beg to differ...

those banks who make it compulsory to buy MRTA, in order to enjoy better rates, are simply trying to earn back their margin from MRTA...some banks doesn't make it compulsory to buy MRTA... in fact, my bank allows MLTA financing... the only bank that allows MLTA financing.... and it is optional...customer decides whether to buy and finance or otherwise. And rates are as competitive as the rest of the offers from other banks...


cheers!

This post has been edited by elchico: Jul 17 2012, 08:12 PM

Have you decided and signed the LO? If yes, then no need to say already lor...

If not, i'd recommend you to consider another bank... BLR-2.4% for loan amt >RM200k, tenure 40 yrs, MRTA is not compulsory! I guess unless you are getting a better offer, which would render compulsory MRTA... ermm.. at least there is reason why u are incurring compulsory MRTA lor... But my advise is, if the differential is minimal, why waste ur money on compulsory MRTA.


I also beg to differ....

Assuming all of us are on the same page, that MRTA/MLTA is necessary to insured our loved ones from having to bear our liabilities in the event something unfortunate happens to us, IMHO, MLTA is suitable both for own stay as well as investment. Here is my take...

Own stay - Meaning a house for you to build ur family...You would definitely want to secure it with adequate protection, to avoid having your family evicted, and house lelong, in case something happens to you, and your wife is unable to continue with the liability. Usually, ppl say a man shouldn't transfer liability to their family member, if they can't transfer asset to them - when they leave earth... with guaranteed return and sum assured increasing... there will be excess cash to the beneficiary... In MLTA - your beneficiary gets house plus excess cash. In MRTA - your beneficiary only gets house.

Investment - Meaning you are a property investor.. and this property, more often than not, will not be your first or final property... Over the life of your investing profile, you are bound to buy and sell a couple of properties. What is more beneficial than MLTA, where it is transferable between properties, and it will not be burnt upon sale of properties... very applicable for property investor, who commonly buy and sell properties.



Cheers!

This post has been edited by elchico: Jul 18 2012, 01:25 AM