Recently i got 2 loan offers for under construction housing project but still making tough decision. Both are islamic loans.

Bank P:
Lock in period: 3 years
Interest rate: 4.55%
Tenure: 35 years
MRTA: RM900++ for 7 years ( the minimum one)
Margin of Financing: 80% (144k)
RM200 processing fee, after GST it comes out to be RM212

Bank H:
Lock in period: No
Interest rate: 4.70%
Tenure: 30 years
MRTA: RM700++ for 5 years ( the minimum one)
Margin of Financing: 100% (150k)


Question 1: Not very sure which one is full flexi or semi-flexi. Is this important for us to consider? What is the different btw the both?

Question 2: Heard Bank H officer said Bank P may start charging interest if there's no payment after 1 month, whereas they only start charging after 2 months. Is that true? or is there anything else do i need to check with them?

Question 3: Which package is better after taking into consideration of interest charging period in my question 2.

Question 4: Heard Bank H officer said MRTA is compulsory to take in order to get good rate at 4.7% . Is that true? Can i opt not to take it?

Kindly advise.

This post has been edited by goolie: Jun 9 2015, 11:19 PM