Dear sifus,

I've gotten 2 offers as below, which one do you reckon is better? Personally I prefer Bank 1 because they offers CLTA which I think is quite a good option for me to consider, however it has a slightly higher interest rate albeit lower spread rate.

Bank 1:
Loan Amount: RM422,535.20 (Loan Amount RM413,100, MRTA RM9,435.20, MRTA covers 25 years, sum assured RM422,525.20)
Interest Rate: 3.8% (Base Rate 3.25%, Spread Rate 0.55%)
Tenure: 35 years
Monthly Repayment: RM1,821

Bank 2:
Loan Amount: RM423,400 (Loan Amount RM413,100, MRTA premium RM8,900 covers 25 years, sum assured RM413,100, Critical Illness premium RM1,400 covers 15 years sum assured RM50K)
Interest Rate: 3.6% for first year, 3.72% second year onward (Base Rate 3.02%, Spread Rate 0.58% first year, 0.70% second year onward)
Tenure: 35 years
Monthly Repayment: RM1,780 first year, RM1,810 second year onward (This one a bit strange because the repayment slightly higher compared to mortgage loan calculator)

is actually ok... means you are paying a little bit more principal... it doesn't matter anymore if you're planning to pay more monthly.... the extra will ultimately reduce your principal...

Thanks for the advise sir. I didn't know about this. But why would they do that? Because other banks I've encountered usually just round up to the nearest ones instead of tens.

Dear sifus,

I've gotten 2 offers as below, which one do you reckon is better? Personally I prefer Bank 1 because they offers CLTA which I think is quite a good option for me to consider, however it has a slightly higher interest rate albeit lower spread rate.

Bank 1:
Loan Amount: RM422,535.20 (Loan Amount RM413,100, MRTA RM9,435.20, MRTA covers 25 years, sum assured RM422,525.20)
Interest Rate: 3.8% (Base Rate 3.25%, Spread Rate 0.55%)
Tenure: 35 years
Monthly Repayment: RM1,821

Bank 2:
Loan Amount: RM423,400 (Loan Amount RM413,100, MRTA premium RM8,900 covers 25 years, sum assured RM413,100, Critical Illness premium RM1,400 covers 15 years sum assured RM50K)
Interest Rate: 3.6% for first year, 3.72% second year onward (Base Rate 3.02%, Spread Rate 0.58% first year, 0.70% second year onward)
Tenure: 35 years
Monthly Repayment: RM1,780 first year, RM1,810 second year onward (This one a bit strange because the repayment slightly higher compared to mortgage loan calculator)

Dear sifus,

I've gotten 2 offers as below, which one do you reckon is better? Personally I prefer Bank 1 because they offers CLTA which I think is quite a good option for me to consider, however it has a slightly higher interest rate albeit lower spread rate.

Bank 1:
Loan Amount: RM422,535.20 (Loan Amount RM413,100, MRTA RM9,435.20, MRTA covers 25 years, sum assured RM422,525.20)
Interest Rate: 3.8% (Base Rate 3.25%, Spread Rate 0.55%)
Tenure: 35 years
Monthly Repayment: RM1,821

Bank 2:
Loan Amount: RM423,400 (Loan Amount RM413,100, MRTA premium RM8,900 covers 25 years, sum assured RM413,100, Critical Illness premium RM1,400 covers 15 years sum assured RM50K)
Interest Rate: 3.6% for first year, 3.72% second year onward (Base Rate 3.02%, Spread Rate 0.58% first year, 0.70% second year onward)
Tenure: 35 years
Monthly Repayment: RM1,780 first year, RM1,810 second year onward (This one a bit strange because the repayment slightly higher compared to mortgage loan calculator)

Always get the one with the lower interest rate, that difference will be huge as your loan amount is a lot.

Offer number 2 is better as the interest is lower overall

Bank 1, comes with CLTA or MRTA?

Thanks for the advise sir. I didn't know about this. But why would they do that? Because other banks I've encountered usually just round up to the nearest ones instead of tens.

Extra RM6 only.. don't fret lah, maybe just they just round up to the nearest tenth... mine they round up RM8 (if this makes u feel better 😂)
Once the market float back to normal, then OPR rate increase back you need top up anyway (say +0.5% OPR until like last Dec), your monthly amount is RM1930 already

also, i assume this is PBB, u ask them if they have ODLTA... it is the same sum assured throughout the tenure, with almost the same premium + put into loan (not sure your age, just guessing)

Hi all,

1. If pay booking fee now (during MCO), is there usually any fix time for us to arrange the bank loan before the SPA is signed? What if MCO is extended further? Note: the property is already completed.

2. Are banks able to arrange bank loan during the MCO? Are the loan officers working?

3. If we intend to withdraw from EPF to partially pay for the downpayment, then can we do that BEFORE the bank loan? Has anyone withdrawn from the EPF to pay for the downpayment?

Some bank officers are still working. I applied 3 banks and 2 banks approved my loan whilst the other one said they're forced to WFH and no progress. So it depends

How long you arrange loan after you do booking?

Can you wait till after MCO lifted, then only arrange loan?

Mine was a newly launched property so could be different from yours.

Better to check with your sales agent. But I believe they will extend the period because of the MCO now

You dare to invest in newly launched property?

Own stay

Hi all,

1. If pay booking fee now (during MCO), is there usually any fix time for us to arrange the bank loan before the SPA is signed? What if MCO is extended further? Note: the property is already completed.

2. Are banks able to arrange bank loan during the MCO? Are the loan officers working?

3. If we intend to withdraw from EPF to partially pay for the downpayment, then can we do that BEFORE the bank loan? Has anyone withdrawn from the EPF to pay for the downpayment?