Alamak haiiii..still dont get it ka? What u pay is more what u will get...u fork out more than 100k for 30yrs to get 100k fiat money in 30yrs later meanwhile banks enjoy the fruitness dividend of asb.

Dont talk about robbery la.if u save it in your asb account, still can be robbed ka?

Talking of fiat money, us dollar lost its value nearly 90% since 1971 thanks to President Nixon moves.Google it.

Do u have any idea 30yrs back, what is the living cost comparing nowadays?

This post has been edited by potenza10: Nov 11 2011, 04:55 PM

Alamak haiiii..still dont get it ka? I know I'll be paying more than what I will get in the end, but I'm not paying them with money from my own pocket. I'm paying the bank with the dividends that I get.

so technically the amount of money spent out of MY pocket, is only RM8k.

not sure if trolling or too smart..

Thats why bank is the winner.the purpose of asb is to give dividend to their INVESTOR not to bank.bank bind u with the loan to get the dividend.dont shout too loud la about 100k in 30yrs later.pity!

Please remember asb tagline..'sikit sikit lama lama jadi bukit'..anyway, good luck!

This post has been edited by potenza10: Nov 11 2011, 05:37 PM

let me do simple calculation for u.
Assume the BLR fixed at 6.60% throughout the tenure.
The dividend is 7% throughout the tenure (this is the worst scenario.

Based on the table provided by CIMB bank for ASB loan.
Assume i take rm100k loan and loan it for 20 years.

monthly instalment rm657
total payment made after 20 yrs
=(657 x 12mth x 20yrs)
=157,680

thats mean total interest paid after 20 yrs is 57,680

Although the loan is based on reducing balance method,
let me assume it is using compound interest method,

use compound interest formula,
We find the rate of interest using compound interest formula,

P(1+r)^n = Principal +interest
100,000 (1+r)^20=157,680

use ur calculator,
r= 2.3031%

in case of worst scenario,
ur ASB dividend at least generate 7% without include bonus.

u borrow at 2.3031% but u get a return of 7% at least per annum.
Ask urself, is it worth?
the figures tell it all.

This is just a simple arbitrage. I will not say it is a free money, because u gain higher return by facing higher risk. but the risk is near to zero. if the BLR increase to 7%, using weighted average for 20 yrs, u still in financially better position, becaouse the 2 interest gap is quite big. if PNB collapse, i think malaysia will face bankruptcy too. Then the ringgit u deposited inside the bank also will worth nothing at the end. better u buy gold if u dont have confident with the prospect of malaysia.

i plan to take out 100k from my ASB (maxed out) and dump it into AHB, and get a 100k ASB loan (10yrs)

how much will i earn just by playing around?

100k AHB @ 6.0% p.a. = 6,000
100k ASB @ 7.0% p.a. = 7,000
total = 13,000

100k ASB loan repayment (maybank, BLR -1.65%) = 1,060/mo x 12 = 12,720 p.a.

How much I earn? = 13,000 - 12,720 = 280 p.a.

How much do i have to pay to service my loan = NIL

What do i get? Free rm 100k


being a bumiputra cainiz is fukken win!

and i have yet to factor in compounding dividend...

picture unrelated:



This post has been edited by lucifah: Nov 11 2011, 05:55 PM

Opsss..there another 16k that u have to topup there, bursalchemy..

rm657x12mths= rm7,884 only. i dun understand what 16k are u talking.

LOL! is there any problem, it is for future savings.
after 20 yrs, u can get rm100k, does it worth?

i dont see whats d prob. i put 12k, den its rolling by itself. and dividend pay out for d next year and so on. and its compounding effect.

so i pay 12k -> i got more than 200k in the future.

so? who cares bank benefit or not. its win win situation.

Like. some mediocre mind just dont understand the effect of compound interest. It is a double edge sword. Time is our great friend if we know how to use compound interest by our side.

U still short of dividend to cover your loan installment, right?

Investment is to minimise the risk. By loan, you will take a risk of blr changes. Dont expect for whole 20yrs the blr will be same. And by looking history of dividend pay out by asb since 1990, first 10yrs is much higher than last 10yrs. Dividend amount declining meanwhile inflation keep on coming.

And how confident u just pay 12k and in 20yrs get 100k when there is the risk of shortage of dividend to cover installment IF blr go up?

There is no guarantee dude! Its better self saving.

This post has been edited by potenza10: Nov 11 2011, 07:20 PM

Nvm.. diferent people has different risk appetite. u happy then is ok. Actually there is no real answer right or wrong. After 20 yrs see who accumulate more wealth.

More wealth? Can u calculate loan asb vs saving by own until end of 20yrs, which one is more? Hahahaha...simple calculation.

it might be almost the same, but u forgot one very good feature about the asb loan

say you loan 200k for 20-years

you will automatically need to purchase MRTA


and say, after 5 yrs paying, you suddenly kicked the bucket

your spouse or your next of kin will automatically get the 200k foc, regardless of how much u have paid

this is true story as i got personal exp

very interesting debate we got here, but lets maintain it in healthy condition, shall we.
i interested with someone's post earlier (too lazy to search back for quoting), regarding maybank officer recommend him to increase loan value, but then just kept silent after talk about inflation.
i guess maybe we can share, if there are our own friends from banking field, whether they take or not this asb loan too.. that would be a good reason/example to us, for taking (or not taking) this ASB loan..


This post has been edited by monara: Nov 12 2011, 02:38 AM

it is not no effort, but very less effort. u sitll need to initiate the loan 1st...

i is yellow-skinned cainiz bumiputra, so your statement is wrong

there are ways for a true non-bumi cainiz to be bumiputra, but i guess this is not the place to discuss about it...

Kepada semua ahli forum yang dihormati.

Izinkan saya berkongsi hasil pengiraan saya yang tidak mempunyai latarbelakang ekonomi.

Mari kita ambil contoh kes pinjaman asb selama 30thn berjumlah 100k. Kadar inflasi negara kita yang dicintai ialah 3% setahun, jadinya jumlah terkumpul selama 30thn ialah 90%! Ini bermakna, nilai wang 100k pada 30thn ke hadapan adalah bersamaan dengan nilai jumlah wang 10k pada tahun ini. Oleh itu, dengan bermodalkan 12k duit sendiri pada tahun pertama pinjaman asb dan mengharapkan wang 100k pada 30thn kehadapan yang sebenarnya hanya bernilai 10k pada tahun ini adalah amat tidak berbaloi.

Ini belum mengambil kira risiko perubahan pada kadar BLR dan juga kadar pulangan dividen asb yang tidak dijanjikan akan tetap pada 7% selama 30thn. Jika digoogle sejarah pembayaran dividen asb sejak ianya dilancarkan pada 1990, pulangan pada 10tahun terakhir adalah berkurangan jika dibandingkan pada 10tahun terawal.

Sekian.

This post has been edited by potenza10: Nov 12 2011, 09:44 PM

is there any limit of how many loan certs can be taken, per person?
i only know that the total amount must not exceed rm200k..

The best is do ASB loan 100k for term not more than 15yrs..monthly around 760..pay for first 6 yrs & use 6 yrs cummulative divident to settle the loan balance..dont go 4 more than 15yrs!!

Can u share your detail calculation for the above? If its beneficial to the loan takers, it will great.

This post has been edited by potenza10: Nov 14 2011, 12:08 AM