score

No le. My score all cantik. Even cc the bank called me asked me apply and approved within 1 week. Lol

If the bank did it impose the penalty and eventual being ignore for sure bank will update in CCRIS, just be save clear the air with the bank once and for all, not worth the damage down the road if turn negative

U think u can outsmart the bank? Think again...

(same applies to Telco)

Already >6 years Last year n this year checked both ccris n ctos Nothing le Somemore I go bank meet manager Never mention also. Lol

The thing is there is limitation period. Even I going to bank meet manager many times no say Anything. He buat Duno I also diam2 je. Even offered other investment product

The bank also need follow procedure. No official letter send and no call by them After So long period.

HELP NEEDED 1st time buy property

issue > bank loan is 2 name , LO > main edi sign , sub haven sign

SPA haven sign haven meet lawyer , only main name have meet banker and sign 1 ppl name and sub name haven sign bcoz at oversea they mail it and document received at oversea haven sign by sub name

I tell the banker to cancel the loan, banker reply penalty 1% from loan amount.


RHB BANK

is it possible to no penalty ? I'm so confuse , can bank really do anything to me ?
can i juz ignore the banker and dun wan reply their msg .since property agent also say OK no kacau me. but the banker say got penalty

This post has been edited by Toast_Me: Oct 29 2020, 07:57 PM

Currently bought a house, all documents such as spa , loan agreement signed. During sign spa, lawyer just gave me a paper to sign. I don’t even see the T&C , also not initial the t&c. But found out the house got a big issue, can I cancel the purchase? 10% of purchase price forfeit ( I read back the t&c not state this clause) ? Can negotiate? This is hard earn money but I didn’t ask the t&c before signing document

Loan disbursed? Which stage?

If for your 10% with the developer, you need to negotiate with them. They can forfeit your deposit / initial payment etc subjected to the SPA and whatever letter/document you signed with them.

If the Bank disbursed the money... then you'd have a harder time in cancelling. You need to talk to your banker asap though. Let me push it a bit further... even if the Bank has not disbursed the money but all the documentation are done, submitted and stamped, you'd have to take a lot of steps if you want to cancel it.

This post has been edited by digitalz: Feb 10 2021, 05:00 PM

I think is final stage . Guess the loan not yet disbursed. This is subsale property. Can negotiate the penalty if cancel?

If not yet cancel. Find your bank. Talk to them. Pay penalty if needed. Pay costs if needed. Negotiate properly. This is trying your luck but yeah..

Hi all, want to ask, previously i booked 1 property and sign the loan offer letter then pre signed SPA, after that the developer keep on delay on signing the APDL for 1 year without update, so i decided to cancel booking and look for other property.

So when i wan to buy other property, i need to go with the same bank becoz the loan offer letter if I cancel it they will charge a penalty of RM2000. But i cant go with the bank becoz other bank offer better.

Now i not sure whether my ccris record is clean or not becoz of this loan offer letter. I ask property agent they said can waive it becoz not my fault, they cant sign the APDL, then the banker said not their fault also becoz i signed the loan offer letter.

So what to do ?

If alternative bank offer are much better than eventually 2K penalty just go for it, bank is entering agreement with you and not developer, risk on you

Is it legit to sign loan offer letter and spa without apdl? First time hearing this. Any sifus can share your thoughts.

legally they can't let u sign SPA without APDL, however many developers are doing this - they can't date the SPA before APDL date.

So in any event u wanna cancel, refer back to the booking form that will govern T&C prior to SPA being dated.

Any news from you?