Hi, any ASB sifus here? I already tried on the ASB thread but got no response.

I'm quite naive about this whole ASB loan scheme finance terms in general so apologies in advance for any wrong concept or term that I will be using.

What I understand is one of the method of gaining profit, is by taking a loan let say 100k for 25 years, put in into ASB and repay each month, then after let say 2 years, we'll repay the loan amount using the money we kept in ASB and we'll gain a few hundreds or thousand after adding in interest. Is there anything that I misunderstood? Hehe

So my question is this:

1) After I took the ASB loan, is there a lock period where I am not allowed to withdraw full amount of my money deposited to repay my full loan amount? (Incase got rainy days where I can no longer afford the monthly installment and just want to repay the full loan).

2) Let say I want to have a monthly repayment of rm250, how many years and what amount of loan am I able to secure?

3) What is the salary requirements?

4) From all of the sifus opinion here, which bank offers the best deal for ASB loan? I'm thinking Maybank, since can just auto deduct straight from my salary each month

5) Is this whole "short term game" of ASB borrowing generally advisable? Or is it just better to just put my own money each month at my convenience into ASB without making any loans?

Thanks in advance

Asb dividend gain is only worth it if the monthly repayment is low and borrowing is high

So borrow large amount and stretch the years

find the lowest interest and monthly payment.
either you make the dividend earn as loan payment or save it for future use.

Not worth it, unless the interest charge for your loan is lower than dividend given by asb, that is the basic rules.

1. No lockin period. In fact some bank no need to buy insurance.

2. Can refer table. You google asb loan table also got

3. Normal loan procedure. Ccris ctos check etc etc

4. Which bank best? I think right question which bank offer lowest interest. Normally bank offer 5 or 5.2%. If got promotion, 4.9 or 4.85. Rhb, bsn usually got promotion.

5. For me, making asb loan is better if you calculate ROI

I dont understand theres so many bank available yet u ask here. Ask the staff to get accurate answer

Claire Farron Which ASB thread are you referring to?

Anyway hopefully these few can help you.
wild_card_myhaziqnetezrachan

THere is already an ASB loan thread around here. you can join us and ask away, no worries:

https://forum.lowyat.net/topic/667676/latest

To make you understand better about ASBF you need to know what is the advantage first.

ASB financing is a method you use the bank money (OPM) to optimize your return.

For example if u are making asb saving;

540 monthly
for 10 years you only will get a total of RM92,890. Nett profit is only RM28,090.

while

if u are making 100k asbf with the same monthly RM540

Terminate at year 10 and you will get RM115,251. Nett profit is RM50,451.

The different is about RM22,361 in 10 years.


There are many method that can be use in asb financing suit with your objective and financial capability.

About the question you ask;

1) There are no longer lock in period at most bank. Thats mean you can terminate anytime you want without to pay any penalty. However if you apply your loan with takaful its recommended not to terminate less than 3 years otherwise you might need to pay the shortfall.

2) If you can up a little bit the monthly from 250 to 270 you can apply 50k loan with 30 years tenure.

3) At cimb if your salary is below than 3000 than your dsr must no be more than 60% and if your salary 3000 and above your dsr must not be more than 85%. What is dsr? You will ask this question. The debt service coverage ratio, also known as "debt coverage ratio", is the ratio of cash available for debt servicing to interest, principal and lease payments


4) CIMB interest rate now is 5.05%.

5) Yes, you can choose to make for short term or long term. You will get more with asb financing than asb saving.

Hope this may help you to make your decision. If you want to ask further can private message me. I'm always happy to share my knowledge about asb financing.

-haziq-

Yes true. Its call rolling dividend method. You use the dividend u get every year to pay for the next year installment. You repeat the process till you want to terminate or end tenure.

This method only possible if the given dividend every year is more than your whole year installment. Let say your whole year installment is 13200 and the dividend you get is 14k than it will be more than enough + you get an extra money for that year. However if the dividend is less than your whole year installment you will need to topup using your own money. For example your dividen is 13000 and your installment is 13200, than you need to topup 200.

The only cons if the dividend you get is less than your 1 year installment because u need to top up. However at the end you still profit so dun worry.

Many asbf player using this method because it only use little capital and even if need to topup its not burdening.

This post has been edited by haziqnet: Sep 20 2018, 04:19 PM

1. For ASB financing, the money you borrow from the banks to invest CANNOT be withdrawn. It can only be redeemed once you have closed your ASB loan account with the bank. Your dividends can be withdrawn anytime

2. 30 years, about RM50k. The higher the interest rate, the lower the amount you can borrow. The best rate is 4.85% p.a that I can offer for this amount

3. About RM2500 can do, but depends on your current commitment as well

4. Maybank's best rate is currently 4.90%. The best rate in the market is 4.85%

5. It is up to you how you are going to do it. You will end up with MORE money without rolling your dividends though.

Sifu sifu sekalian, just a quick question, is this applicable to all Malaysians ?

All Malaysian Bumiputras. ASB and ASB2 are open only to bumiputeras, and so are the financing schemes

what happens if u stopped paying?
what happens then?

They would automatically sell your units and close your account

What do you mean by you can offer? You can set us ASB loan with 4.85% interest rate?

I might be interested. How much is the monthly installment for a 100k loan 30 years?

1. I am an ASB financing broker. I always get the best rate in the market for my clients, past and present (I will let my past clients know about the best rates available). Life as a broker, I get to setup shop wherever it is most convenient.

2. RM530/m

Let say if I want to get married in 2 years+ time. Is it possible to get at least 15k for a 2 years dividend using dividend rolling method? If yes which plan is the best? By which plan I mean what is the best possible asbf plan that I should go with. I probably can save about 600/month.

Okay, since you mentioned that you can save RM600/month, I would not recommend doing the dividend-rolling method. Just use the normal method, which is to pay into the loan for the next 2++ years as needed be.

1. By 2 years, I am going to extend it to 26 months instead. This is because there are still 2 months left in the year, plus another 24 months in the next 2 years

2. At RM636/m, 4.9% p.a. (4.9% because no insurance is needed since you are planning to do an early settlement in about 2 years), you can borrow RM120,000

3. Based on TVM calculator below, in 26 months, with a dividend rate of 7% p.a, your RM120k units would earn about RM19,591 in dividends



4. Based on the amortization schedule below, by the 26th month, the principal outstanding for the loan is RM115,979



5. Now there are 2 options:

a. just be happy with the RM19,591 in dividends that you have earned, withdraw it if need be, but keep the loan running.

b. Close the account and keep the dividends as well as the difference between the capital and principal outstanding. Deduct RM115,979 from RM120,000 (the capital) and you get RM4,021. Add the RM19,591 from the dividends, and you would end up with RM23,612.

Wow! So much detail in the calculation. thank you bro. sangat2 membantu. dah lama dah try buat kira2 but still end up tak dapat goal yg di target. Skrg dah nampak flow thanks sgt2! semoga sntiasa murah rezeki