poboxfor 0 Report post Posted November 29, 2010 hi may i check this 3% interest loan... any conditions? like minimum how much to loan and how many years of repayment? Don't think there are any minimum. You can repay up to a maximum of 5 years. You can get more details here: http://www.rhb.com.sg/personal/loans/reno_loan.html For anyone who is interested, for the fix interest rate, the Effective Interest Rate (EIR): 1) For 3.22% is 6.21% 2) For 3.0% is 5.79% As such, comparing with the variable rate, fixed rate of 3% is better. Note: Interest is at all time low. Don't think it's recommended to take the variable rate - IMHO Share this post Link to post Share on other sites
poboxfor 0 Report post Posted November 29, 2010 Just to add, there's some thing you need to know before applying: 1) You need to pay 1% by cheque/cash for processing fee 2) Additional $10 for additional cheque 3) You need to open an account Saving (min $500/mth) or Current (min $2000/mth) Note: - The min is to waive the additional fee - RHB branch is limited and their ATM is not ATM5 also. - They have no internet banking Share this post Link to post Share on other sites
dizyweds 0 Report post Posted December 7, 2010 Hi, can someone explain to me about Effective Interest Rate?? When we check out on reno loans by the bank, what interest rate do we wanna look at? and how do we calculate the total interest we are paying as well as the monthly instalments... Share this post Link to post Share on other sites
paulskl 0 Report post Posted December 9, 2010 Hi, can someone explain to me about Effective Interest Rate?? When we check out on reno loans by the bank, what interest rate do we wanna look at? and how do we calculate the total interest we are paying as well as the monthly instalments... Banks calculate the interest rates for every loan type differently. Some by the outstanding at begining of month, some at end of the month, some by year end, etc. This basically makes it very tough for us folks to 1) compare loans against each other, as the minute differences play a big part 2) know exactly how much interest one will be paying which can be very different if the interest is compounded monthly versus yearly By law, lenders are now required to publish the Effective Interest Rate (EIR) for all their loans, which is the aggregated interest per annum for any loan. This makes it easier for us borrowers to do apple to apple comparisons. Without further complicating the explanation, if you are looking to compare loans, always compare the EIR instead of the published rates. Share this post Link to post Share on other sites
matpower 0 Report post Posted December 9, 2010 hi i am a loan specialist from maybank can i be a help to you? Hi Loan specialist, I'm considering take up reno loan amt 25k at flat rate and RHB & Maybank are in my mind now. I duno how to select which bank to apply ? what are the privillage with maybank reno loan as compare to RHB? Possible to take 10k with maybank and 15k with RHB? Hope u / anyone can reply my question Share this post Link to post Share on other sites
dizyweds 0 Report post Posted December 14, 2010 HI paulskl, thanks for your explanation... so, the EIR is for apple to apple comparison between banks only?? are we able to calculate our monthly installments based on EIR or do we have to use only the flat rate??? Banks calculate the interest rates for every loan type differently. Some by the outstanding at begining of month, some at end of the month, some by year end, etc. This basically makes it very tough for us folks to 1) compare loans against each other, as the minute differences play a big part 2) know exactly how much interest one will be paying which can be very different if the interest is compounded monthly versus yearly By law, lenders are now required to publish the Effective Interest Rate (EIR) for all their loans, which is the aggregated interest per annum for any loan. This makes it easier for us borrowers to do apple to apple comparisons. Without further complicating the explanation, if you are looking to compare loans, always compare the EIR instead of the published rates. Share this post Link to post Share on other sites
paulskl 0 Report post Posted December 15, 2010 so, the EIR is for apple to apple comparison between banks only?? Yes are we able to calculate our monthly installments based on EIR or do we have to use only the flat rate??? Ah...monthly installment is less straightforward in calculation. Because every bank has a differenct system of calculation (which affects the underlying formula), your repayment will always be different. There are a couple of loan calculators online. Here's the RHB one, but note that it is specifically tailored for the RHB rates. http://www.rhb.com.sg/personal/loans/Calcu...r/RenoCalc.html Hope that helps. Cheers.... Share this post Link to post Share on other sites
dizyweds 0 Report post Posted December 15, 2010 Thank you so much, paulskl.. I was fiddling around various banks' online calculators and was really puzzled becos for some, the EIR is much higher than of another bank and yet the monthly repayment is lesser... Yes Ah...monthly installment is less straightforward in calculation. Because every bank has a differenct system of calculation (which affects the underlying formula), your repayment will always be different. There are a couple of loan calculators online. Here's the RHB one, but note that it is specifically tailored for the RHB rates. http://www.rhb.com.sg/personal/loans/Calcu...r/RenoCalc.html Hope that helps. Cheers.... Share this post Link to post Share on other sites
