I hv wrote a interest rate revision request letter to AmBank, to reduce interest rate for home loan, which is quite high compare to current market, BLR + 0.1%. Total loan amount is about RM200k, and I am in the 3rd yrs of repayment.

The offer they gave me is BLR - 0.75% (Acceptance within 15 days)
or BLR - 0.50% (Acceptance within 30 days)


But the problem is they revise the lock in period to 5 yrs start from the date of letter issue, and increase the min penalty from RM5000 to RM8000.

Don't really think it is a good deal, i think i would rather pay for another 2 yrs+ then switch to another bank or do the refinancing directly. Any advise?

not ideal if you ask me, considering the latest i heard is blr - 2.3%.

have you done your calculations of the money saved if you refinance with another bank now?

Bro,

you're not alone. I'm also having headache now. The new home loans are just incredible....BLR -2% or more for whole tenure! And I thought that 3 years ago, BLR +1% was lowest it can go! Sigh, I have one loan with BLR +0.75% locked in till March 2009 and another one BLR +0.5% locked in till 2years more....best rates at that time.

I just heard that a local bank is offering BLR -2% with Zero Entry and they will absord all costs(including penalty) for refinancing! I am in the midst of checking it out(I'm sure the terms like lock in will be long etc). I will post more info here when I get it. Hopefully, those with more info can share here too.

cheers,
minolta

Sure, so far i have checked with Public bank and Alliance bank, they hv Zero Entry package, but it is not include the penalty. Will let you know again after i check out from other bank.

Nope, don't think it's a good deal. Surely Ambank can go lower than BLR -0.75%, but maybe they know you are still within lock in period so they don't give you the best rate. Perhaps go and talk to their customer service agent directly and nego some more. Tell them if they give good rate you will stay for long term otherwise in 2 years you will abandon them.