dividends are in

those that maxed out ASB2 from beginning should finally breach 300k today

100k within 7 years....wow

I haven't, started quite late, delayed cause I had trouble working around the mathematics of the loan. Once I got it was like an Eureka moment for me haha..

Still they are so many other people missing out. 4.25% dividend not worth it with 3.4% loan they say.

People talk about investing and buy house with mortgage, but so few understand what is compounding interest and amortization table..

I still regret 9999999 for not taking up the asb 2 loan when there was opportunity. Sad to the max haha

Exactly. A lot still don’t understand compounding interest and reducing balance loan. I only started 3 years ago when i was 30. Coz only then i realized that asbf is the best thing ever.

Its not worth while to borrow to invest

(Current )FD interest rate + bank interest

I am not sure how much is your bank interest rate

But so far i read, CIMB is giving 2.5% for 12 months

So, 2.5% + bank interest rate <> ASB dividend

Correct me if wrong

This post has been edited by taiping...: Apr 2 2021, 08:58 AM

Very wrong, because of compounding interest. The more units you buy early on, the more dividends you get early, in a few years you actually gain enough dividends that the dividends can pay for your instalments AND you get extra extra dividends.

there's a table with the math in this link: https://loanstreet.com.my/learning-centre/a...loans-explained

The main disadvantage of ASB loan is that first few years when you self pay the instalments you need to have enough steady disposable income to service instalments, but once the dividend gains hit a certain amount it's hands off and "free" money already.

Otherwise if you're bumi and confident in servicing instalments, ASBF is very overpowered way to gain money

This post has been edited by DragonReine: Apr 2 2021, 11:26 AM

hmmmph... 293k only. You must've started a year before me. Jealous!

when did you start?

I have one silly question.

Let's say I max out the quota of asb/asb2, 200k. Then gotten interest dividend of 10k (example). So my account will have 210k then.

My question would be, if I withdraw 10k, the withdrawal is based on interest or my quota? Can I still put in another 10k in future?

Yes you can.

When your balance surpass the 200k mark, essentially you are expanding your limit which would be your last highest balance. We call this the soft cap.

You can now even take out all 210k and put it all back later

I know this for a fact, else I wouldn't have been able to take a 400k loan on asb

This post has been edited by buggie: Apr 12 2021, 01:36 AM

Ah! Didn't know got such thing, no wonder my asb quota is 300k after I refinance my asb for lower rate. Redo 200k asbf and saw quota increased. Immediately put money back in.

Nice about this soft cap thingy!

Is there any limit on the soft cap?

This post has been edited by Joshua_0718: Apr 12 2021, 03:05 PM

No limit on soft cap as far as I know.

I am fully excited on this.

Hi for latest announcement on moratorium we can choose either for 3 months or 50% installment reduction repayments options ryte ?

This post has been edited by tr3xsdcc: May 31 2021, 10:43 PM

Only for B40.

Hi. Can anyone advise me on this ?

I currently have 100k ASB loan from affin bank, interest rate is 3.50% for 30 years. Outstanding balance is RM95k++

Right now i want to max out my ASB loan and affin bank is offering 3.45% for maximum tenure of 40 years, minimum 5 years of insurance is compulsory to get 3.45%.

My question is:

1. Should i just top up 100k; or

2. Should i terminate my current loan and apply for 200k new loan.

Thank you sifu

I would suggest trying for the simpler method first... Ask to get pre-approved first for the full 200K loan & ideally on more favorable terms.. Also, you can approach other banks to see if they'll match and or counter with a better offer. If the 200K can be gotten? Then consider canceling the current 100K loan. Since your outstanding bal is lesser than the initial 100K, you shouldn't have any issues or owe extra upon termination.

I have surveyed around and i think affin bank offers the lowest interest as of right now. So it is better to cancel my current 100k loan and apply for a new one for slightly lower interest and longer tenure (lower monthly payment) ?

Lower interest and longer tenure for a higher amount is good... BUT apply first and get approved before you cancel the current one. This not only guarantees you'll get the loan, etc but also saves some downtime.. Hopefully you only lose a month's dividends and not 2 or more months..