Anyone sign up for this?

I would like to ask a few question.

1. Do you guys calculate how much principal they deducted every month?
The statement doen't shows.

I was searching for HSBC Homesmart ... bumped into this post.

Just wondering, if anyone mind to share his/her experience for this package?

And did you manage to check on the monthly principal deduction amount? I think this is crucial and part of the selling point for Homesmart.

Hope to hear from you soon.

starting 1st 5 years, the amount u pay, 60-70% is for interest


This post has been edited by ETEAM TRADING: Jan 1 2010, 05:49 PM

You're given an account with the loan amount, together with a cheque book to issue payments and atm card to withdraw money.

The loan amount reduces every month, based on your tenure (e.g. 20 years, 30 years, etc) and repayment.

It works like an overdraft, where you're charged interest (daily rest) only for the money that you use - otherwise it's just RM10/mth admin fee.

You can pay any amount at any time - even in full, without prior notification. Of course, if you close the account within the lock-in period there'll be a penalty (1~2% of the loan amount) or you can just leave the money there as emergency cash.

I think HSBC HomeSmart and SC MortgageOne are the most interesting Loan package in the market which could help us to save alot because of the current account,overdraft facility and daily rest calculation. The only RISK here is if the BLR goes up.

the techniques of thes type of loan packge(they call it flexi-loan) if you sign up are.

1. 1st of every month, dump all your salary into the current account as it will help to reduce interest because interest calculate daily.

2. 2nd - 30 or 31st - all your expenses i.e food,cigar,petrol,utility bill,car loan, edu loan etc, withdraw from this current account using the overdraft facility, your home loan also would be deducted from this account.

3. 1st of the following month repeat the step 1 and 2.

the more cash you have the better to dump in the current account.
The steps above also can be maximised by credit card, since credit card have 20 days credit without interest, use this credit card for your living expenses for 20 days without touching you cash in the current account to save interest. But make sure pay the credit card before the due date and utilise it again after u paid.

I think the loan is most beneficial for businessmen because of their non-fixed monthly income.

It's also fantastic to avoid scrutiny from LHDN because you can almost buy a house with cash, e.g. take a 90% loan this month and then pay in full the next month. It'll still show that you have a 30-year loan but you're paying 0% interest.

It's even more interesting when you think how those making illegal money (e.g. loan sharks and illegal betting) can "clean" their money this way too.

what is the advantges of this loan compared to other flexi loan that available?? One that i know is no need to give notice to the bank if want to do prepayment and withdrawal

I'm not very sure about how the calculation goes, but it varies slightly every month due to the oustanding balance you have in your account. This is not specific to Homesmart, but I guess to most flexi-loans.

1. Calculate the interest accured over the period for 1 year, and divide that by 365/366 days to get daily accured interest.

Eg. Your interest rate is 4%. Your current oustanding balance is Rm 100,000. 4% pa of interest for 100,000 would be 4000. Divide that by 365 days (366 for leap year) would be 10.95.

2. Let's say for month Jan, 31 days. By the end of Jan, you have a total of 10.95 x 31 = 339.45. Your number of days might vary depending on when they actually debit the interest.

3. If you dump in monthly 1000 as your instalment, 339.45 will be deducted as interest first, and the rest will be principal. In this case, the principal paid would be 1000-339.45 = 660.55.

Since the interest is calculate based on daily rest, you would need to rinse and repeat the whole process every time you make a instalment as the oustanding balance will change.

I'm no banker but this is what I can come up with, with common sense .

Anyway, double check with the bank if you decide to put in extra money whether the money will be used to deduct principal automatically, or remain parked in a "suspend" account which would be credited into the next following month, thus not reducing any interest at all.

HI.

HSBC offer me -2.05% for home loan. 30 years

It's good result..

you mean BLR-2.05%? how much is your loan amount?

Wow, how can u get so high? 2.05% is so high? Is this a fixed one rate all along your tenure? Or u get those package like 1st two years -2.05%, then follow by -1.55% for 3-5th year. On the 6th years, is fixed at -1.9%?

Wowo....that is quite high!

How did u get that? Wht is ur loan amt?

The fella that quite me also BLR -1.90% only

Nowadays the BLR is fixed from BLR -1.8% and -1.9%. Dunno is the bank pakat or not cuz now bankers also say that all banks will go down to 1.9% max. There's no more BLR -2.2% anymore. There's no more ZEC/ZMC too it seems. Some tell me is a instruction for BNM on this matter.

olitabin: if you get -2.05% for whole tenure, that's a pretty good deal! Is yours Zec/zmc with MRTA? That's a good rare deal!

I'm using HSBC homesmart and i would say i'm happy with it despite RM10 per month maintenance. Overall, it's fully flexi so you don't have to give notice for withdrawal and can withdraw from as low as RM10 with multiple of RM10. You can deposit extra if you had and for me, it's basically the same as other mentioned, received pay everyone and allocated all into HSBC with some small buffer in other account. All payments made via credit card as you got 20days credit. Then paid through via your HSBC Homesmart. It's also a good thing to dump all your savings into it as if you have saving in other accounts, eg FD, the interest gain will be subject to tax while if you allocate it on your HSBC it reduces the interest payable and thus not showing any interest income.

try citibank. same features as well.

hi,

i plan to use HSBC smart loan as well due to its flexibility in reducing the principal amount with no restriction on additional installment. However there are 2 things that concerns me.

1) Loan/Lawyer fees are surprisingly high as compared to other banks though i have no personal experience on this as soon to-be-purchased house is our first house.

2) Local bank e.g: RHB said they also have felxi loan with restriction of additional top up amount of 1000 or 2000 or 3000, etc.. else their system will not be able to catch the amount to reduce the principal. However, i was told by HSBC officer that local bank doesn't really have flexy loan, what they have is term loan. well i am confused now.

anyone knows about this?? TQ

1) How high they quote you for the legal fee? Sometime it's not the actual final charge as the bank may quote you higher at 1st. If at the end the total bill is lesser, the remaining balance will be bank in back to you.
And also you may always use any lawyer you prefer as long the lawyer is HSBC panel lawyer. So that you can control the charges.
Pm me if you need some lawyer contact.

2)There is too many bankers out there keep telling clients that thier loan package is flexi while IT'S NOT FLEXI loan at all. They just fooling around to get the deal done.
Those top up payment that need to be multiple of XXX or need to inform bank to do top up,ALL 100% not FLEXI loan. It's only normal term loan. Back to 10-20years back you also can top up XXX amount to reduce principle as you wish if you inform/write in to the bank. No different from what your RHB's banker told you as their 'flexi loan'.

Current market only have semi-flexi or full flexi loan that no require inform/write in to perform top up. HSBC HomeSmart is one of the full flexi loan available in the market.

hmm....HSBC can get BLR - 1.9 above ka? maybe i'll drop by..im just worried they will undervalue the property since i dont have a local HSBC attached near the place that i want to buy..

maybank currently offer me 4% 1st 3years...then whole tenue BLR-1.9............

pilot .. check pm if the bank intro suits u with higher % compared to 1.9 ?

tomorrow some hsbc lenglui is coming to my office to story everything i just send a inquiry at their website...reason - wanted someone near my office/a branch that is easy for me... although they are not local in seri kembangan!

HSBC quote me: fully flexi like u guys say
1st 3 year BLR -1.8
4 years> BLR -1.9

monthly need to pay RM10...

this hsbc homesmart plan lying 1 la... i paid the interest from march 2010 for the 1st month,after tat i put all my saving money inside ,its about half of my loan ,but the interest n the every month paying still the same!u say izzit lying us?

How much is your loan amount? and interest charge before and after dump in money?

interest every month is same or installment every month is same?

loan RM166500, BLR-2.05 for 1st yr . monthly payment RM771,b4dump in money=interest RM449.
after dump in money RM86,000 ,interest RM 462.

This post has been edited by mysally: Jun 11 2010, 01:14 PM

@mysally
You need to talk to your loan officer/branch about that and ask them to show me the calculations. I'd do it in a heartbeat.

It can never be the same. I computed based on my own excel and i got the exact interest charges they charged me. So i can say it's not the same. if interest not the same, monthy instalment shouldn't be the same also.

You can pay same monthly installment but if interest is lower, more money goes towards principle. This will reduce the length of your loan.

You check with HSBC.
As far as I know how it works is the interest gets reduced; but principal is the same. So total monthly installment is reduced because of the reduction in interest portion.

Btw, I don't recall seeing "interest" vs "principal" split in HSBC statement.

But from what the bank loan personnel told me, my understanding is the monthly installment is fixed, if the interest charge is reduced because of extra amount of cash in the current account, more portion of the monthly installment will be used to pay the principal, and therefore the loan period will reduced.

Anyone can clarify?

I believe this should be the right method. Monthly Installment will only change if (non-fixed rate loan) the BLR have movements and the bank will recalculate the montly installment so that the loan period will remain as the original loan period. (however some bank got policy where the monthly installment stays the same thus extending the loan tenure)

Putting extra money into the flexi account will reduce the outstanding principle used to calculate the daily interest resulting in less profit charge by the bank when installment is due.

ie:-

Outstanding Principle: 100k
Installment Amount: 1000
If the income earned for the month is 600, then 400 is for the principle paid.

If you put 50k into the flexi accounts:-
Outstanding Principle: 100k - 50k = 50k
Installment Amount: 1000 (remains unchanged)
Since outstanding principle is halved, lets just assume income earned is also halved so it will be 300 then principle paid for the month will be 700.

You can see in your statement the interest charge to you every month. It vary every month because of the daily rest interest calculation. I am using the HSBC smart loan. When I put in more money I can see in the statement it interest reduce.

Wundering how to use the second function? Overdraft means? And why withdraw using overdraft, home loan can be deducted?

I have just applied to the HSBC house loadn this early morning, hopefully nothing going wrong...hoho.

I have one main worry when using this HSBC loan. If we use it for our regular daily expenses and everything, then won't the "loan statement" contain too many things? Later, when we use this loan statement for income tax subnission, will it be a problem? Can LHDN easily seperate the interest portion out?

I personally think its the BEST Home Loan in the Market if you really understand how it works..

A lot of ppl will first look into the "Best / Lowest Interest Rates" in the market...and most of the Conventional Loans will be able to offer Lower rates.

Like I mentioned, though HSBC Rates are not the lowest, if you really study and understand how HomeSmart works..U will save more than those offerring lower rates.

Just my 2 cents

Mind to share how it really works for you?? So far all i do to reduce interest is to bank in my pay into this account to reduce the principle.. Still wondering if there is any other way to save money..

Secondly,, I just got a call from HSBC insurance or sumthing.

Izit mandatory for HSBC Homesmart Loan to purchase the Fire Protection Insurance which have to pay few hundred each year??

Wanna check, do HSBC charge any monthly charge on that "current account" ?

You don't have to purchase fire insurance from HSBC, but you are certainly required to have one to cover the cost of rebuilding or repayment to the bank in the event such incident happens... HSBC has to look for someone to recover their $$ in such event, so it is a must to have it..

Aiyo,, no one ever told me this when i sign for the loan.. So every year have to fork out extra 500+ which have no returns in the end... Unlike insurance still have maturity where can get back the fund we put in...

Hi,

I have a HSBC Homesmart Homeloan. The loan just disbursed last month. Now, receive notice that have to pay interest by certain date every month but no mention of total monthly installment. Does that mean I have to serve interest only??

Some mortgage package, especially for new home buyers, does not allow one to start the repayment immediately. It has a clause to say monthly installment only starts when loan is fully disbursed. So, are you buying new house and has the loan been fully disbursed? If it is, then there is no reason why you cannot start the installment immediately. Do go through your loan agreement thoroughly to avoid makan by these legal loan sharks.

already full disbursements

then.. i would certain visit the branch where you apply the loan or call HSBC rightaway.... serving just the interests is like feeding the sharks...can't be right.

It seems you can make whatever payment amount as long as the minimum interest amount is paid monthly.

I am in condition like you,, however,, have to serve interest already 2 months due to 10k plus for legal fees nt yet release.. Any specific time frame for them to fully downdrawn the loan??

Btw,, constant,, did you hav to pay annually the fire insurance with hsbc as well? I am still wondering if every one with a homeloan pay few hundreds for the insurance without getting back in the end.. Lets say i am paying 500 annually,, after 30 years will be 15k le..

fire insurance, is all gone and 'burnt', like your car insurance.

Yet to be charged fire insurance. Maybe later?

Anyway, had a look at offer letter which clearly stated monthly installment of approx. rm2k. But, just received notice that interest charged will be rm1.4k. Called up call centre and was told that minimum have to pay monthly is rm1.4k. but letter offer say minimum monthly installment is rm2k. Confusing! Anybody can help?

i wud say just pay 2K since it has already been fully drawndown...you have the rights to start serving the principal immediately.

Thanks for the reply ya. Wunder how much insurance untung from this since every house have this but so rare a house got burn down nowadays..

I am getting a property as well so I went to several banks.

The most attractive right now is HSBC and CIMB.

HomeSmart, the mortgage officer should use computer to show you everything and even graph, isnt it?

CIMB has the same thing and additional money on top of your monthly installment goes to principal. This will be shown in your monthly statement. Reason why I chose CIMB over HSBC is because CIMB can evaluate the house at the higher price compared to HSBC - both equally good!

Yes. RM 10 monthly fee for the statment

Is CIMB Loan package full flexi as well? With monthly of RM10 too?

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Added on July 17, 2010, 10:04 amIs CIMB Loan package full flexi as well? With monthly of RM10 too?

This post has been edited by tyuesi: Jul 17 2010, 10:04 AM

I had some really bad experience applying for the HSBC homesmart loan. Maybe it is the fault of the agent handling the case, maybe it is the fault of the backend people, I will never know.

They took 2 months to approve my loan. Even after approval, my offer letter never came. The agent kept telling me that she is waiting for the boss to sign the offer letter (I really have no idea what kind of stupid process they have in HSBC). 3 months after applying- still no offer letter. Agent kept asking me to wait saying that they need letter from final approval officer.

In the meantime, my friend and PBB checked my record in Cyres (is this how you spell it) and told me that HSBC has already recorded a fully approved loan in the system. Again, 4 months later- no Offer Letter. By this time, I have already accrued 1 month of interest. Called customer service, they don't know what the heck is going on. One story from agent, another version of story from the helpline customer service.

Anyway, to cut a long story short, I asked for the loan to be cancelled. Am now with RHB- everything settled within a month although interest rate was not as attractive.

I went to BNM yesterday to check my credit record- and there was the HSBC approved loan remark on my record. Really make me piss off seing the reminder.

Is your HSBC agent a direct agent(working under HSBC) or those mortgage broker?

1 funny thing i encounter is HSBC did not charge me RM10 monthly. 1st few months they charge then they forget all about it.

HSBC is not the best bank, watch out. I am pulling out of HSBC Homesmart.

Today I went to HSBC to get my redemption amount, the bladdy bank want me to fill form and charge me RM50 bucks for redemption report.

This is totally ridiculous.

Last time I just make a phone call to call centre and I can get the redemption amount.

i just apply for HSBC homeloan (not sure which one)..wat's really gud about HSBC is they gv 50% for 1st time buyer like me for legal fees and they can give extra 5% to cover MRTA and legal fees..

If i pay extra Rm100 every month, i can finish the loan in about 28 years instead of 30 years..
the agent might can help/appeal for BLR-2% finger cross


Property Price:165500
Loan:Rm148950 (10% deposit)
MRTA:3881 for 25 yrs (without critical illness-tht's mean my PA must cover Critical illness)
Loan Tenure:30 years
Interest Rate:BLR-1.8% 1-5 years, BLR-1.9% thereafer
Monthly payment:730 and 722 thereafter

This post has been edited by chilskater: Jul 21 2010, 03:35 PM

lock in period
lock in penalty
RM10 charge every month
RM1 sms charge every month
RM50 Redemption report

+ loan statement that you will never ever know how to read unless you are good at mathematics

I have calculated mine, if I continue paying according to their instalment, I will never finish paying after 30 years because the total instalment they deducted is lesser than they suppose to deduct

They don't show you the total amount they deduct so you have to do your own mathematics calculations.

i had HSBC home loan before (many years ago, probably back in 2002 or so) , their deduction detail was clearly laid out in the statement ie .how much is the interets how much is for the principal...).. But then i agree, their loan package is never an attractive one that's why it was my first home loan banker and my last one - mainly due to unattractive package and nothing else.

Need some advice here,, loan had been fully disbursed 2 month ago but visited the bank and they say the loan not fully finalize yet.

Have been paying interest only for 2 months which seems to be just throwing money into no where without lowering the pronciple..

Is there anything i can do? Bank part say not finalise yet but all already paid and the whole process alde completed in june?

I'm in the same ship with you, my final payment has been paid last 2 weeks and this month is the second time I will be paying interest only. The statement they sent to me is like so cheap, half of the A4 paper and with how much interest I have to pay.

Has anyone receive a full statement showing how much interest and principal we are paying? I think I need to call bank.

Lol,, gunblade i do have to agree with you about the cheap statement they sent to us. Half piece of A4 paper and i believe they did call you and tell you tat you have to pay or else will be late payment right.

For the month of june they at least still send statement to me.. I tot to reduce the hassle so i bank in few thousand to put aside in this account.. Best thing is i just realise they just 'take' my money to pay the interest without even issuing a statement..

Anything i can do?? Someone advice??
I went to the HSBC branch(not the one i take loan) and the officer say usually within 2 weeks will finalise the loan but mine alde more then 2 month..

Maybe you can share the chronology of events here. When was ur loan approved, at what stage was your property constructed at that time? My developer would send me a progress statement and the loan will only consider fully disbursed when the progress is 100% and CF issued.

Usually loan repayments will only reduce the principal amount by 30% while the remaining 70% forms the interest. That's why at the end of the every home loan tenure, the bank would have earned double your loan amount.

My chronology is that house is a subsale and is completed long time ago. I shifted into this house right from the day the bank releases the loan and the lawyer deliver the vacant possesion. However, the bank claim that they not yet finalize it after 2 month. Anywhere can i complain? Go to the bank and make noise?

What I can say is....

Today HSBC people calling me for not pay my monthly loan payment...

I said I pay it one week ago. And they said might be I miss pay into Credit Card account.

After check, yes I miss bank in the account....

It has over due for 5 day for the bank housing loan..

Finally I need to pay these 5days interest rate for a total RM231.02

My monthly loan payment is only about RM630.00

This post has been edited by andygen: Dec 22 2010, 04:40 PM

Just request the calculation of the interest from HSBC. And you'll see how the RM231.02 come from.

I am also very upset with HSBC. Their inefficiency in disbursing my home loan to developer caused me to pay the developer late payment interest.

Furthermore, it is so difficult to call them on the General Line. I opened my Homesmart account at Puchong branch. The telephone number is 03-80738800, but if you call this number, the answering machine will ask you to call 03-20507676.
If you call 20507676, it is an inactive number.

HSBC is not efficient.

This will be the last bank I will introduce to others.

Anyone has anything to share?

I have HSBC homesmart account which combine my deposit account with my home mortgage, does anybody here have same homesmart account like me? I just want to ask about how exactly they calculate the interest paid monthly and how they reduce withdrawal limit, from what understand for this kind of home loan (flexi), the more u deposit less interest you'll pay and your monthly payment will go more to reducing the principal rather than serving the interest but what i experienced is inconsistent, sometimes i deposit more but more interest i have to pay for the month and sometimes when i didn't deposit much less interest is paid, very confusing, and i also want to know how much the principal is being paid from my monthly payment,

---

Added on April 6, 2011, 10:30 pmafter reading all the post i just realised that they only deduct monthly interest from my account, how to know if the principal is deducted too or all this while i just feeding the bank without paying principal at all, shocking!!!!!!!! for your information my monthly payment is rm770 but so far they didn't deduct rm770 but varied amount every month, can anybody tell me do all this while i just paying the interest without reducing the principal?? help me!

This post has been edited by Molotov Cocktail: Apr 6 2011, 10:30 PM

actually they calculate the interest daily.. so your interest per day will vary depending on your account balance. Then all these interest will be added up and deducted from your account monthly...

and for whether they deduct your principle, you will need to check your loan doc.

On the first drawdown of my first property they were late in paying it and the developer charged interest of a few hundred ringgit. I notified HSBC through calling them and a couple of weeks later they apologized through written letter and they said they will pay for it.

I have it black and white.

But ever since then, no problem in other drawdowns.....

Only thing I dislike is their home loan charges RM10 every month. But I guess that's acceptable for such a flexi home loan account.

hi, i just got my loan approved frm HSBS Homesmart with blr-2.45 for 32 years for 450k of loan. Is this a good deal, besides that i got UOB approved as well for blr-2.4 for 30years for flexi mortgage with OD facility. I am wondering which one is good now.

Hope that you can help me here. Thanks!

did anyone know about this homesmart plan ? we compulsory to buy their insurance
and the problem was my condom already have fire insurance and the sales person told me that HSBC is HomeOwner insurance which are totally different and i will not get my refund(HomeOwner insurance)..

Anyone have this experience also ?

---

Added on November 12, 2011, 8:17 pmdid anyone know about this homesmart plan ? we compulsory to buy their insurance
and the problem was my condom already have fire insurance and the sales person told me that HSBC is HomeOwner insurance which are totally different and i will not get my refund(HomeOwner insurance)..

Anyone have this experience also ?

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Added on November 12, 2011, 8:18 pmAlthough they might have better rate but my case they deliver the loan late and cause me interest from another bank (I'm refinance)

and their customer services is very bad , i need to visit a few branch to get my answer and the answer is "please goto your loan branch"

This post has been edited by mghong: Nov 12 2011, 08:18 PM

Why ur condo got extra "M"?

I think other bank compulsory need to buy fire insurance. It is their bank policy.

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Added on November 12, 2011, 9:36 pmTake HSBC Amanah, better package in term of stamp duty.

This post has been edited by Seremban_2: Nov 12 2011, 09:36 PM

So many ppl confusing with HSBC flexi loan...now i'm worried.

They just make it complicating, demanding and good at complaining.

Don't worry.

We all know Condo management will buy a group policy for us and most of them are fire insurances which only cover fire damage.

But HSBC takafu is selling homeowner which is more comprehensive (flooding!!! , storm!!, theift etc..)

How you think ?

Does anyone have a calculator to use for calculating the homesmart interest charges (must include flexi in/out cash calculations)? I've been trying a few online/my own calculations but can't seem to get the same amount as in my statements.
Thx

I have never tried to calculate my interest, but I agree with all previous poster's complaints. After my own experience, I would say HSBC is crap (and a crook too). Worse is the 'Relationship Manager' whom I used - arrogant like shite but definitely performed much worse than those from other banks.

Can someone please help advise on this?

So if I have taken up this Flexi loan, say RM200k, and within the next few months re-paid in full amount. That would leave ~RM200k balance that I'm free to withdrawn, plus no interest chargeable.

The questions are:
1) How does the monthly installments work then? Is it still needed to pay every month? That will bring the account to a positive value, with the extra amount not interest payable (as compared to putting it in FD).

2) If the loan tenure is for 30 years. Any problem to just leave the amount there for like 10 years? Lock in period before redeem title is 5 years.

To answer your questions.
If you have repay your loan amount in full, you do not need to pay the monthly installments after that.
If you the extra cash, might as well put in FD, invest in other, etc. As putting extra money into the flexi account does not generate interest.
You could leave your flexi account for the duration you want. Just that there is a monthly charge of RM10/ mth.

This is just from my own experience of using a Flexi loan

If u have extra cash eg. RM100k, u can put it into this flexi loan. It will help reduce the principal which in turn helps to reduce the interest that needs to be paid during the tenure. At the end, u might shorten your loan period from 30 to eg. 15 yrs without u knowing it.

Thanks. If that's the case, I can just transfer the entire sum of money, plus a little to cover the month RM10 for some period.


Thanks. This, though, I'm aware. I was just wondering what happens when all RM200k is thrown into the account.

It works the same way. The bank would deduct a min of 100-200 monthly & this will direct deduct your principle. Not sure how they calculate this small amount but this is what I have experienced with StandChart with all my saving thrown in which is equivalent to the outstanding loan amount.

I was away and late to read this. But thanks for your comment.

This post has been edited by harpyboy: Jan 22 2012, 06:31 PM

It's better to put ur saving in flexi account than putting in FD... My personal opinion.

Flexi loan, u save ~4.5% interest which shortens ur loan. FD gives u less than 3% interest if I can recall correctly.
So it really depends on ur long term goal and what do u want to achieve eventually.

Surely, definitely..

Many people thought "full flexi" is a very pretigiuos word or loan, but u end up paying monthly RM10 each mo th, just for the extra convenience of withdrawing money installments by writing yur own cheque book...realitically how often do u withdraw per year? In just 5 years u end up payung total of RM500 for a facility that u hardly use...plus, i beieve that if your Flexi account stays open, in CRISS u would still have one housing loan, even if u had fully paid

Actually with just RM3k in the a/c, it's already enough to contra the rm10 monthly charge (assuming current BLR-2.3). Do bear in mind the interest saved is calculated daily. Any amount stays in the a/c (eg. your direct auto-credit salary) will help reduce the interest. In long term, this is something you won't notice. It worked in my case
Of course one can opt for semi-flexi loan but for each withdrawal, bank will charge u RM25 and also 2-3 days notice is required prior to the withdrawal. I will go for full flexi loan for the 1st housing loan. If u have 2nd or 3rd loan, then it would not make much sense to have the same loan type for the subsequent ones.

Interested to know what this means?

Does it mean that if there is surplus of RM3k in the account, the bank will not charge the RM10/mth?

No. What i meant is based on current blr, if u have 3k in the a/c, the interest saved is already rm10. This is enough to cover the rm10 monthly charge.

Semi flexi also interest based on daily rest, pay extra save on interest, but i do agree that its a hassle if u want to withdraw, have to give about 3 days notixe, but some banks only charge only RM10 perwithdrawal

Ah ic. The rm25 was told to me by a neighbouring country owned bank OxBx

hi.. does anybody know if we can withdraw amount more than what we have in the available balance? i heard that you could request for this, and in turn, your loan principal amount will be added with whatever amount you withdraw..?

Different interest rate will be charged I think - this is called overdraft?

If you put in the full principle loan amount into your flexi account, the installment amount is still the same. Meaning they will still deduct the same installment amount from this account to pay off the loan account. Just that no interest is charge. That also mean that the 200k will reduce every month so depending on when you want to make a withdraw, the sum may not be 200k anymore. If and when you do make a withdrawer, they will start charging you interest based on how much you took.

This is for full flexi account. If you do the same for semi-flexi, I think they will consider you fully repaid and charge you early settlement penalty if there is a lock in period

This post has been edited by idoblu: Feb 2 2012, 07:35 AM

Guys/Gals, just sharing what I found, some of you already know this, so you can skip this post .

I was trying to find out how they calculated the monthly interest for Homesmart. So I went to HSBC to get the calculations and found an Overdraft Excel calculator that gives the same results. You can download the calculator here:

http://www.bebas-hutang.com/overdraft-od-calculator/

The Monthly interest is calculated base on the account balance(OD) at the previous months interest deduction date. So putting the extra money a day before they deduct the interest has the most effect on the next months interest amount( e.g. based on loan amount of 300k, an extra 3k in the account saves u ~150 in next months interest charge). Putting money in/out between these dates doesnt make much difference.

Sorry if my explanation sounds confusing. lemme know if you are not sure how to use that excel calculator.