I calculated saving plus plan before, better you keep in FD. FD accumulated interest plus shorter maturity period, Saving plus plan fixed interest at 3 %, usually with few years maturity period. Your accumulated interest in few years definitely higher than saving plus plan i tell you.

I calculated this before, I actually join a few years ago cause still noob. After understand cashflow and use final maturity period with final sum, if no take into account inflation is 3% interest p.a. If inflation take into account almost make loss. Better FD.

Are we talking about the same plan here? Every month 188 for 10 years. and then for another 10 years get cheque at the end each year, and at the 20th year get one lump sum. Got dividend meh? I read the policy up and down never saw a dividend clause, only time of maturity and surrender value.

i think the only way to find the real return is really enter the program, then plot every year how much pay in, then get every year pay out.
i think after year 10.. then can see whats the real returns..after all those variables like dividend /that particular year actual figure u received etc
i had one running over 10years adi (not HL) i think 12 year payment , then autopilot, when i check the real figures it was like 3-4% real return.. not much actually. but ok la for some forced savings/backup funds. haha and then just leave it to run until 60 or 75years old. etc...

Ya need to enter and wait 10,15yrs only can see real return... But cannot guarantee it will be higher than unit trust or even fd. Because policy doesnt guarantee a payout. My own brother's education saving plan payout was lower than fd rate (compounded) after 10yrs.

best is to park everything excess into full flexi housing loan then every month quite cheap for my monthly mortgage

Not everyone understands...

If they use 'best case scenario' % calculatiob of course the return will be higher than fd. But impossible every year also 'best case scenario' ma.

If u tell the agent this, they will tell u 'aiyo boss, every year hla gives out xx% la, wont drop below xx%'

Then u ask them 'is it guaranteed in policy?'

They eill diam diam.

This i totally agree...if i fully park into my flexi loan now, the return from rental is a whooping 7.5%!'

fuyoh!
eh got deduct LHDN portion of the rental or not?

I wasn't told it was 30%. Just said up to 10% per annum return. This would have to include dividend (max rate) along with compounded interest.

Like I said previous, I did the calculations and it's there. But I haven't check what's the dividend I'm getting though. Will treat it as a way to force my savings. The extra interest over FD is a bonus.

Was definitely told about the early withdrawal penalty. The agent is quite clear on the details with me. So I was ok with it.

FD won't be affected by inflation? If you're discipline enough not to touch the FD once it's matured, then it's ok. It's your own choice.

Sounds different. Mine min must save for 6 yes I order to get the return tabled out. And it's fixed amount per year savings.

To get the best rate, just withdraw once the contract is due. Cause if leaving the savings with the running rate, the interest is not that high. Take it out, reinvest again in similar saving plan.

Their selling point was, "this is the final deal already". But manatau 2 yes down the road I'm still seeing similar plans by HLA, albeit slightly different rate (lower already I think). But if do it every 6 years, the rate is considered high. Definitely better than FD.

Anyway, do your own calculations. You'd know what's best for yourself.

so which bank currently the higher interest for FD ?

Last i check was Affin, 4%. Need 5k though