Have you guys heard? There is a rumour going on saying that Bank Negara is telling all banks to abolish the lock-in period when you buy a property, for both new and existing loans, starting 1st July. So now the banks will counter this by raising the interest rates (from BLR - 2.4 to BLR - 1.8). So this is going to be a good time to refinance your property that has raised significantly in price.

I receive this news from a respected bulk purchase group over email today. I wonder how true this piece of news is ....

praying not to be true..if happen, trouble to the wallet..
btw, got source?

haiyo, please tell me is not true. if true, haiyyooo

OMG....any supporting source to read?

its fake news... dont simply spread rumor !

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Added on June 25, 2012, 3:10 pmraise in interest is a good time to refinance ? u dont even have common sense at all.... the standard disc rate is around -2.2 to -2.5 ... i would rather get locked for 3 yrs to get -2.4 , rather than no lock in period but -1.8 .... apply some common sense pls..nowadays a lot of brainless forumer trolling around ....

This post has been edited by steventan85: Jun 25 2012, 03:10 PM

old news isn't it?

For sellers whose loans are still under the lock in period, this is a great news. As one of the forumer pointed out, the news was announced last year but no subsequent news about it.

but they never talk about raise in interest rate. Zzzzz

Rumours? Did I said that this is 100% confirmed? Read the title of my post, I asked instead of asserted. If you know your England, you will know the difference between the tone of my post.

Quote from The Star news :

"Instead, banks will only be allowed to charge for the cost incurred in processing the loan and not for profit loss from the early settlement of the loan."

You decide......

Thought there is a news recently that states BNM is not going to raise the interest rate.

Not sure about the interest rate hike. This could be a counter reflex by the banks to cut losses. Hope BNM will really control this

Dont think the bank will rise the interest rate. I got a loan last month BLR-2.4 zero lock in, so I think the banks can live with that if BNM said so.

This post has been edited by ahsoh: Jun 25 2012, 05:11 PM

my latest housing loan also BLR-2.4, zero lock in..

[quote=steventan85,Jun 25 2012, 03:07 PM]
its fake news... dont simply spread rumor !


This is true new, when I talk to some banker few days back, but never mention about increase the BLR - XXX.

@abgkik

What bank offer zero lock in ?

some banks no lock in with BLR-2.4. some banks got lock in but BLR-2.5 depending on loan amount also.

Mind to share ? How much only they offer -2.5 ?

Wa so good offer now. Got -2.4 with lock in, but that was early last yr

what i remembered read was that they have no plans to reduce at the moment.. nothing was said about raising..
that is if my memory serves me well..

Above RM1.2 mil. u have to negotiate. of course 1st time, they will give u BS deal. negotiate for every banks. after u get 1 good deal, u can use that deal and nego further from other banks. that time be lanci a bit. say la "u dont want rm1.2 mil, nevermind, i find other banks. u r not the only bank, u know". then they will propose to their management. a few days later they will contact u back. say also how many properties u own and may buy more in the near future.

mind to share which bank give -2.4 without lock it?

My tiger bank gave me (Islamic-no lockin period) 1st year -2.5,2-3 year -2.45,
thereafter -2.4. LO signed 4weeks ago

u got offer from PXb, then tiger bank counter offer u? I did the same, 1st year -2.5,2-3 year -2.45, thereafter -2. i m going to sign from tiger tomorrow, but many taikors here advise there might be some hidden TnC for islamic bank... is that true? something like exit charges in stead of penalty? as there is no lock in...

Nothing fishy from the LO I've read.I've sign the loan doc with lawyer already last week and she explained everything to me already. The selling price its not much different from the conventional one, intetest calculation still daily rest like conventional.Flexi payment. Any hidden cost Im not sure, if not I kena con already..hahah. Read the black and white properly, if have doubt ask them.

advice from taikors, show the OL to other bankers, they know more than me....

Is there anyone can I check to clarify on this? I

I am happy if this is true. bank is making so much money and it is only fair that money should earn by bank on amount owing by us only. some bank charging monthly rm10 should also be stop like this penalty on lock in period.

This post has been edited by yankicip: Jun 26 2012, 12:21 AM

OCBC...

Isn't lock in period is better if you can get -2.4 or -2.5% offer?

better get -2.4 + no lock in

No lock in means the rate is prone to change.
Like from -2.4 to -2.3%
Since -2.4% is one of the best offer of all time, so it's better off to lock it?

I was told by tiger bank biggest competitor that tiger got few hidden things. i.e. Try asking your agent, what will happen on your rate if you failed to pay on time for 3 months?


This post has been edited by yusufhashim98: Jun 26 2012, 05:48 AM

Are you sure you get your terms right? AFAIK, No lock in means there is no penalty if you settle/refinance your loan early eg 3 years lock in means you cannot settle/refinance your loans within 3 years unless with a penalty incurred. The rate is always not fixed because BLR is always fluctuating based on our BNM decision.

If dun pay on time, they'll reduce to -2.0 and review the customer half year basis.

I prefer no lock in and dont K if they will review my int as I am always a good pay master.

Fuyooo.

My first loan from Tiger bank...only BLR - 0.7 and no lock in...but if got late payment for even one month...will automatic revise the interest to BLR + 2%.....what kind of robber is this....

i told them to revise my interest rate after 4 years....and they only can give me BLR -0.8% with 3 years lock in while all other banks are giving BLR -2.2% at least. So, i tell them you take back your revise offer and i will one day settle it or refinance it with other banks....they told me, if you go refinance it, you need to pay legal and stamp duty.... Guess, i really have to go HL or PB to do the refinacing......

First of all..its their competitor, so u can expect what they said . 2nd of all, if u plan to take mortgage just to default it, better dont take it at all. . I have 3 home loan from 3 different banks (1 conventional, 2 islamic). My conventional, if I miss 60 days arrears (2 MIA), the rate will be revise to BLR+2.1..

Plus, I tried to be as much as 'syariah compliant' as I can (although there is still imperfection in the system we have to admit). If real Islamic.."you only pay what you borrowed"...

Just a quick explanation here, Lock-in Period Penalty Abolished?, Effective 1st July will be only applicable to Islamic Loan only; likewise, conventional loan will be remained unchanged.

Answer to one of the forumer question: is there any catch for Islamic Loan. The answer is no. The only different is your stamp duty for the loan will have to pay more because of the Selling Price after the end of the loan tenure in Islamic loan agreement is higher.

Could anyone here please list down the robber banks and the branch of that robber banks? So we would know when to be alert

This post has been edited by AMINT: Jun 26 2012, 10:11 AM

+1

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Added on June 26, 2012, 10:14 am????

This post has been edited by feezar25: Jun 26 2012, 10:14 AM

no lock in = easier to flip?

BLR-2.4 to BLR-1.8? surely a more heavier burden for everyone...

You're also "Tiger"r mar.. LOL
Your case, if the loan tenure is still long way to go, it's a good time now you should do re-finance...
In long run, the interest saved is definitely more than legal+stamp duty (0.5% only) being paid.

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Added on
To be fair (I'm not Tiger fan), other banks also have the similar clause

yep...i know.... i can refinace it or settle in lump sump....but i still got other loans.....if i refinance it and keep another bulk of cash and place it in a flexi account, i still save $$$ over the long run....but the risk is with liquidity cash....means i may dump into another new property along the way... too many saying bubble bubble....take a break first....

Just my opinion. Besides Tiger bank, El Rajhuwali also got hidden clause. RM10 for every transaction. You put money in your account, minus RM10. Bank minus the amount in your account to pay your monthly installment, minus RM10. You take out money from your own account, minus RM10.You hilang card or damage like microchip cannot be read (their own stupid supplier F up, but you pay RM20 for that). Other banks happily replace for free.

I kena this one. Luckily only 5 years loan (not housing loan). I lost RM1K++ in 5 years time and this year the loan will habis bayar. so lega. I checked the agreement. Nothing mentioned on this. The only clause mentioned:

El-Rajhuwali has the sole right to impose or increase transaction fees without any prior notice. My fault also coz I consider this stupid bank.

Islamic Bank is being created to protect the people but these so called Islamic Banking is the one that sembelih you kau2. BS I tell you.

This post has been edited by AMINT: Jun 26 2012, 11:07 AM

i believe so...which bank can allow u for late payment or not paying for 3 mths? bank also need to give their staffs $$$ ma...

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Added on June 26, 2012, 11:07 am multi-millionaire tigerr

This post has been edited by dino10chels: Jun 26 2012, 11:07 AM

Is this confirm? " only applicable for Islamic loan only" & " conventional loan will be remained unchanged"

if it is confirm.

What is the strategy for new property buyer? getting islamic loan or conventional loan? & why?

Can give one example for below? it possible some computation, ok?

" The only different is your stamp duty for the loan will have to pay more because of the Selling Price after the end of the loan tenure in Islamic loan agreement is higher. "

This post has been edited by tikaram: Jun 26 2012, 11:11 AM

sometime u just cant avoid the clause or u may not know the existing of such clause...so better cash buy lo....
but surely i cant

also comes with millions in debts....

Y dont u share with us ur strategy 1st since u got so many questions...

Yes, reasonable clauses are ok. But minus RM10 for every transaction, every month at least RM20 hilang. So if you pay over 40 years, wahh mati woo. Every month:

1. Put in money in your account = RM10
2. Bank take money from your account to pay installment=RM10

This is miminum monthly.

Understand, even worst if spend out all the money elsewhere such as luxury items then I've the same concern, and always controlling myself.

Refinance, it doesn't mean that you've to get out more money; you can simply because of the interest rate, you move your loan from one bank to another plus enough to cover your legal fees+stamp duty

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Added on
The way of charging is ridiculous TQ for sharing

No problem bro. We are here to share. Hopefully nobody kena like me. Please dont take this bank. You will knock your head and feel like a sohai coz signed the agreement and yes there is a a penalty for early settlement. My loan for 5 years, if pay full lesser than 5 years, also got penalty. I really2 feel like kena kencing sampai hancing wooo. huhuhu

Why talking about reducing in this economical climate?

at least u've passed thru this kind of disaster moment...
salute

Uob put t&c to me, early seytlement within lock in period will penalty 2% of outstanding loan, after lock in period, also kena 2% admin fees

I dun think any different

cheap....if you take a 500k loan. if you want to fully settle within the lockin period.....you paid up to 499k and leave 1k outstanding....then, you tell then you want to fully settle the outstanding...2% of 1k = 20 nia..... if this works

This post has been edited by Tigerr: Jun 26 2012, 02:13 PM

asked before.... Xlliance bank... bokoleng (impossible)....

what a good idea for sharing....BUT...
the penalty for early settlement stated in agreement = 2% of total loan amount
ask you die or not

Are you serious kena 2% admin fees even after lock-in?
Is your package zero-entry package?

aiyah...i also know...but he says 2% from outstanding mah....so, i troll him lor....

actually 2% is not much lar....lets say 500k loan....2% = 10k nia.....

if you buy a property worth 550k and sell it when it goes up to 800k.....you take out 55k and borrow 495k....and your 55k can earn you 250k and after deduct legal fees, stamp duty plus penalty, you still earn 200k++....why bother the penalty???? IS it orang bila mahu kaya become more calculative????

Ok taikor, I scan t&c tommorrow let all tailor view

Yes, good point to go for islamic. humm yup competitor. But bear in mind that the best way to find out on the minus point of someone is through their foe, yes?

I am completely okay for anything i need to pay, but please make it clear when we are signing the LOU. Hidden things like this would definitely make you feel being lied when you are asked to pay more out of your awareness. Especially when you dont know what things to ask upon signing, as it is your first property.

sometimes, people are lazy to read through all the details and want to depend on others to tell which nobody will likely to tell you...

also, some dont care as they need the loan and accept apa apa saja as long as can get the loan

also, some think they can nego or twist later where it is almost impossible....

also, some think all loans are same......

lazy. can't agree more

imagine as if ask you to read through the telephone yellow pages thick alike SPA and Loan Agreement.....you may need to spend one whole day and night to read and comprehend the whole thing....end up....the legal assistant just point you...sign here...sign here...sign here....and sign here.....

no wonder tigerr kor so rich...
multi-millionaire sure wont be so calculative...
buy me a pint of beer when we meet up...ok

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Added on June 26, 2012, 3:31 pmi also lazy go thru all the doc lo

This post has been edited by dino10chels: Jun 26 2012, 03:31 PM

i am only a kuli kia....earning just enough to eat....but buy you a beer is no problem geh....

thanks in advance 1st tigerr kor
but kuli kia also can become multi-millionaire...its a legend
salute

remember...i got millions-air........

This post has been edited by Tigerr: Jun 26 2012, 03:55 PM

I got CIMB Bank BLR-2.4 no lockin

remember to blur the letter head ...

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Added on
I checked this few weeks ago, they were providing no lock-in with loan amount >500K ...
forgot to check if just above say 501K, what is the rate .

How much roughly is your loan amount, if you don't mind to share?

I was offered BLR -2.4 with no lock in (loan 550k) with cimbang too

For below 500K, it's rate is lagging behind others

knn...all the bank only offer me max BLR - 2.2%, somemore need to buy MRTA only can get......

also, please check with RHB islamic also, they can offer up to -2.5, but with 2 yrs lock in if i am not mistaken. I missed the opportunity the other day, bcoz the agent call me late, the day i signed the Letter Offer with other bank haha

why all my bankers say max only can get -2.2 geh??? haha....

more than that amount hahaha

The bankers look at your face already know you're multi-millionaire mar ...

Roughly:
Octopus bank some case -1.8% only ~ -2.4%
OCBx -2.3 ~ -2.4
PBx -2.3 ~ -2.35
UOx (tutup paip) last time easy -2.4, now most of the case -2.2; project can get -2.3 ~ -2.35 (also not easy)

Project is different, also depend on loan amount.

I think it really depends on loan amount actually. And you have to act a bit lansi after getting the 1st deal. Use that deal against other banks. Never take the 1st deal they give.

Try to lansi for 1st deal to get blr-2.45 but fail then take back 1st deal after so many deal going. Mostly meet my personal preference

taikor, this t&c ok?



This post has been edited by lwc2001: Jun 26 2012, 10:02 PM

Is yours commercial loan, NOT residential loan?

its residential loan for sure ...read the 1st para

yup, commercial loan

Any opinion?

is soho

any difference in terms of rugi or untung aaa?

rugi lah, bro ...

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Added on

Yes, I read found , that was why I asked, those are not residential loan terms.

The banker told you that you'll still need to pay 2% admin charge for early settlement even after 3 years lock-in, right?
I don't read much Commercial Loan agreement ...
From what I tried to understand, looks like it is (2% thing) ...

haiyo. i also understand the clause like how ecin understands. how come need to pay 2% even after locked in period? or am I misinterpreting the clause?

do we need to show the full version of offer letter frm other bank , to get better rate ?

tigerr kor, the rate all depends on ur loan amount, if loan amount all > 400/500k can easily get -2.4% jor... u can insist not to buy mrta, but maybe u got many loans and they want to more secure so force u buy mrta lo...
just my pov

ya meh??? mine is commercial loan woh.....a shop woh, not a house.....how to get -2.4%???? If buy without MRTA....get -2.1% only woh.....

I only tried AM, PB, HL lar....others belum tried....OC punya rates lagi sucks as after spoken to the officer and i told him, in case all my applications failed, only i will come back to you....no choice....

[quote=ecin,Jun 26 2012, 10:37 PM]
rugi lah, bro ...

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Added on

[/quote]
Yes, I read found , that was why I asked, those are not residential loan terms.

The banker told you that you'll still need to pay 2% admin charge for early settlement even after 3 years lock-in, right?
I don't read much Commercial Loan agreement ...
From what I tried to understand, looks like it is (2% thing) ...

[/quote]

i also very , y still have to pay the penalty of 2% after lock in period?