Hi /k based on my previous topic regarding my housing loan, i have two offer concurrently

Basic Term Loan
Rate: 3.4% | Monthly: RM980
The amount remain for 35 years and have to pay lawyer fees on my own.

Semi Flexi Loan
Rate: to be confirm | Monthly: RM955
The amount fluctuate based on BLR and lawyer fees include in the loan.

Based on your experience for Semi Flexi Loan, is it possible for the monthly commitment increase up to 1.2K monthly.
Your comment and suggestion is highly appreciated

EDITED:
Sorry /k i think i got it wrongly, both loan amount are fluctuated too

This post has been edited by aPiT_OxyMoxy: Feb 17 2022, 12:30 PM

BNM expected to raise interest rate in tandem with US Fed. You take floating rate loan better think ten times

my preference yang fixed punya. sure kah 3.4% fixed for the next 35 years?

i will take semi flexi ;

can pay extra to reduce principal amount (last time need to go counter)

This post has been edited by fantasy1989: Feb 17 2022, 10:24 AM

My first housing loan is Semi Flexi Loan

Highest: RM325
Lowest RM250 which is now

My concern is that with salary increment like peanut, how to cope in the future if the amount fluctuate

if you really have financial constraints ..make sure you buy full term of MRTA ( alot ppl pinjam 35 years ; but MRTA just buy 10 or 15)

incase shit happen ; it wont be burden to your family

This post has been edited by fantasy1989: Feb 17 2022, 10:26 AM

If i may ask, how much is the different after you pay your principal amount.

are we allowed to continuously withdraw our KWSP for this or its just one time?

Based on the banker advice i took 30 years, so got 5 years left to pay on own expenses if anything happen.

If the rate is low enough, then don't pay back so fast

Channel the money for better use

but surely bank side also considered this right...? so the fixed rate also kinda 'priced in this uncertainty' already?

This post has been edited by viktorherald: Feb 17 2022, 10:28 AM

Based on the banker advice yeah it is, i haven't gone thru the full LO yet

Yup agree.

for my case the current rate is RM250 and i still pay RM350 as usual, the surplus they add in into another account.

Once the amount reach RM1,500 i can ask them to reduce the principal

later BNM increase rate few time a year 1.2k above is not a dream.

and 3.4% is not a bad rate. normal term loan around 5-7% depends on industry.

sure semi la . when u got extra can just dump in . unless for the next 35 years ur salary still remain and never get increase lol .

I don't understand your explanation

is it possible to add/increate the term afterwards?
only recently realize this "MRTA only 10yrs" thing

u meant MRTA? i remember can

but the pricing might more mahal because they will take your age as part of calculation

ask your banker

This post has been edited by fantasy1989: Feb 17 2022, 10:33 AM

35 years is a long time in this constantly changing world. With semi loan you have some flexibility to pay additional amount or withdraw from additional fund in the future.

if fixed rate cannot refinance then take semi

TS sure the basic term loan is really fixed rate? I thought fixed rate loan will charge higher interest rate, that 3.4% doesn't seem like fixed rate.

Interest rates will be rising for the next 5 to 10 years (possibly).

So better take fixed loan now. When trend reverse and interest rate going down further than your original rate down the road, then you refinance for a lower rate package.

By that time, hopefully your financial situation improves and you have more money to dump in or withdraw to take advantage of flexi loan.

I took shortest MRTA possible, save the insurance premium. Full flexi, already fully offset loan, but bank advised not to close account and just utilize the full flexi loan account for other purposes as nowadays full flexi loan account already extinct.

This post has been edited by iGamer: Feb 17 2022, 11:01 AM

If there is plan to early settlement then yes ..can take short 1 + semi flexi loan

instead of paying extra then ask for insurance premium refund

but TS is even considering term loan ..so better take as long as better

This post has been edited by fantasy1989: Feb 17 2022, 11:02 AM

Thats why u need to learn to read more

Semi Flexi is my preference.

Take advantage of lower rates. If can afford to, put in more money whenever you can to reduce principal faster.

Fixed rates for such a long term is not recommended. No point fixing something so far out the future when you can take advantage of information you have now.

EPF dividend rate > Housing loan rate

Not worth it to withdraw EPF to pay housing loan, you are losing money doing it..

No. You pay minimum and invest the balance. You have access to ASB so do that. Interest rates should be higher than your loan.

The only reason why you don't want to do this is if you don't have the discipline to save and invest. So maybe you're the type that will just spend the extra RM100. Or if you are the type that like to use FD (lower rate than loan). Then go ahead and pay into your loan.

This is the price that I'm paying right now. My amount fluctuate between rm930 - rm1200, depending on blr.

semi flexi loan u can flex, term loan is old skool and lame

nowadays still got Basic Term Loan? of 4 banks i go to apply loan last year, all say semi flexi or fully flexi saja...

which bank offer u Basic Term Loan

which bank can reduce principal without needing going over counter?
afaik, hlb and pbb need do over counter

Sure still got full flexi last year? I heard nowadays only left semi flexi.

dia belum kana 10% and above interest rate like in the 80s and 90s

Fixed rate loan has very high interest rate, I doubt the 3.4% rate loan is really fixed rate.

go for fully flexi for ease of management.

i apply housing loan around 2021 October, yeah, bankers still sell me Full Flexi
but i take up Semi Flexi....
but weird is Basic Term Loan....tot obsolete ady?
how come ts mentioned got such loan offer?
very curious which bank

what's the main different anyway? fully flexi vs semi flexi

went with full flexi, no regrets.
save alot.

yeah my dad told me about this. that time ada 1 tu "society" lagi giler interest rate nya. higher than bank. sure pokai.

what banker told me is

Full Flexi
- can withdraw money from Loan Account anytime without charge
- no withdraw limit
- one time charge per year

Semi Flexi
- charge RM50 per withdrawal from Loan Account (think this is HLB, but the amount varies according to bank, but all bank charge per withdrawal)

Mind telling us which bank offered you full flexi? Why u chose semi when got full flexi?

ambank/affin/hlb/pbb

all also got full flexi and semi flexi, but dont have Basic Term Loan

cause i dont need Full Flexi? buta kena charge one time per year for the money i dont need to withdraw from Loan Account

Full Flexi is target to business ppl, not for makan gaji ppl

mine is full flexi then.
only cons is got fees on current account.

Was it RM10/mth for the current account tied to the full flexi loan account? I think it's well worth it if we truly utilize the flexibility and repay more (and save lots of interest than mere RM10/mth).

Actually you cannot withdraw from loan account
Full flexi loans has 2 accounts - current and loan. When you want to "put" more money to reduce your principle, you put that money into your current acct. The money you can withdraw is from this acct not the loan acct. No limits is the number of times you withdraw, not the amount. Withdrawer amount limit is the amount you have in this current acct.
Fees can be monthly or annually depending on the bank.

I think full flexi is worth it, they charge u rm10/mth but you can deposit/withdraw from the Current Account just like any regular account.

U just need like rm4k inside to "offset" the monthly rm10, if my calculation is correct hahaha

Yes, that's my rationale also. But last time the other bank officer that didn't offer full/semi flexi laughed at my reasoning, he thought he very pandai

This post has been edited by iGamer: Feb 17 2022, 01:02 PM

depends on bank actually...
i only knows about HLB cause i take Loan from HLB
and they charge yearly

Basic Term Loan
Is this still offered nowadays? Anyway i think the other 2 loan types are better

Semi Flex Loan
withdraw fee typically rm50
For rental, can only utilize whatever interest charged (when u have cash in acc the int charged will be lower) for tax reduction purpose compared to full flex

Full Flex Loan
Generally slightly higher interest than semi flex
No charges when withdrawing
typically charge rm10 per month for account maintenance
Can only utilize 70% of loan for interest reduction purpose, check with bank if there is this condition. ie will still get charged on 30% even if you put in 90%.
For rental income can utilize the whole loan amount interest charged (irrespective of amount of cash is in acc) to offset for tax purpose.


So here is my opinion.
If you have lots of cash and you want to put in more than 70% of loan, go for semi flex
If you use a lot of transactions, go for full flex.
Rental purpose, go for full flex.

Do an excel simulation if you are not sure which is better.

This post has been edited by mouldybread: Feb 17 2022, 12:19 PM

that gap is quite huge, thanks for sharing btw

its ambank

Seems like nowadays full flexi is not what it used to be, my dinosaur full flexi can offset 100% principal, no question asked.

Not sure. mine own experience is OCBC and PBB also need

we memang cukur. hosuing loan rate so low. not that bad after all.

My full flexi from Pbb can offset 100%.

Yes I had that loan too some time back where 100% can utilise to offset interest.
That’s why it’s better to ask the bank on the existence of this condition for new full flex loans as some banks have adopted it.

any safety feature for such current account to prevent hacker/scammer from accessing?

like can only go to counter to withdraw

or can even withdraw through ATM?

or can hacker access through online banking to withdraw?

mine is different

in 2020 I took up a home loan with RHB.
I also need to open a savings account

when I have excess money in the savings I make a principle prepayment to the loan account
this reduces the interest the bank charges on the home loan
any amount paid to principle prepayment is shown as redrawable

I can also transfer money from redrawable back into the savings
then I can withdraw it or transfer it to another bank
RHB does not charge me fees

I can do all the transactions online.
No need to goto any counter.

This post has been edited by CoffeeDude: Feb 17 2022, 02:50 PM

Its an ordinary current acct. You dont have to apply for ATM card or online banking. That way the only way to withdraw or pay somebody is by cheque or a withdrawal slip over the counter

Both loan also follow BR lah...

Just take semi flexi if want to reduce principal in the future

Other than that its the same

what about buy MLTA i/o MRTA?

back in the 80s ang 90s mmg crazy time. you can keluar masuk financial institution shop for loan.

1989



1998