SIBOR rates and home loan repricing

[Showster]

Let's just say I know other banks that don't resort to that even though the clause is there. 

 

I don't know how to make money lah, only know how to step on mouse traps.

 

If they are actually trying to "frighten" people to convert , they would have done it long ago.

 

Bank strategies has being laid out long long time ago and any hikes in interest would long be discussed in meetings with the policy makers.

 

For your info , this clause is already around more than 15 years ago. Only local banks try not to adjust for various reasons. Revaluations and hiking of interest rates without notice has being around long long time ago.

 

In loan agreements, the parties are free to insert an interest rate adjustment clause that entitles the bank to step up interest rates following an increase in refinancing costs.

 

It would be silly for someone which is above 35 to even blame the two banks in the picture for doing such a thing when you will be aware that such a thing actually happened before. You know how to make money , the banks don't? Try telling the petrol companies not to charge so much on petrol despite the low crude prices.

 

Anyway what do a table wiper know , u guys should do due dillengence and do your own knowledge finding.

 

[CH_CO]

Let's just say I know other banks that don't resort to that even though the clause is there. 

 

I don't know how to make money lah, only know how to step on mouse traps.

 

Let's just say , they don't do it to normally but always put a nail in the coffin to the ones which needs it.

[Showster]

I see. No wonder it did not happen to me. I just read about it.

 

Thanks for affirming.

 

Will make a mental note to inform you if it happens. 

 

 

Let's just say , they don't do it to normally but always put a nail in the coffin to the ones which needs it.

 

Edited November 26, 2015 by Seohster

[Lala81]

i switched to a floating loan based on sibor just last month. Cos the bank I'm with uses a board rate for their "fixed" loan. 
Anyway the repricing of a fixed loan after 2-3 years tend to be more expensive than even my current loan.

I'd rather take a more transparent loan pegged to SIBOR.

[Showster]

:)

 

I sense an expert who is keeping very quiet and very still.

 

Well done. Great choice, even though you just can't shake off the insecurity I admit. In other words, got to pay more to get the sense of security that OCBC heads are "selling". 

 

 

 

i switched to a floating loan based on sibor just last month. Cos the bank I'm with uses a board rate for their "fixed" loan. 
Anyway the repricing of a fixed loan after 2-3 years tend to be more expensive than even my current loan.

I'd rather take a more transparent loan pegged to SIBOR.

 

[Lala81]

:)

 

I sense an expert who is keeping very quiet and very still.

 

Well done. Great choice, even though you just can't shake off the insecurity I admit. In other words, got to pay more to get the sense of security that OCBC heads are "selling". 

 

no expert lah. just that my loan is not high quantum, so no attractive rates available. And I'm still stuck with the bank until next year or else i need to payback the legal subsidy i got earlier on.

 

Just trying to ameliorate the initial mistake i made in 2010. That time noob and i was really rushed for time, so signed up without knowing what questions to ask. Thought i knew enough when i made the decision, but in retrospect was a poorer decision.

 

My quantum is not huge, so not a biggie lor.

The finance girl strongly suggested i reprice back to a fixed rate (which I'm already on)

But after discussing with my sister and my wife, decided to reprice to a floating pegged on SIBOR.

[Showster]

I see.

 

买定离手。。。

 

We will see whether OCBC heads were playing truth or dare with the outcome in a year's time.

 

no expert lah. just that my loan is not high quantum, so no attractive rates available. And I'm still stuck with the bank until next year or else i need to payback the legal subsidy i got earlier on.

 

Just trying to ameliorate the initial mistake i made in 2010. That time noob and i was really rushed for time, so signed up without knowing what questions to ask. Thought i knew enough when i made the decision, but in retrospect was a poorer decision.

 

My quantum is not huge, so not a biggie lor.

 

The finance girl strongly suggested i reprice back to a fixed rate (which I'm already on)

But after discussing with my sister and my wife, decided to reprice to a floating pegged on SIBOR.

[Lala81]

I see.

 

买定离手。。。

 

We will see whether OCBC heads were playing truth or dare with the outcome in a year's time.

 

 

my personal gut feel is that the Fed will not be as aggressive as what some of the bears expect over 2016.

 

When sibor rose up past 1%, the local banks were very aggressive on locking people into fixed rates. But I'm just a contrarian.

[Ken138]

Better use industry wide sibor which is transparent than some board rate set up by banks .

Remember that banks are out there to make $$, and more $$ !

They will up rates once you get hook and there is nothing you can do about it !

If possible lock in some fix rates.. Believe recently there bank offering fix rate of 1.68% 2 yrs !

DYODD n Gd luck

Spore MAS already jumping ahead of interest rate curve n encourage higher rates lor.. Banks making more $ !!

[Showster]

Sometimes hard to say with MCF bros also.

 

They say small quantum maybe is 4, 5 million kind.

 

Haha...

 

my personal gut feel is that the Fed will not be as aggressive as what some of the bears expect over 2016.

 

When sibor rose up past 1%, the local banks were very aggressive on locking people into fixed rates. But I'm just a contrarian.

[Lala81]

OCBC is bear mode on the home loan markets for a while liao.

Their valuation, interest rates are all exceedingly conservative compared to the other banks.

[Pinobii]

Actually when i read the news, i cant believe they are talking about a raise when us have been holding back on interest rates hike

 

Maybe when times are bad, banks try to collect more interest to counteract bad debts?

[Lala81]

Sometimes hard to say with MCF bros also.

 

They say small quantum maybe is 4, 5 million kind.

 

Haha...

 

 

i stay in boondocks BTO. 

Definitely not high quantum.

Anything above 1 mil to me is high quantum.

[Showster]

Your bto sounds atas. Local? 

i stay in boondocks BTO. 
Definitely not high quantum.

Anything above 1 mil to me is high quantum.

 

[Lala81]

Your bto sounds atas. Local? 

 

? boondocks how to be atas?

 

 

Boondocks

The boondocks is an American expression that stems from the Tagalog word bundok. It originally referred to a remote rural area, but now it is often applied to an out-of-the-way city or town considered backwards and unsophisticated.

[Showster]

I am almost 100% sure they will raise once in Dec 2015. For market confidence. After that, anybody's bet.

 

 

 

Actually when i read the news, i cant believe they are talking about a raise when us have been holding back on interest rates hike

Maybe when times are bad, banks try to collect more interest to counteract bad debts?

 

[Pinobii]

I am almost 100% sure they will raise once in Dec 2015. For market confidence. After that, anybody's bet.

Why huh?

[Enye]

Got an mcf expert advised full cash for home

 

But peasants like me can only go for hdb loan

 

Banks don't even wanna lend me money