Pls look at the standard S&P under HDA Schedule H Clause 4 under Loan. Developer can only forfeit 1% if loan reject even though S&P signed
http://www.kpkt.gov.my/kpkt/borang/lesen/Schedule_H.pdfLoan
5. (1) If the Purchaser is desirous of obtaining a loan to finance the payment
of the purchase price of the said Parcel the Purchaser shall, within fourteen (14) days
after receipt of a stamped copy of the Agreement, make a written application for such
loan to the Vendor who shall use its best endeavours to obtain for the Purchaser from
a bank, finance company, building society or a financial institution (hereinafter called
“the Financier”) a loan (hereinafter called “the Loan”) and if the Loan is obtained the
Purchaser shall, within a reasonable time, execute all necessary forms and documents
and pay all fees, legal costs and stamp duty in respect thereof.
(2) The Purchaser shall utilise the whole of the Loan towards the payment of
the purchase price of the said Parcel at the time and in the manner set out in the Third
Schedule hereto.
(3) If the Purchaser fails to obtain the Loan due to his ineligibility of income
and has produced proof of such ineligibility to the Vendor, the Purchaser shall then be
liable to pay to the Vendor only one per centum (1%) of the purchase price and this
Agreement shall subsequently be terminated. In such an event, the Vendor shall, within
twenty-one (21) days of the date of the termination, refund the Purchaser the balance of
the amount paid by the Purchaser.