I have received a letter from CIMB bank. Got one line i would like to ask for help.

'Kindly note that effective 1 December 2015, CIMB Bank will be imposing a monthly flexi charge of RM 40 ("Flexi Charge") per month if the *Utilisation Rate under your Flexi Loan facility falls below seventy percent ("70%").'

What is Utilisation Rate and how do we calculate it? Let's said we borrow 100k from bank and we have 30k average in the account, so the utilisation rate is 70%?
Is there any other bank impose this new change?

hi,

I received the same letter as well. Basically, the letter does mention the formula to come out with the utilisation rate:
Average Daily Flexi Account Balance (RM) = Sum of Daily Flexi account Balance / number of days in month

Utilisation Rate of the month (%) = Average Daily Flexi Account Balance / Current Facility Limit x 100%

In summary, the 'account balance' means how much you owe to the bank. As long as you still owe them 70% or more, then they won't charge you for flexi charges

they low yah one. the bank is going south now trying to squeeze their customers. diu...

Ya man...really ridiculous...70% is really low...

But i guess as all the banks are notdoing that well, all the banks will try to find ways to earn from their customers..

This post has been edited by zeroshift: Nov 1 2015, 05:53 PM

C bank restructuring many of their products. try to maximise their profit .

They terminated many of the credit card products because cost is too high for them.

Really, when good time C bank performed well but when the real test comes, you know who is the strongest ... (tiger and P bank)

Rm40 is too high!!! 300% increase. Perhaps RM15 is more fair.

Write to complain and also write to Bank Negara to complain too

this is apply for product, home flexi, only.
bad luck for customer who took this product.

ya..daylight robbery indeed..

if customers raise a ruckus with Bank Negara, they may just lower the increase or best case, do a U turn on it !

wah RM40 is really crazy

hopefully other bank not follow the trend

We, Retail Insight posted this few weeks bck.. shld warn others b4 they sign up


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Bank's motive is to increase the Non-Interest income, the profit margin for mortgage loan is low. So banks need to increase other sources of income

I can foresee other banks will follow

I have also received these letters.From RM10 to RM40.It is really a daylight robbery. Can we do something ? Write to bank negara ? How do we do it ?

victim here too...

Can opt to change from full flex to semi flex?

Wah it oso mean most loan takers has plenty of surplus fund parked in flexi acc wo.

It's somehow a gd fact thou. Gratz.

Looks like it, FD is 1% lower in terms of interest rate, so it make more sense to pump into the flexi loan

Since cimb gonna impose this new charges, would it make sense to change from cimb flexi to cimb semi flexi just to save on these extra rm40 per month charges?

I am already at my 30%.

U can refer to the letter of offer, bank has the rights to change interest rate/ charges

have to do based on calculation , charges needed to change.

as a workaround just remain the 30% , if there are extra money, just direct dump into the loan to offset the principle else put in another property

yes, in any contract, bank will be sure they are in the 'win' side.

only thing can do is to make some noise at Bank Negara and see how it goes.

i think all other banks will follow
Good luck on complaining to BNM

Is it RM10 to RM40, or RM10 + RM40? total RM50?

actually damn stupid lah.
the whole reason of taking flexi is to dump in excess fund.
and because of this flexibility, borrowers took this and even resorted to paying the RM10 monthly charges.
with this new regulation, who would ever want to take this loan anymore. might as well opt for semi-flexi. or conventional.

lol.

This is why cimb launched new product since sept 2015, flexi smart.

that aint very smart.
what if when times are bad, cimb charge special fees for this cimb smart and launch new plan call cimb dumb?
people need to refinance and pay legal and loan fees all over again?

Can foreseen same thing will happen on this new product again

RM40 + 6% GST lagi

Shall write in to complain, and cc Bank Negara.
If, let say CIMB 6 month later say the fee changed to RM400 per month, how?

This post has been edited by kinnasai: Nov 2 2015, 10:55 AM

I have received the same notice last week. Hv written to them and made a complain to BNM as well.

Perhaps more people should complain to BNM, to preserve our right as a consumer. If we do nothing, they may increase the charges higher and higher, and other banks will follow suit.

This is ridiculous as if defeat the main purpose of the flexibility of this loan product.

true, regardless what product it is, they will sure have the same fate in the future, rm40+6% gst / month

+1

Can share the email address where you forward your complaints ?

Thanks !

+1

If like that, we take semi flexi better. what is the point of taking full flexi?
Will advise all of my friends not to take loan from this bank anymore.

This post has been edited by winfred9: Nov 2 2015, 01:46 PM

How to complain to BNM? I want to complain this nonsense as well.

ya. misleading ppl. i will write to them also and bNM.
I already terminated few cc with this C bank. Very bad service. bad time squeeze ppl.

yup agree...damn lousy services..

You may refer to the gollowing url:
http://www.bnm.gov.my/?ch=en_complaint_redress

You may write to bnmtelelink@bnm.gov.my and the complaint unit of the bank.

But once u reduce the principal, then the new facility limit will be lower and you need to withdraw some cash to maintain 70% in order to avoid the RM40 charges. Eg

Principal 100k, cash 30k, net loan =70k, no charge.

1) If now you have additional extra cash say 10k. If you bank into the account, then net loan is 60k and only 60% utilisation and hence RM40 charge applied.

2) If instead you reduce the facility from 100k to 90k, then the new limit will be 63k (70%*90k) and not 70k anymore. In this case, your max cash balance left in the account is 27k (90k-63k) only. Hence, u need to withdraw 3k in order to reduce your cash balance from 30k to 27k in order to maintain the 70% and no charge.

Either way you can't escape.

ok good, coz i just felt into the trap .LOLLL

u are right too..... good job C bank

When is the starting date they are implementing this?

1st dec 2015

bank in more lo. 10k+3K

Reckon they are deterring more applicants to take up their flexi loan packages

They said shall impose a monthly flexi charge if the utilisation rate below 70%. They never mention the monthly maintenance fees is waived.

Therefore, I would presume is RM 10 + RM 40 + gst, which is RM 53 per month...

My experience with CIMB in terms of service is quite okay.. However, this action makes me lose confidence on them.

I would avoid CIMB at all cost for any loan now, be it Full flexi, semi flexi or terms loan.

Who knows one day they sent out a mail and tell us all loan shall be subjected to a "service charge" of RM 100 per month, regardless flexi or no flexi, because they want to maximize their profit..

Yeah, blardy CIMB wants you to bank in more so that:

1.) Charge you extra RM 40 per month because low facility utilisation.

2.) Reduce your loan size (take away your cash) so call to avoid you being extra charge (RM 40).

Either (1) or (2), borrower still a definite loser.

Boss isit useful??? I ll help u guys to forward a luv letter to bnm as well.

Anw tis bank nothin gd la. The cc they gave me onli gd for me to hav kopi nia. The rest all cow dung. The reward points dun really get me athg. Mostly rubbish.

I used to wrote a complaint letter to a bank cc BNM but before BNM stepped in the issue already resolved. So not tested whether useful or not. But in this incident I think CIMB may lose its case to impose such condition on the existing loans.

This bank residential loan nothing attractive but its recently launched commercial loan quite attractive.

Btw, the cc only good for you to have kopi - wa! coffee luwak emas kah?

This post has been edited by Jasoncat: Nov 2 2015, 10:39 PM

I hav dealt with few banks with help.from bnm and luckily all cases favor me. I assume bnm can giv full assistance if we hav a solid reason to go against the bank. Especially charges part.

Btw garfield boss Wats the rate for the cimb latest commi loan??? Can get below 4.35???

When there is dispute btw a individual and a bank normally BNM tends to side the person so ling as there is valid reason as you mentioned.

What I got is semi-flexi 85% MOF 30 years at 4.55% - Wa boss you got 4.35% kah? Geng!

Btw, how's your rojak biz?

This post has been edited by Jasoncat: Nov 2 2015, 10:48 PM

Haha boss rojak biz so so la. Lucky me no charge gst 6% like banks so stil sustainable

For.commi I onli gotten once @4.35%. The rest slightly higher but I guess cimb @4.55% is a bit on the high side le. Maybe can try appeal. Anw I siam cimb liao. The service is no even near bad. It's bout the worst I hav encountered.

Tried few banks either same or worst than cimb rate - I thought this is not unreasonable for commie loan Boss you VVIP client got special rate I guess.

Can anybody share the complaint letter format? thanks

just took up a CIMB Flexi loan in August and now this.

It's fair enough that they want to charge utilization fee but on existing long term customers that have already signed up!!??

this I cannot live with

I complaint to BNM two days ago. I just received the below email from them. To protect our consumers' right, hence, more people should complaint to BNM to pressure the bank to reverse their decision. This ridiculous bank charges or the minimum utilisation rate of 70% is neither stated in our letter of offer nor the facility agreement. It means they do not pay any respect to the contracts they have signed with the borrowers in the first place, then what for we signed all the documentations, right??


from: BNM Telelink <bnmtelelink@bnm.gov.my>
to: "deleted"
date: 3 November 2015 at 11:02
subject: RE: Unreasonable bank charges
mailed-by: bnm.gov.my

Dear Sir,

We refer to your e-mail above.

We wish to inform you that we have escalated your complaint/appeal to our Complaint Management and Advisory Unit, for information and further action. If necessary, the unit will contact you.

Thank you.


BNMTELELINK
Bank Negara Malaysia
No Tel : 1-300-88-5465
No Faks : 03-21741515
Emel: bnmtelelink@bnm.gov.my

good!
please cc the bank too in your same email to bnm.
then expect cimb to call you ASAP.

great.!

everyone who is affected should email to BNM immediately - just takes 2 minutes of your time..might save you
lots of duit in the end...

those who have taken loans from CIMB is now stuck if this RM40 is imposed- no recourse but forced to pay through the nose!

ordinary Malaysians are being squeezed left right and centre for every sen possible - my goodness..when wl we get a break??

I have written to the bank at the same time I lodged a complain to BNM, Until today, no email, no call, no response at all from C bank. Only BNM contacted me just know to get some of my personal details, and reply me the above email. Perhaps C bank think that they can impose whatever they want, since the facility agreement is always one sided and in their favourite at all time.

Me too just sent a complain to BNM. short email just a minute and done.
others pls do for your on good.

can provide where to write to BNM?

as posted earlier..

BNMTELELINK
Bank Negara Malaysia
No Tel : 1-300-88-5465
No Faks : 03-21741515
Emel: bnmtelelink@bnm.gov.my

Their contact is as belows. You can email to them.

BNMTELELINK
Bank Negara Malaysia
No Tel : 1-300-88-5465
No Faks : 03-21741515
Emel: bnmtelelink@bnm.gov.my

what about CIMB?

callcentre@cimb.com


Their call centre. But in the email, I asked them to forward the complain to Vipin Kumar Agrawai, the one who signed the notice to us.

Just did my part too. Come on folks, let's lodge a complaint to BNM.

Visit the following BNM website and click on the Complaint Units of Financial Institutions and you will see to which address of the banks the complaints shall be sent to.
http://www.bnm.gov.my/?ch=en_complaint_redress

Hehe... the power of social media. Seems the management of CIMB will need to seriously look into the matter as it snowballs.

Done mine... Let's see the response.

More importantly, keep on spreading this news so that every potential loan borrower knows about this.

All the bankers other than CIMB please share as well, you can easily use this example to show to your potential customer how lousy CIMB flexi loan is. Tell them avoid any loan from CIMB bank, be it flexi, semi flexi or term loan, because you will never know one day CIMB shall send you a sudden notification about the additional fees they going to impose.



This post has been edited by samkps: Nov 3 2015, 01:25 PM

last time i also compliant to bnm and cc'ed cimb on other matters.
subsequently a datin called me and apologies.
case closed subsequently.

you told me datin called you out for dinner and apologies woh... dont skip story ok

i think start a facebook or write on their facabook better effect

Wow! Feimao boss geng!!!

I received the same and will complaint to both CIMB and BNM

Yes, good idea...

https://www.facebook.com/CIMBMalaysia/

nanti big boss gets angry recall all your loan, how?

we call nacheat to complain lor..ka ka

You all write email to BNM and cc callcentre@cimb.com?

think need to cc to CRU@cimb.com

I think CIMB's customers will be receptive to the RM40 charge if the bank give a rebate of RM20 or at least waive the RM10 monthly fee should outstanding loan is > than 70% facility limit.

I don't think so. Why we need to accept additional restrictions/terms which are not stated in the letter of offer when the loan is granted? If you easily tolerate now, you are opening the door for the bank to squeeze us further.

Hence, it is big NO to me.

+1 .. Agree..

They can impose any extra charges on the new loan application and let the market force to determine its competitiveness, but please leave the condition of existing loan as it is. The bank should not exploit and victimize the existing customer due their new profit leveraging measures.

This post has been edited by samkps: Nov 3 2015, 03:27 PM

Important is write to BNM
CC to CIMB is not so important.
BNM will call CIMB for clarification.

Already wrote my complaint on this case.

Anyhow i saw letter from CIMB advising us to reduce facility limit, anyone knows what's the impact/what that means?

mortgage or company loan?

Useless.

Let say you have 100k loan, and you put in RM40k to offset the interest. Since the utilisation rate is less than 70%, RM 40 charges applied.

Let say you reduce the loan facility to RM 80k,

1.) The bank will take the RM 20k cash from your account to offset the loan, no more offsetting the interest. That's mean you lose your "flexibility" to withdraw this RM 20k anymore.

2.) After facility reduction, your loan now becomes RM 80k, the new 70% threshold will be set at RM 56k (70% x RM 80k). Now you will have RM 20k leftover cash only to offset the interest, and out of the RM 80k loan, this RM20k means your new utilization rate is 75%. You are "safe" temporary from being imposed the extra RM 40 charges. Nevertheless, to fulfill the requirement (>70% usage), you must not bank in more than RM4k into this account again, otherwise, the utilisation will again drop below 70%.

Thus, by reducing the facility is not a solution at all, because:

a.) You lose totally a portion of the excessive cash flexibility due to reduced loan amount.
b.) The new loan facility still appliacable to this stiupid 70% utilisation rate, means you still losing the flexibility to pump in more cash to offset the interest incur.

Total lost for the customer...

Right, so the so-called reduced facillity limit is to settle part of the loan la...cheh really bad deal then, that makes me lose mroe interest that I should entitle to.

Yeap, you spell it right.

Nice words from CIMB: Reduce facility limit

Actual words for commoner: Settle part of your loan

Those who signed up CIMB full flexi loan, let's complain it together to BNM. the more people complain , the more bank negara will take this matter seriously.

I already email to BNM to this email address bnmtelelink@bnm.gov.my . The people who handle my complain just call me. Not sure is there any outcome to this, but at least we acknowledge BMM about the unethical conduct by CIMB.

Guys, I've just made my complain and CC to CIMB. Refer below my email content. Feel free to copy.

==============
Dear Sir/Madam,

I recently received a letter from CIMB regarding the Flexi Loan Facility that I've taken few years back.

The letter stated that from 1st December 2015 onwards the back will impose a monthly of MYR40 for the flexi charges if our utilisation rate under the Flexi Loan facility falls below 70%.

I find the charges unreasonable and ridiculous. This is against the principal of "Flexi Loan" where it should allow us to have the full flexibility of early repayment to enjoy savings on interest charges with no limitation. There is already a monthly charge of MYR10 imposed by the bank for the full flexi loan and FYI, all these charges come with additional 6% GST!

I serioulsy hope BNM will take action and advice the bank to withdraw back the new charges imposed.

Copying CIMB,
Kindly help forward this email to Vipin Kumar Agrawal who signed the letter.

=====

I also received such unreasonable letter from CIMB, so damn piss that I called their customer care line, their reason merely that to avoid ppl taking the full Flexi HL, but paid substantially so no meat to eat, in addition, some took the loan just to escape being tracked by IRB.

some more like challenge me saying C bank already obtained BNM approval.

Bloody hell! I told them this is not stated in the LO and their officer when marketing this product saying full Flexi and deposit all you can. Cheating!

So I will surely write complaint letter to BNM.

No more CIMB for me.

yes agree, all lets complain together.

What other alternative is there if BNM doesn't do anything and let CIMB walk away with this?

Nice work guys, I've also sent a complaint to bnm

Let's put pressure on bnm to do something on this

i propose if we all dont have some good feedback, let's all do smoe calls to their call center, next week?