Bank Malaysia to cut loan repayments to help housing loan borrowers in uncertain market.Several banks have slashed interest rates imposed on housing loans and more are expected to join in the fray.

Four banks – RHB Banking Group, Public Bank Group, United Overseas Bank Bhd (UOB) and Malayan Banking Bhd (Maybank) – have cut their respective Base Lending Rates (BLR) from 5.95% to 5.55%, following Bank Negara’s move to cut the Overnight Policy Rate (OPR) from 2.5% to 2% on Tuesday. RHB Bank and Public Bank will also be reducing their respective Islamic bank’s base financing rate (BFR) at the same quantum.

RHB Banking Group managing director Michael J. Barrett said housing loans borrower would be able to pay less to service their housing loans with floating rates while individuals and businesses would enjoy lower borrowing costs. Bank Malaysia help housing loan borrowers during these challenging times and provide our customers with more financial support. All the news BLR rates would take effect next Monday. Read more »

Bank malaysia will reduce mortgage loans instalment payments (loan repayment), an exercise that will be completed by the first quarter of this year. Mortgage loans borrowers benefits from lower Base Lending Rate (BLR).

Customers who prefer to retain their loan repayment amounts need to get in touch with their mortgage loan banks. The association of bank malaysia said that the move by all commercial banks to cut instalment amounts follows the request by the Government to help borrowers facing difficult economic times. Loan repayment is one of the plan to help mortgage loans borrower and those are lost carrer in company retrenchmennt.

Lower monthly loan repayments will allow for more disposable income to be in the hands of the public and we reaffirm our member banks’ commitment to continue to be reasonable as well as responsive to the public’s needs. Read more »

Bank Negara Overnight Policy rate (OPR) being reduced to 2.50% (OPR decreasing in Jan’09), most of the banks adjusted the fixed deposit rate from 2.50% to 3.0% and Base Lending Rate (BLR). Those bank mortgage loan borrower with floating rate type have chance to reduce the bank mortgage rate. It’s one of the benefits on property investment.

However, it seems that few of the banks seems still not announce the changing of Base Lending Rate (BLR). Anyway, need to confirm with the bank whether the showed bank mortgage rate is not yet adjusted to reflect the changes of the OPR.

Referring to Malaysia Bank mortgage Loan BLR history, base lending rate hit lower point since year 1989. And below table show a list of Base Lending rate in Bank Malaysia and the effective date. (Note:some of the banks not yet announce the latest BLR). Read more »