It depends on what you need, there is no right and wrong answer. Only unpleasant results.

When you make the decission, please base it on the right information. For example, what is the surrender value? Do you know the exact amount?

Also about the 5 years is enough... it is only enough if you are planning to finish paying the loan in 5 years. WHy?

Lets say your loan amount if RM500k, and you plan to finish paying it in 35 years. You took 5 year MRTAbecause some smart banker said it would reduce your rate, sure. It may well reduce your rate, but you are now unprotected. Why? Because the MRTAcoverage would reduce from 500k to 0 within 5 years. What happend if you (touch wood) die on year 4? THe bank would cover very little of the loans outstanding and your family would need to pay a lot to keep the house.

35 years would be the better bet, but you can also take MLTA which is covering and attached to you, and not the loan. Regardles sof the loan being settled or the house sold, you would stil have the insurance. It cost a little more the MRTA, though MRTAis usually included into the loan and you would pay the interest on that. Up to you, but make the decission based on the right information.

I think my move with 35years covered will be better choice. Regardless of surrender value i just don't want to burden next of kin if anything happened to me. Surrender value or not I think once the property price is up, everything is covered. Hehe

Yes, they say that the MRTA is Mati, Rumah Tetap Ada.

If having a roof over the head for your family is the upmost priority, MRTA is the one for this house. Let me know if you need to know more about MLTA though.

Hi, loan just executed today. Charged with disbursement fee of RM 1080 for RM 227,592 loan amount. Is it normal?

Got 2 questions about mortgage brokers;

1) is it advisable to engage 2 different brokers at the same time even if their banks might clash

2) if I am unhappy with the offers they secure, can I then apply to the banks directly

Once a broker has submitted the case into the system, the other broker cannot do the same for the same case. As such, it is a little disrespectful to do so without telling the broker. You can instruct one broker to submit to 2 banks, and another broker to a different 2 banks though.

So I guess the answer to my second question is no, even to different branches?

You would need to confirm the withdrawal of the application from the first broker first. Once that is done only should you approach a different broker or banker.

But I suggest finding out the reason of rejection from the first broker, sometimes causes like CCRIS or commitment problems, other bankers can't do too.

how to categorize semi flexi and full flexi?

I heard from my banker said if semi flexi is open a saving account / loan account and the money put inside can only withdraw with given notice of 2 days or 1 week. If full flexi I have to open a current account where I can own a ATM card to withdraw money and cheque book as well. The money I put into the current account can offset the interest of my property loan interest. e.g. I borrow 500k and I have 100k in my current account, then the bank will charge me interest based on 400k instead of 500k.

This is what I being told by the banker.

true, one of my case approve this week, loan amount 203k approve rate 4.36 islamic loan with cash rebate some more.

Well i heard rumours hlb also lower br by -0.15 this week, true?

Not sure so far which bank increase br.. Seems to be going lower which is good!

Confirm drop. HLB tmr new BR is 3.84%

This post has been edited by ims2628: Jul 9 2015, 09:33 PM

Ill be honest, that there isn't any hard definition between full vs semi flexi. Both of them are flexi as they allow flexible payments of the loans, thus shortening the tenure.

The difference between them come in the form of all the other facilities that are attached to the loan, for example, the opening of a loan account, as well as payable fees for the so-called full-flexi facility.

Wanna check for full flexi loan.

Let say I having 50k in current account.
Loan amount 300k.

Uob is not taking 300k -50k =250k * interest. Remaining amount from monthly installment off interest to pay principal. In fact it credit back the interest to current account. I think not all bank is practicing this way for full flexi right? Is there any other bank doing flexi calculation differently? Which bank is having the same calculation like uob? Any know?

I have not followed up on the latest BR of the banks in town for quite some time. Anyone have complete up to date list?

Each bank have different way of calculation for full flexi, for eg public bank they doesn't take the full amount of 50k minus the interest, in fact they only took half of it for principal interest reduction.

I heard there's two more bank will change their br this month, can't confirm yet until official black and white is out.

So far there's two bank had lower their BR for month of july

Ambank to 3.8
HLB to 3.84

Bro, 1 major diff is the convenience in withdrawal of the excess funds. Also, while I believe most banks do charge some admin fee / charges (or whatever you call it) on periodic (mostly monthly) basis for full flexi, the bank with the blue banner charge no fee.

So what's the lowest rate now? 4.25? If getting loan soon suppose to aware for the new rate than the old rate right?

those who apply loan from these bank, ocbc, ambank and hlb, since their br is drop and interest is base on BR + Spread. so far in the market can goes as low as 4.16 for ambank but all new application loan will base on latest base rate + spread, so if lowest also will be 4.35, depends on loan amount.