Spread rate can be re-adjusted upon giving the offer. So best to get the latest LO to find out.

The banker said will have one letter stating (BR (3.27) + 0.43 = 3.7) and another letter saying BR has been revised from 3.27 to 3.02.
Guess that should be sufficient right.

yeap

The offer letter you signed stated BR+0.68 or BR+0.43? Until now there's no announcement from scb yet to reduce their current BR.

PS: SCB lower BR to 3.02, so I guess average loan rate now should be 3.6~3.7% for SCB

This post has been edited by apalexar: Mar 11 2020, 12:45 AM

Just wondering. If the stock market crashed and economy become worse, will the mortgage loan sky rocket?

Hi all Sifus.

Just would like to know all of your opinions. Which one is better:

1.

A. Higher cashout (dont fully settled the car) , higher instalment. Extra money let say RM100K parked at ASB for passive income.

B. Lower cashout (fully settled the car) , lower instalment. No extra money to park at ASB hence, no passive income.

2. Car Loan outstanding RM70K (RM800 monthly)

A. Let it be and continue to serve the monthly instalments for 8 more years.

B. Settled it and consolidate it during mortgage financing. Car value depreciates, so is it advisable to fullt settle a car loan with 8 years left?

Mind clarifying what does this repayment cap means? I also got 3.65% from HLB. UOB still at 3.88% while PBB 3.7%.

PBB got debt consolidation? Or just normal refinancing?

The installment for car loan is already fixed throughout the loan tenure, so even if you perform early settlement there isn't any saving involved. Hence I would say do not fully settle the car, use the money for something else.

depends, if it's freefall market then mortgage rates will skyrocket.

Any loans has a payable interest, if the installment is killing you before your passive income can even generate anything, it's pointless.

Creating passive income is not an overnight thing, to use debt to create passive income is also not so smart.

Not sure. Applied for mortgage loan. Anyone can clarify what does repayment cap means?

A repayment cap would mean you are not allowed to save interest on that repayment after a certain limit. (This is to allow bank to earn interest from you)

Pbb dont have refinance house loan with debt conso because for them is high risk product whereby they are very conservative to give loan.
Pbb also not allow to finance legal fees and valuation fees into loan.

Meaning even ur loan is fully flexi, whereby the extra money to put in account to save the interest will be capped at example 70%.

Let's say loan amount 100k, u put in 100k, suppose bank wont charge u interest. However, bank capped u at 70% meaning bank still earn u 30K interest.

Thanks a lot for your response.

Referring to your explanation, it depends a lot on our repayment capacity right? If we can serve the monthly instalments, thus go for for the higher payout. Am I correct?

If you were having a net salary of RM5.5K, paying monthly instalments of RM1K and fixed expenses of RM4K. Emergency fund only RM500 left. Is it quite stretched?

Usually how much is the ideal percentage that we need to save from our nett salary?

1. Depends if you need the higher payout, you need to do your personal calculation on how much is needed.

2. Yes 500 savings is not that much.

3. Advisable to save 20% of your income minimum for retirement.

Is it a wise move to get 100k cashback and put it in ASB?

I womdering the same thing too..

Guys do u guys know about processing fee rm200 imposed on loan application?

It charge only when letter offer is prepared or when we submit the application?

Like I already applied pbb and the loan is approved. Letter offer not yet issue, do I need to pay rm200 if I decided to cancel it and take other banks instead?

As long as you haven't sign on the letter offer you don't need to pay anything

Me and BF plan to buy a subsale kondo priced at 1.5 million in KL.

May I know what's the minimum of our combined income must be in order to secure a mortgage loan?

Thanks