That is flexi loan & RM10 is the admin fee. I dun see what is your problem since u have cash in current acct to offset your current loan capital hence save the interest. when the loan is full release, u definitely need to start monthly installment unless u pump in RM15K in your current acct again & make your outstanding principal becomes RM0, then u save interest again, otherwise u need to pay installment but they will only charge you interest based on RM15K, so u will slowly settle your balance principal also. So, whenever u have extra money, put in your current acct, u save interest. When u save interest, the % of your monthly installment for pay off capital is higher & u can settle your loan early.

I just signed the refinance contract today with HSBC, i took loan from HLB also but the interest was BLR+0.25% (6.2%) & HSBC offers me BLR-1.85%(4.1%) with zero entry cost, I save 2.1% every year.

My current bank loan is HLB, I wrote in to request them to revise my int rates so that I stay in HLB but they said they can offer me BLR-0.5% (existing is BLR+0.25% after 3 years). I am a good paymaster, I even have advance payment in my loan account, i dunno why they dun retain good paymaster since other banks are offering low rates & HLB also offers low rates to new customers...

I did call to SCB for refinancing & it was my first choice. But SCB told me that the current rates is BLR-1.65%, there was a package BLR-2% (ZEC) but the promotion ended on 24/1/2009, I wonder why u managed to get such offer - 2.2% (ZEC). My lock-in period is until May 2009, SCB told me that I can't apply too early coz they must release money within 30 days after approved but I have to pay penalty RM8K+ if refinance b4 lock-in period. They asked me to apply in April 09. I am worried no more low rates later coz a friend of mine who works in OUB asked me to refinance fast coz the banks might pull back the rates BLR-X.X% coz that was actually the rates b4 BLR reduced to 5.95% from 6.75% coz banks make less money now. HSBC said they can hold the money for 12 months, that's ok for me coz I can ask them to release money on May & no need to pay penalty.

Anyway, I am satisfied with BLR-1.85% if compared to my current rates BLR+0.25%. If compared to your rates, I pay extra RM350 per year on interest if based on RM100K principal but I can save RM2100 per year if compared to my existing HLB rates

I dun think I can pull back from HSBC coz already signed the contract

Anyway, will advice my friends if they r looking for refinancing, go to SCB

Do u mind to share with us what u mean by "to pull some string"? -1.65% is std rates at the moment but they said once approved than can appeal, as u said, can go to -1.8%. That's why I signed with HSBC -1.85% although the diff 0.05% doesn't save much with small loan amount.

As for HLB, if I am not mistaken, they offer -2.3% for residential loan amount more than RM400K or what but my loan amount is below 200K.

Anyway, great to learn more from u, at least I know what to do if refinance again next time. Just to share with u, I plan to settle my loan within 5 years from now provided my co. still doing well & no retrenchment

Thanks guy.

I loan RM180K, if u loan more maybe can ask for better rates.



now bank is very clever now, they dun give u a copy of offer letter coz I asked & they said they dun give a copy until we sign it coz a lot of customers take the offer letter to ask for better rates from other banks.

I took one week to compare the rates between banks & used less than 2 days to make decision coz my co. is not doing well, I am afraid they will retrench ppl. If I am in the list then I will be jobless, no bank will give loan to someone who is jobless. My friend who is working in OUB told me that bank is now very strict when giving loan to customer especially those who is working in manufacturing field.

Anyway, u have given a good tip for those who wants to refinance. Since your wife is working in bank, she shld has "staff rates", right?