this has nothing to do with whether u start investing around 80s. The limit of ASB has always been 200K, the limit for an individual can only increase through the years by reinvesting the dividends,after u have reached 200K, u are no longer allowed to put in fresh funds ,but PNB allow the dividend to be re-invested and accumulate throughout the years & automatically increasing your ASB limit.

As per current interest rate,you would need to have 200K invested in ASB around 9 years back to achieve 400K limit. Hope that clarifies everything.

This post has been edited by backspace66: Mar 15 2013, 08:57 PM

owh yes, 1.08^9=2

yes, i guess investing in MAAKL unit trust is the smarter way right? right......

yeah, for sure, the limit can only be increase due to the re-invested dividens, but once the limit increase, even after u take out the money, the limit increase is permanent and won't revert back to the original limit

should be at least 6.7%

looking at the current ASB loan rate, it seems that it is more worth it to refinance your house instead. This way you have better rate at BLR-2.4% instead of most ASB loan at BLR-1.65%.

So if you have already bought a house and already out of the lock in period, i suggest for people who intend to take ASB loan to look at this other option.