i bought a house with 30year loan from southern bank berhad 11 year ago.

first 3 year monthly rm288 for interest payment.

4-30th year rm450 monthly.

last year i received statement still owe total 63,xxx capital.

so i made a 6k lump sum payment to principal account over the branch....That is where thing start to go wrong!


1-monthly deduction of rm450 become rm26x-rm28x only

go branch enquire said is normal after make lump sum payment, y dint they told when i made? advice me stop auto debit

i did, ask me direct pay rm500 to loan thru cimbclick, i did it.

2-till now, my account every month with see payment due of rm26x-rm28x and oredi paid(i suspect is interest only) while all the rm500 paid monthly have become advance payment which doesnt deduct anything.


till date i still owe rm57,000!!! roughly the same amount after i paid the lump sum.


can i make complain or anything regarding this?

what are the best solution or advice from sifus


current outstanding rm56,942.49 int rate 5.85

please help

Yes. It is like that. Unless u convert the loan into a flexi loan so that what extra payment u put in ll reduce interest. But if the amount of loan too small. May not get flexi loan.

I not sure of the whole idea. when you pay rm6k, you must tell the bank you are paying to the 'principal loan' amount, not repay the interest.

I suspect they take all your 6k and pay to the interest, so every month you pay less interest now.

that is comfirm paid to principal hence the 63k i owe become 57k


the subsequent rm500 i paid monthly most probably become advance payment parking inside and only deduct the loan interest

I guess not likely. The 6k u paid had reduced your principal amount n hence they adjust your monthly repayment. If u had made advance payment. Your monthly installment ll not change n u no need to made any installment as every month they ll charge u interest n reduce your paid advance payment.

the auto debit stop deduct 450 as usual monthly, only deduct 2xx per month.

i go branch ask, they ask me stop auto debit and do manual payment rm500

very tempted to settle 1 go ...but i will lost the my cash flow option.....

U can still redraw your advance payment.

advance payment mean no paid to capital right?

that is my problem now....i wan settle this loan asap. preferably in this 2 year

Advance payment made ll reduce your principal n hence the interest calculation ll be lower. U still can redraw the advance payment but need to pay some processing fees.

unless you were to do early settlement which require you inform bank in advance , else any amount u deposit in will be deduce with the fixed mothly repayment.

Problem is after made the payment to principal
The usual monthly deduction of rm450 become rm2xx only.