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Thougt i start this on loans now and to monitor as well rates for vehicles and perhaps houses.

 

One thing that got me thinking is that loans form a core business with the legal ah longs...er banks.

 

One post i rem jamesc posted is that one ahs and shd be considerdd prett high on the list to be given a loan. Criteria? Choco can u elaborate? how does the bank deem if one is worthy or not?

 

Lets keep tis academic and focussed so ppl can discern n think of their own ability or liability before taking a loan.

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To those who do not believe in loans and only pay cash, kindly refrain from from posting lest you get tempted to only talk abt te disbenefits of loans. I will not hesitate to issue cards regardless!

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To those who do not believe in loans and only pay cash, kindly refrain from from posting lest you get tempted to only talk abt te disbenefits of loans. I will not hesitate to issue cards regardless!

 

steady la...

 

Trottle...in your face!

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steady la...

 

Trottle...in your face!

 

Fo breinhero with nonsense in this thread, congrats on card 2

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what are the possible avenues for finance companies to increase loan amount? car dealers partnering finance companies ? there are industrial machines leasing...how about for cars? maybe 8 years lease, and final last 2 years buy out (residual value)?

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Straight to the point, i like this style. Can someone advise me what is the interest rate for housing loan now? What are the different package available from banks? Is it wise to switch from HDB to bank loan?

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Ya....i need to know too....to leverage on better offers

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Straight to the point, i like this style. Can someone advise me what is the interest rate for housing loan now? What are the different package available from banks? Is it wise to switch from HDB to bank loan?

i got from DBS in Jan 2013, 1.68% fixed for 5 years.

 

At that time, Citibank offers 1.38% fixed for 3 years. I think both DBS and Citibank package stillavailable. I didnt consider variable SIBOR pegged package even when i can save 0.4% per yeardue to personal view that interest rate hikes next year will be steep... also no more legal subsidies from banks, everytime refinance with different banks will incur legal fees around $3k and valuation fee another $300-1000.. no pointmove qaround too much.

Edited by Chucky2007

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Straight to the point, i like this style. Can someone advise me what is the interest rate for housing loan now? What are the different package available from banks? Is it wise to switch from HDB to bank loan?

for your Q on HDB loan switch to Bank, right now.. u may have missed the low interest for past 3-4 years. The rate might go up any moment next year to above 2% anyway. If i am having a HDB loan now, i will stay put with them. Somemore now no more valuation orLegal fee subsidiesfrom banks, so other than the interest saved, you have to factor in legal cost which is around 2k for HDB.

Edited by Chucky2007

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i got from DBS in Jan 2013, 1.68% fixed for 5 years.

 

At that time, Citibank offers 1.38% fixed for 3 years. I think both DBS and Citibank package stillavailable. I didnt consider variable SIBOR pegged package even when i can save 0.4% per yeardue to personal view that interest rate hikes next year will be steep.

 

My current loan with HDB will end in 3.5 yrs time. Do you think i can refinance with private bank and only take 3 yrs loan? Toying with the idea of saving a few K in interest.

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Fo breinhero with nonsense in this thread, congrats on card 2

 

alamak....but truth be told...i have been behaving right?

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i got from DBS in Jan 2013, 1.68% fixed for 5 years.

 

At that time, Citibank offers 1.38% fixed for 3 years. I think both DBS and Citibank package stillavailable. I didnt consider variable SIBOR pegged package even when i can save 0.4% per yeardue to personal view that interest rate hikes next year will be steep... also no more legal subsidies from banks, everytime refinance with different banks will incur legal fees around $3k and valuation fee another $300-1000.. no pointmove qaround too much.

 

 

Good info...but will they change so often?

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for your Q on HDB loan switch to Bank, right now.. u may have missed the low interest for past 3-4 years. The rate might go up any moment next year to above 2% anyway. If i am having a HDB loan now, i will stay put with them. Somemore now no more valuation orLegal fee subsidiesfrom banks, so other than the interest saved, you have to factor in legal cost which is around 2k for HDB.

 

Ai yo....so there is hidden cost. Thanks for sharing this info.

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My current loan with HDB will end in 3.5 yrs time. Do you think i can refinance with private bank and only take 3 yrs loan? Toying with the idea of saving a few K in interest.

bank minimum loan is 5 years. if you left only 3.5 year loan left, your option is to lenghten the loan tenureto 5 years.

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alamak....but truth be told...i have been behaving right?

Who the fark ak u to instigatr?

 

T2 aldy peace and u still put fir....u wan to be under hiuse arrest?

 

Shows ur farking maturity

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bank minimum loan is 5 years. if you left only 3.5 year loan left, your option is to lenghten the loan tenureto 5 years.

 

If i take 5 yrs tenure, will there be penalty if full settle on 3rd year?

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Who the fark ak u to instigatr?

 

T2 aldy peace and u still put fir....u wan to be under hiuse arrest?

 

Shows ur farking maturity

 

ok ok...

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If i take 5 yrs tenure, will there be penalty if full settle on 3rd year?

 

yes...there is cancellaton fee and some admin fee.

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Good info...but will they change so often?

bank adjusted their margin for SIBOR pegged package from 0.65-0.75%+SIBOR in Q1 2012 & before to now 0.9-1.1%+SIBOR since Q3 2012.

 

DBS fixed rate was 1.98-2.28% for 3 years, in 2010-2011 Q4.

In 2012 it was 1.5% fixed 5 years, then package change to 1.68% 5 years in Dec 2012.

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Ok man thks

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yes...there is cancellaton fee and some admin fee.

 

Thanks for the info.

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I do understand that loans are generally base on interest reducing principle and housing loans basically for the first few years, are generally deducting a large proportion for interest while minimum is used to pay for the principle amount (of course loan tenure matters), if so after three years, when you decide to refinance for a lower interest or so, you will find that perhaps a tip of the iceberg of the principle sum is only paid off. Correct me if I am wrong, upon refinancing, the count for the repayment is reset to zero meaning the cycle starts again.

So basically if one keeps refinancing after a couple of years will it not have impact on the principle amount?

I refer to housing loans actually.

Edited by Brendon1980

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For car loan

 

Spoken to a friend who's in 2nd hand car trade

He's saying now maximum can take 80% loan from finance company but that would need a guarantor

 

Btw who are the non MAS regulated finance company?

Edited by Dfx16

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For car loan

 

Spoken to a friend who's in 2nd hand car trade

He's saying now maximum can take 80% loan from finance company but that would need a guarantor

 

Btw who are the non MAS regulated finance company?

 

 

Tokyo leasing, speed credit fr wat i read

 

bmw n merc also

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I do understand that loans are generally base on interest reducing principle and housing loans basically for the first few years, are generally deducting a large proportion for interest while minimum is used to pay for the principle amount (of course loan tenure matters), if so after three years, when you decide to refinance for a lower interest or so, you will find that perhaps a tip of the iceberg of the principle sum is only paid off. Correct me if I am wrong, upon refinancing, the count for the repayment is reset to zero meaning the cycle starts again.

So basically if one keeps refinancing after a couple of years will it not have impact on the principle amount?

I refer to housing loans actually.

 

There may be some impact on your profile, but if you are assuming largely similar parameters, the principal should keep reducing at a similar rate, even if you do frequent refinancings. In fact, if you refinance for a lower interest rate, the proportion of your monthly instalments which represents principal repayments should increase faster as well. The penalties and switching costs (not to mention hassle) will lessen the incentive of refinancing for a marginally lower interest rate but this will depend on a case by case basis.

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