ims2628 leng lui

My house loan approved (haven't sign), but now the owner seems like wanna cancel the deal now.. so:

1) In how many days do I need to sign the house loan? Because house agent said the owner still need sometime for final decision..

2) What if I signed the house loan and the owner cancel the deal? Do I need to pay penalty? If so, who need to pay? Me or the owner? Since it's not my fault..

3) Will bank "blacklist" me for canceling the deal? How if I wanna apply for the same bank again in near time...

Thankssss....

This post has been edited by t3n: Jun 3 2015, 07:56 PM

I was introduced by a bank loan officer when bought a house to sign up Maybank Islamic Loan and was told it is a semi-flexi loan type. Since I already have other full flexi loan account, just thinking to sign up a semi-flexi loan account will be good enough. After full disbursement of loan, my installment commenced. I have made extra installment hoping it can reduce or offset the loan principle amount, however was found it was just part under advance payment and my principle was not offset. Contacted the bank officer and was told if I wanted to reduce my loan principle, I will need to write to home branch for approval and I am not allowed to withdraw the extra payment from my loan account because Bank Negara CCRIS record will update the outstanding balance. Bank Negara CCRIS is only allow FI’s update reducing balance every month. Thus the officer said that is the reason if I want to reduce my loan principle, I am not allowed to withdraw any single cent from my housing loan account anymore.
On top of that, the officer also said no bank is allowed to reduce principal in the market, only can save interest based on outstanding balance. According to her,the extra payment is only to save interest. This also apply to full flexi loan account.
I responded to the officer that I have other full flexi account from other bank, whenever I bank in extra money it will offset the loan principal and I can withdraw extra money using cheque book or ATM card from loan account at any time.
As far as I know for semi-flexi loan type, I can pay extra money to offset loan principal same like full flexi loan type, the only thing when I need to withdraw the extra money then I have to pay withdrawal fee. There is no such thing I cannot withdraw extra payment. There are also other banks with their semi-flexi account without requirement to write in any letter for approval when extra payment was made and it will offset the loan principal.
Anybody has experience using Maybank Islamic Loan? Is it true as claimed by the bank agent.

Normally in 14 working days you have to make sure your loan is ok and proceed with sign Sales and purchase agreement, if you signed the house loan you means you had sign the letter offer? once you sign letter offer if the deal is call off the letter offer penalty normally have to be bear by the owner as it's their fault as they want to cancel the deal out of sudden. Letter offer penalty should be around 2k it will stated inside your letter offer. even agent commision also have to be bear by owner, it's nothing to do with your side. Bank will not blacklist your side for canceling the deal just that once you sign letter offer and suddenly call off the whole deal there's a penalty charge for processing fees.

Sorry quite new here, is letter offer and the booking form (earnest deposit) same?

letter offer is once you accept bank offer the document that you sign. booking form is totally different thing, booking form is issue by the agent, you have to use your booking form for loan application with bank.

For illustration, assuming that you borrow RM500k full flexi @ 4.50% for 30 years so monthly instalment is RM2533.43. If from day 1 you park RM500k into the account, the bank will charge you no interest from day 1. With the monthly deduction of RM2533.43 from your RM500k, it will take you (RM500k /RM2533.43) ÷ 12 = 16 year 5 months to fully settle the loan without a single cent of interest being charged. So, by putting the money in the account it does help to shorten the loan tenure effectively - but of course this is just for illustration purpose and if you do have RM500k in hand, you can always fully settle your loan at any time as it's just a matter whether doing so will incur penalty or not (due to log in period). Whether you want to dump the money in to save interest is a question of how much you can yield from the funds if you invest in somewhere else. So, if you are confident that you can consistently earn above the loan interest (4.50% per annum in this example), then perhaps it is advisable to let the funds make good money for you somewhere.

Jason, my intention is to park it inside till I can find some use for the money. I believe fully settle it means I lose the cash cause it might be useful for many purposes.

However I'm not sure if once bank notice I am paying Zero interest they will ask for full settlement or not. As for 16 years or not, let's not dive into the length as I didn't count exact amount I have.

BTW thanks. Think I already knew the answer myself

This post has been edited by robert82: Jun 4 2015, 01:17 AM

Arrr I see... Ok get it now!! Thanks ya!!

correct me if im wrong

monthly deduction for principal remained the same except that your 'that' month interest payable is 0 in condition clause for utilization can be 0%

therefore you will see principal deduction in accordance to your LO/LA subject to tenure completion of 30 yrs

Yes.
So assuming if you didn't park extra money, your monthly installment is 3000, it will probably be:

2000 for interest
1000 to reduce housing loan.

However if you did park some money, monthly installment is 3000, it will probably be:

500 for interest
2500 to reduce housing loan.

As such, the snowball effect will reduce ur housing loan duration and total interest paid.

My ideal scenario will be housing loan 500k, cash parked 500k.
When I need the cash only take it out, but I pay that 4%++ interest...

P/S: Sounds crazy I am raising this topic and yet answering questions lol

This post has been edited by robert82: Jun 4 2015, 03:35 PM

If there is no extra money being parked into account, of the 1st instalment of RM2533.43, RM658.43 is for principal payment whereas RM1875 is the payment for interest portion. The portion for principal payment will be increasing while portion for interest will be reducing throughout the tenure as the loan being amortised. So, if from day 1 there is no interest element, the whole instalment will be used for principal repayment, which explains the reason why the loan is effectively fully repaid earlier than expected.

This post has been edited by Jasoncat: Jun 4 2015, 03:59 PM

This is especially useful as the amortization rate for interest rate will be substantially lower after the first 3 years of loan.

On the other hand, you don't get any interest from FD during this period. So go figure..

Hi all,

Just want to enquire whether its possible for me to make a joint loan with my gf. We're going to get married next year.

What are the banks that allow it?

Property price : RM 400,000
My loan : RM 320,000
Her loan : RM 80,000

Yes few bank allow to do so. But property price is selling 400k bank loan margin max only 90% which is 320k only

Hi all, my gf and i getting a house and want to take 90% loan which is 700k. But i already have 2 properties now. So for this house it will under my name and gf's name. For the loan will be under my gf. Will any bank offer loan for this case?

Assume my gf is commitment free and her salary is higher than required.

You means sales purchase agreement with both name and loan on your gf name only right? Yes there's many bank accept these third party loan.

I see... thanks

Hi experts,

How do you evaluate overseas income? Let's say I work in Singapore with 3000 SGD. with commitment of car loan RM700 in Malaysia. What are the mandatory document when submit to bank for review? Thanks!

What is CBS report? Get from Malaysia or Singapore? Thanks.

what bank accept third party?