Recently OCBC Msia upgraded their internet banking system. I noticed some changes in the statement.

Previously, the outstanding amount takes into consideration the advance payment. For e.g. with 100K balance initially, if I make advance payment of 10K, the outstanding balance will be 90K.

However, now with the same scenario, the outstanding balance will remain as 100K.

I wonder if this will affect the daily-rest interest calculation? Can any OCBC banker here shred some light?

Thanks!

what is the "accured profits/interest" mean? it seems to increasing day by day, but with no effect to outstanding balance.

any OCBC banker here can help?

got it! thanks

prefer the previous presentation of the account where the actual outstanding balance was shown.

now i have to do some arithmetic to get the amount correctly

I'm also taking OCBC loan. Whenever you pay extra, it will be automatically treated as "advance instalment" and cannot be withdrawn.
This is like you pay in advance for the monthly instalment in the future.

Don't worry though, because this extra payment will immediately save you interest. You can check your daily interest to confirm this.

Another type is "capital repayment", this can only be done through cheque deposit or over the branch counter. This will also immediately save you interest, but you can withdraw this by giving OCBC 3-day notice (minimum withdrawal amount 5k, and increments of 1k for my case).

Either way, you save the same amount of interest

Just a note, in online statement, your outstanding balance = total balance - accrued interest

The information I got is no, online fund transfer will be automatically treated as "advance instalment".

ya, withdrawal also lecel, have to do it over counter....

that's the compromise we have to deal with semi-flexi package.....

This post has been edited by chiew: Jul 28 2012, 10:21 PM

just out of curiousity, would the daily interest in a leap year be divided by 365 or 366?

This post has been edited by chiew: Jul 29 2012, 11:43 PM

from my daily interest, it seems like it is divided by 365. but i wish i'm wrong

you can see the monthly statement and daily transaction with internet banking.

you probably have to email them to add your loan account to your internet banking.

it will be treated as advanced payment if you don't give any notice to OCBC.
nevertheless, it will immediately save you interest too.

the only difference with principal reduction (aka capital repayment) is that you cannot withdraw the extra payment you made.

if you want to withdraw in the future, you have to do capital repayment by:
i. over the counter; or
ii. cheque deposit (by specifying "capital repayment" at the back of the cheque and the cheque deposit form).

Wondering if it is possible to top up loan for a OC-obtained house that has not been issued strata tittle?

for daily interest, you have to do ur own calculation.
the accrued interest will increase daily, u need to calculate the difference to get the daily interest.

yes, you are right about the principal and interest split.

if you make installment every month, the daily interest should get lesser.
but monthly interest could be higher if u have 31 days for the current month, but 30 days for the previous month.