The loan with current account will be Flexi loan, you can save alot of interest by just putting in your extra cash flow and will reduce alot in the interest. This flexi loan is the most popular loan type for current market.

The different between normal term loan and flexi loan is that you can put in extra money anytime without any troblesome letter or notice in flexi loan. And also you may withdraw the money anytime without any charges. As the interest will be calculate base on daily basic, If you put in RM100 for 1 week in the current account, you will save RM100 interest for 1week.
You cannot do this in the normal term loan.

Althought normal term loan you may also dump in extra money as u wish, but you will need to notice the bank and tell them clearly that the money is use to reduce principle, this is very important and if you didn't do this, the extra money you put in will be just park at side and use as advance installment for coming month.
Summore if you've already dump in extra money in normal term loan account, when ever you wan to withdraw the money, you need to inform the bank few days earlier and will be charge around rm50 per transaction/withdraw.

The rate between this 2 type of loan is only + - 0.1% to 0.2% only, normal term loan will have slighly better rate compare with flexi loan.

Please take note that even some bank say that their loan is semi flexi, its just a normal term loan that no need you to inform bank to reduce principle when you dump in extra money. When you need to withdraw the extra money, the bank will still charge you per transaction.
That''s why those semi flexi loan interest is same like normal term loan.


If you are the type of people that every month earn RM5k, then spend RM5k also, i will sugest you just take the normal term loan. Simply because you will no gain or save anythings when you use flexi loan. just take the normal one for the slighly better rate.

If you are the type of people that every month earn RM5k, then spend RM4900 or lesser, then you can go for flexi loan. This little money you saved every month will help you reduce the interest by alot.

For which bank is better, it will need to consider alot like your loan amount, which type of loan you prefer. For flexi loan, its better to choose those bank that convenience to you as you might every day or week go bank in your extra cash to save interest.

Sometimes, the 0.1% or 0.2% is not that really important, more important is the bank service and most convenience to you.

Flexi or not, it's very important in managing your cash.

Yes, you may dump more for first payment, thus lower loan amount and lower interest accur.
But. you dump in more, mean you cash flow is lesser, what if you found a a very good investment? You'll have no cash to invest and you can lose more money from that. Cash is most important nowaday.

If you have cash, why not you just use the flexi loan and dump into the current account? same interest count to you also. But i will have the ability to use the cash anytime i wan.

About the tenure, i personally 100% support you to take longest as you can, why?
If you take flexi loan, longer tenure mean lower installment. mean you can pay the lesser minimun amount every month.
Yes, of cause if i take 30years tenure, interest will be alot higher. But flexi loan allow you to dump in more every month right?

If you put in same amount of money like 10years loan every month, you can also finish your 30years loan in 10years and even shorter.
And even better, you have lower commitment if you take the 30years loan, i have the flexible to pay the min amount, or same with the 10years amount.
If i choose for 10years loan, you have no choice to pay lesser, you need to pay the same amount for 10years.

Just that you haven't discover the powerfull of flexi loan. Doesnt mean it's the same. It's a very big different in interest saving and cash flow management.

That's common to get this rate in current market. Is your package is Zero Cost or Non Zero cost? No need to worry so much. Just go throught the Lock In period (normally 5years), Penalty charge if early settlement (normally 3%)

Zero Cost mean bank wil bare all the legal fee cost.
Non zero cost mean you need to pay legal fee or finance into the loan.

Non zero cost will offer better rate compare to Zero Cost

If you dun mind, you may pm me which is the Bank 2