In early stage did they mention booking fees 100% refundable?

Mlta have cash value, the value protection will not decreasing by years, since it had cash value so it can help to do early statement if nothing happen to you during the loan period, besides that since the value is not decreasing if anything happen to you the balance after settle the house loan to bank, the insurance agency will issue cheque to your next of kin with the balance left. Mostly mlta is to protect buyer. Besides that mlta Can carry forward to next property.

Mrta is mainly protect bank, no cash value and value protection is decreasing, so if anything happen to you, if the covered balance is not enough for the current interest rate + loan balance, your next of kin might need to top up the balance, can't carry forward to next property or when refinancing you have to buy mrta or mlta again

But anyhow have protection is better than totally no protection.

This post has been edited by ims2628: Jul 21 2015, 01:48 PM

YUP, if buy mrta for 5 years, you are only covered for 5 years, besides mrta is usually offered by bank, so indirectly you are lock-in to 5 years.
Normally buy mrta, seldom buy for whole loan tenure because our loan amount is reducing, and it become not worth to pay the premium for less protection.
If the loan is tie by 2 person, eg. husband and wife, do note that mrta only cover 50% when 1 is gone....

RM350k

Depends with bank it's actually consider not bad already. If ambank should be able appeal lower rate I had done few cases in this loan amount able get as low as 4.35

That i cannot remember..but most developer practices 100% refund right?

not all developer, you need to reconfirm with the sales person.

Thank you.

Another question if you don't mind.
RHB, HLB, MBB, PBB, AFFIN.
From the above list, which bank doesn't charge setup fee and monthly maintenance fee for flexi loan account and how much withdrawal fee (if any) in the event I wish to re-draw part of my prepayment/overpayment from my flexi loan account.??

flexi is full flexi or semi flexi? i assume you're asking for semi flexi?

rhb bank full flexi is no setup fees and monthly maintenance fees charge.

Most bank's semi-flexi account has not monthly commitment fees, so you can go for any of them. They do have withdrawal fees though each time you need to withdraw the deposited capital repayment (Im not referring to advance payments which usually cannot be withdrawn).

For full-flexi accounts that come with savings and debit/check-book, the monthly fee ranges from RM10 to 25 last I checked, depending on the banks. RHB has no fees so I am told.

I would like to add, that with MRTA 5 years, or any tenure that is shorter than the full loan tenure, the coverage will not even be full if something happens to the persons covered. Refer to the image below. If a borrower takes an MRTA for 5 years coverage, and happens to pass-away at year 4 of the loan, the MRTA will only cover a limited portion of the loan (RM230,000 in this example), and the rest have to be settled by the beneficiary or the house will need to be sold.

For those who want to know more about the difference between MRTA vs MLTA are welcome to take a look here: http://imgur.com/a/C4dAj





Not necessarily. In my experience the sales agent would want avoid that clause, and for the more expensive properties, full refunds of booking fees can be rather rare. Always make sure everything is black and white before committing.

This post has been edited by wild_card_my: Jul 22 2015, 01:50 AM

12 months, but some banks like OCBC will focus on your record of only 6 months prior. Meaning if you have bad records today, you can start correcting the error of your ways and start applying for a loan 6 months from today.

looking for a agent to help me finance an investment in PD. so the question is which bank should I choose?

giving chance to any agents in here which can help me out. thanks!

The choice of banks would usually go down to the ones giving the best rates. But board rates for most banks are pretty much the same these days, after appeal (non-guaranteed) you may get better rates. Then it boils down to your preferred banks which is not necessarily the bank your salary is deposited into as inter bank transfers are only 20sen nowadays.

Sometimes you may face a lack of choice too as not all banks will finance your property because of multiple reasons:

1. Condition and location of the property, some banks wont finance props older than 10 years that has to strata/individual title

2. Your income levels too low, or commitment levels too high. In this case it would be best to go for banks with higher debt-service-ratio limits like Hong Leong with DSR limit of 85% compared to others which typically maxes out at 70%

So my suggestion is to go for multiple banks, there are a few brokers her and there are many banks out there. The most important thing is service, as the rates are the same between brokers and bankers as the rates are considered and approved by the HQ.

nice drawing... very informative

You are welcome, and thanks for the commendation.

I like explaining things and my passion is personal finance.

Dear sifu, need advise regarding my first loan disbursement

My loan not yet able to disburse and causeing late payment(I think developer will penalty me)

Story:
1. Check with loan lawyer the status on 06 July, lawyer feedback will issue loan advise letter to bank

2. Check with Loan lawyer the status on 13 July, lawyer feedback advise letter sent to bank on 07 Jul, pending bank payment.


Call banker and lawyer to get latest update,

1. Loan officer help me check in their system show my loan pending latest land search from lawyer firm - 21 July

2. Lawyer feedback they not aware the bank officer request for latest bank search. I get the lawyer to contact to bank on this matter.- 21 July

Call to lawyer again today - 22 July
1. Lawyer feedback to me the bank officer just back from rAya holiday and had check with her. Below are the reason given by the lawyer.

a) bank officer update remark in system pending land search and go Raya holiday.

b) lawyer claim that their system not reflect to the latest status set by bank officer. There is system inconsistent issue(they use same system) and they not aware bank require new land search untill I told them.

Question:
In this case, who fault isit that causing me late payment? What can I do?

Can I argue and get waive in late payment?

Bro, if you are investing in PD Property, believe you are attracted to the so called GRR or Guarantee Rental Returns of xx%.

Please remember such GRR comes with T&C attached and many ppl have gotten burnt in the past.

So caveat emptor.

I need to find out more about this GRR. Do you have any resources?

Thanks for the advice..meaning I should just call banks up and advice me?

If not mistaken the property is a commercial title and I dont think I would have any problems on the repayments.


It is a subsale property no GRR involved..

Thanks for the heads-up though