guys, i applied cimb asb loan at 4.95% interest for 25 years back in 2012. But after after the BR rate changed few years back it is at 5.1%. But my monthly payment remains the same at RM417 per month. So what is actually happening?

Will my loan period increase?

No bro. Just proceed as usuals.

hi guys. fresh grad on first paycheck here, confused about a couple of things regarding asb loans:

1. why do people tend to maximize the loan tenure? when i use calculator, despite having a higher monthly commitment, shorter tenure loans in the long run leads to lower total payment. is there something i am missing?

2. i read earlier in this thread that people cancel their loan every 3 years and reapply? this one completely confuses me. won't it be better to fully pay off your loan? how is this viable?

3. now that asb is closed for the year, is it better for me to wait until it reopens for me to apply for the loan? or will i only have to start paying for the loan once asb is opened again?

thanks in advance guys

This post has been edited by tradefameplz: Dec 26 2017, 06:40 PM

Hi all, i have an asb loan with cimb bank. Can i still use the myasnb app to check my statement or dividend? If yes, I just need to update my phone number at any branch and register correct?

1. Most people can't commit to large monthly payment. If you can pay 200k loan in 10 years comfortably, then go for it. For asb, it is more profitable to loan 200k for 30 years than 20k for 10 years due to compounding dividend (provided u no touch dividend)

2. Not sure why ppl do this. You are right that it id better to fully pay off your loan.

3. You can apply now and request them to start the loan on feb/march/april. Up to you .

Hi there,

1. By maximising loan tenure, e.g. 30 years, you are actually getting a higher return by paying less compared to with a shorter tenure. The lower the tenure, the lesser the profit you are getting off ASB loan up to a point where you actually get to save more by saving on your own.

2. Depending on the situation, most people reapply to get a lower interest rate. Lower interest equals lower instalment, so they actually get to profit more from reapplying.

3. Whether you apply now or next year does not matter as current ASB loan application will only start to disburse in Jan. What matters is the interest rate offered by banks right now vs later.

Yep, need to update phone number before you can register online.

This post has been edited by Ronald K.: Dec 26 2017, 09:05 PM

I will give input no 2. Reason why they cancel and reapply asb loan again is because they increase the loan capital. For example, you have extra money is RM600 per month only which roughly enough to pay for RM100k loan. On second or third year, you earn dividen. From dividen of RM7200 (assume 7.2% dividen out of RM100k loan), you will have extra RM600 permonth for second year.

So you cancel the loan after dividen, and reapply new loan with RM200k which monthly roughly RM1200 per month. You have dividen money RM7200 (rm600 per month) top/ up with your ‘regular’ monthly RM600 for 200k loan.

No.1, maximize the loan tenure so u will pay less and also get more ROI. Let say u apply 200k asb only for 20 years u need to pay 1298/month and for 30 years only 1050/month. Also if u have more money u can max opm more than 200k. When u max out the OPM your return will be greater.

No.2 They terminate the loan every 3 years either to reset for lower interest, max out the opm (apply more asbf) by using the money they earn after terminate or to use the money. Its your choice. However the longer you keep your asbf the more compounding you will get.

No.3 Its better for u to apply now. At cimb u will get a month gap to pay for your loan installment if your loan is disbursed after 15th. If u start apply now u either pay on Feb or Mac next year. You can apply for asbf although the asb is closing temporarily now. The loan facility is with the bank not asnb so no problem.

More info can ask me privately.

This post has been edited by haziqnet: Dec 27 2017, 08:11 AM

If the Br change means your instalment also will increase. Try to check at cimbclick if ur instalment remain the same or increase already. If its increase u need to pay use the new instalment. It will not increase your loan period but ur loan will auto terminate after 2 month if there is a shortage of payment. Usually u will get several sms or bank letter asking u to pay for the outstanding. Do u get any so far?

This post has been edited by haziqnet: Dec 27 2017, 07:57 AM

Hi yes u can check for your dividend and asb statement but not your loan statement. Yes just need to update your phone no at nearest branches. You also can update your phone by email to asnb if not mistaken.

About the recently distribution announcement this is the easier way to calculate

Assume your loan is 200k
For 1st 10k use this formula

n/12 x 8.25% x 10,000

For the rest

n/12 x 7.25 x 190k

n=month

For example ur dividend is prorate for 9 month

Thats means u will get

9/12 x 8.25% x 10000 = 618.75 (this is include bonus 1%)

Then

9/12 x 7.25% x 190k = 11,756.25

Total earning = 12,375

-haziq-

This post has been edited by haziqnet: Dec 27 2017, 07:53 AM

I think we all get the gist already.
Bank loan offer always say "limited time only", "going to end soon". Yet everytime also extended, extended, extended.

And that's a good thing for us consumers.

Banks have to be competitive in today's hard time. If Bank A ends their offer, Bank B will offer better, people will quickly leave Bank A easy.

Correct. 👍

This post has been edited by haziqnet: Dec 27 2017, 01:53 PM

so far no letter or sms askin to pay more

on cimb clicks the installment remains the same. But sometimes i do notice like got RM0.06 due for the month, so the next installment i will pay that extra 0.06

asbf = asb financing

this promo is available at cimb bank. other bank im not sure. can apply with me if u want.

i see. then no problem.

bro, i thought the 1% bonus, u will earn only RM100..

12/12 x 0.01 x 10000 = 100

by looking at your formula, those who has 10k will earn RM825?

12/12 x 0.0825 x 10000 = 825

This post has been edited by mytaffeta: Dec 27 2017, 05:35 PM

That 825 part of it is the 10k dividend (725) and part of it is the bonus (100)

Try to calculate separately

12/12 x 7.25% x 10,000 = 725

Than

12/12 x 1% x 10,000 = 100

Total 825

I just use the simple formula.

Thats why when u have 200k loan only 10k use 8.25% and the other 190k use 7.25%

Not all people will get 100 from the 10k. If their loan is less than 12 month they will earn less than 100.

For example loan start february. Thats mean the bonus only calculate base on 10 month

10/12 x 1% x 10,000 = 83.33 bonus only.

Get it bro?

This post has been edited by haziqnet: Dec 27 2017, 06:07 PM

can you do calculation base on 200k since January full year..?

12/12 x 8.25% x 10,000 = 825

12/12 x 7.25% x 190,000 = 13,775

Total dividen + bonuses = 14,600#