solved

This post has been edited by seesawseen2k: Feb 28 2011, 12:09 AM

CIMB one is flexi loan

assuming the packages are similar, you would next have to look at the service provided, not just by your loan officer, but also by the bank in general.

some banks get your loan approved within a few days, but then take 3 weeks to sign the loan documents. this is where you end up paying interest to your seller because of the delay.

perhaps those with experience with these banks can help out. for me, i find that cimb is quite fast. only problem is contacting the person handling your documentation - there is no direct number, only a toll-free general line.

If you plan to shorten your payment period for the same installment per month, take UOB.

They allow you to do payment weekly (auto payment) to reduce your interest rate and for a 25 years loan, the loan will be finish in around 21 years. Other bank's auto payment mechanism normally only allow you to set up monthly payment.

"Flexi loan" where it is linked to a current account where the money in the current account will be used to reduce the interest rate. Good if you have extra money and want to reduce the interest, but don't want to use the extra money to reduce the principal sum. Some bank charge a RM10 per month fee for this linkage. So think and choose what you need carefully.

This post has been edited by clieman: Sep 24 2008, 12:54 AM

I will take that into consideration!
thank you

I'm using UOB for my home loan.

What I like is their flexi payment (I always pay 25% extra every month)...

It also helps if there is a branch nearby where you live... No point wasting your time and petrol driving to the bank that's far away.

Also check on the availability of 24hr banking... my experience with CIMB Bdr Puteri Puchong is the Cash Deposit ATM on several occasions is down

Can you image the penalty for late payment

My opinion,

Weekly payment to UOB with same amount of installment per month.
Example, installment per month = RM1000 ,so weekly will be RM250

Auto payment mean u need to put extra money earlier in account,then let it auto debit to loan account. Will the extra money reduce interest?

Or,
If you didn't put extra money earlier, you go and pay excact amount weekly to account in UOB, Why cant you pay weekly also to CIMB flexi loan?
I'm sure both account will cut of the tenure in same time (if both same interest rate)

As mortgage loan interest calculated daily rest, both will have the same interest reduced if you pay weekly to both bank.
Flexi loan even let u to pay daily also,it can even save more then weekly payment,but i think no ppl will like to go bank for payment everyday.

I would think so. But the spreadsheet prove me wrong, or the spreadsheet is wrong?

I attached the worksheet and you can comment on it.

[attachmentid=606785]
p/s if the attachment was downloaded as index.php please rename to .zip file to open it.


This post has been edited by clieman: Sep 26 2008, 10:20 AM

UOB auto payment will deduct from ur acc every week...
CIMB u need to go bank..bank in money every week for 21 years..(52 week x 21 years)...all ur time and petro end up same already

sry but i cant open that file,may i know that spreadsheet is what format?
not unzip,is the spreadsheet file.

The spreadsheet is Excel Spreadsheet zipped. When you click on the link the system will ask you to save and you can enter "anything.zip". Then unzip the file to get monthly_payment.xls

Does UOB charge RM10 to reduce the principal sum...?

Just asking coz I don't have to pay fees when I bankin extra sums which is a plus point for UOB

This post has been edited by aaronpang: Sep 26 2008, 03:22 PM

I think you still not understand how the flexi function.

Yes UOB will auto deduct from your acc weekly.
But is that mean you need to put extra money earlier? So that you no need to drive to the bank every week.

So my question, will that extra money reduce your interest?
i'm not sure for UOB, but if CIMB is flexi, then CIMB 100% will save interest with the extra money.


Why you need to go CIMB to bank in money every week? Flexi loan mean you can bank in anytime.
If you can pay extra to UOB, why not pay to CIMB also?
You no need to bank in weekly to UOB because u pay EXTRA money in account first,then only let UOB to debit it weekly, am i right?

So, My Reason Why Flexi is better,

UOB ,weekly payment

I Simplified the calculation for easier understanding,
RM100k loan, RM1000 monthly installment, RM250 weekly installment
You put 1 month (RM1000) installment,let UOB debit every week

1st week RM100,000 - RM250 = RM 99750 x interest = RM X1 (RM750 extra in bank)
2rd week RM99750 - RM250 = RM 99500 x interest = RM X2 (RM500 extra in bank)
3rd week RM99500 - RM250 = RM 99250 x interest = RM X3 (RM250 extra in bank)
4th week RM99250 - RM250 = RM 99000 x interest = RM X4 (RM0 extra in bank)
Total interest = RM X1 + X2 + X3 + X4


CIMB Flexi Loan, You put 1month (Rm1000) installlment too

1st week RM100,000 - RM1000 = RM 99000 x interest = RM X4 (RM1000 extra in bank)
2rd week RM100,000 - RM1000 = RM 99000 x interest = RM X4 (RM1000 extra in bank)
3rd week RM100,000 - RM1000 = RM 99000 x interest = RM X4 (RM1000 extra in bank)
4th week RM100,000 - RM1000 = RM 99000 x interest = RM X4 (RM0 extra in bank,because of monthly payment)
Total interest = RM X4 + X4 + X4 + X4

With extra RM1000 cash liquidity for emergency use for 3 weeks,
Plus interest reduce more then weekly payment,
Which is better?
Which will save more?

Can anyone tell me is UOB also flexi in this case for the weekly payment? cox i'm not sure about UOB
If UOB is also Flexi,then it's different story and calculation.

---

Added on September 26, 2008, 4:03 pmi cant open it,it said file corrupt.
Can double check it or anyone else opened it?
Maybe is my software problem

This post has been edited by onnying88: Sep 26 2008, 04:03 PM

AFAIK there is no charge for principal sum reduction.

All payment to the housing loan account will be used to deduct from the principal sum. The bank just "add back" the interest charge at the end of the month.

This post has been edited by clieman: Sep 26 2008, 07:20 PM

I am wondering is your a normal term loan package or a 'flexi' package
Nowadays whatever package you choose, you get to make extra repayment. But the problem comes when u wanna withdraw it. RM50 charges and 2 days notice
And yeah, no monthly charges for those normal package.. most bank charge rm5/10 for their flexi package

And... foreign bank.. no other monthly hidden charges?

Flexi refers to
- Redraw options
- Prepayment options
- Cheque Book facilities
- 2in1 or even 3in1 (Sav A/C, HL A/c, Current A/C)

most ppl got wrong perception of 'flexi' loan

even my uncle told me that flexi means u can pay extra & withdraw anytime...

but when joined the mortgage line.. hey man... all loans allow you to pay extra & withdraw now.. thats what us consumers wants..


Most important thing to know whether there is
- monthly fees
- yearly fees
- setup fees
- commitment fees
- & what so ever fees.... a lot of terms in the market..
- turnover time for withdraw & options available
- Is written notice required prior prepayment
- maximum prepayment allowed
- minimum prepayment amount....

and the list goes on

Both CIMB and UOB have full flexi package and to cut the story short, it's always better to go for Flexi if you have extra cash every month. Nevertheless, you should also consider HSBC which provides excellent service and rates. If anyone is interested, feel free to PM me as my friend is an HSBC banker

But refer to clieman case that UOB with weekly payment, is that flexi loan?
If it's flexi loan,what's the point for weekly payment?
Any UOB bankers here can clarify it?


Currently i think the best rate is from Standard Charted Bank.
They offer up to BLR -2.8 Whole tenure for flexi loan.
Any bank offer better then this?

This post has been edited by onnying88: Sep 26 2008, 11:38 PM

Are you serious? I work for Standard Chartered Group and I don't think their rate is ever competetive at all. You have to look at the terms and conditions plus it isn't that straight forward I'm sure. The last time I asked, margin of financing is only 80-85%

Ya, i'm serious. I have the same response as u when i know it.
Of cause it's non-zero package, 8years lock in
Althought with such term and condition, i feel that it's fair enough and very attractive rate.

imagine current BLR -2.8 = 3.95%
FD rate from 3% - 4%
Bank earn 3.95% and pay FD interest as 3%+
I also wonder how the bank gonna survive and earn.

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Added on September 27, 2008, 1:11 amThis is what i get from your spreadsheet


Monthly Payment vs Weekly Payment
4.75% Rate
30 Tenure
1 No of payment per month
300,000.00 Principal
($1,564.94) monthly

no of payment ---- yrs ---- dif in month ---- dif in year
360 ---------------- 30 ----------------------------------------------- monthly
356.9 ------------- 29.7------- 3.1 ------------------ 0.3 --------- monthly at beginning of month
1320.3 ------------ 25.4------- 55.3 ---------------- 4.6 ---------- weekly
660.4 ------------- 25.4 ------- 55.2 ----------------- 4.6 -------- fortnight


Monthly Payment vs Weekly Payment
4.75% Rate
30 Tenure
1 No of payment per month
$298,435.06 Principal
($1,564.94) monthly

no of payment ---- yrs ------ dif in month ------ dif in year
352.8 -------------- 29.4 ------ 7.2 ------------------ 0.6 ------------ monthly at beginning of month + on month extra


It's just show the different of payment method by monthly and weekly and the time saved
So it's normal term loan with weekly payment or flexi loan?

If i'm not wrong,i assume your's is normal term loan with weekly payment
YES, i have no doubt it will save tenure and interest,i even show the simple calculation on previous post.
But the shorten tenure is compare with normal term loan with monthly payment.

If compare again weekly payment with Flexi loan,
Flexi loan will even shorten more, as shown on the previous post too.

This post has been edited by onnying88: Sep 27 2008, 01:34 AM