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 »

Frequencies ask question (FAQ) for Hong Leong Mortgage Plus

1. What is Hong Leong Mortgage Plus(HL Mortgage Plus)?
Hong Leong Mortgage Plus is a mortgage product that combines a term loan with transactional freedom of a current account.

2. Does it mean that I have to open two types of accounts for HL Mortgage Plus?
Yes. For every HL Mortgage Plus account, you shall open/maintain the following accounts with HLB:-
(I) a HL Mortgage Plus loan account (term loan)
(II) a non-interest bearing current account which is linked to (I) above.

3. How does Hong Leong Mortgage Plus works?
Hong Leong Mortgage Plus link your loan account directly to your Mortgage Plus current account, whereby the credit balance in your current account will automatically help to give you greater savings on interest. 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 »

CIMB Bank expect 30% to 50% of its new mortgage loans this year to come through Islamic finance, CIMB Bank’s head of retail banking, Peter England said at 11th Feb’2009.

With the launch of its new Flexi Home financing-I Scheme, which covered both Islamic and conventional financing, the CIMB bank was expecting a significant growth in the mortgage loans segment in year 2009. Flexi Home financing-I Scheme is referring to adjust rate bank mortgage loan (ARM). Some of the party call as floating rate bank mortgage loan.

With the strengthening on CIMB Bank in terms of distribution, CIMB Bank are the fastest growth mortgage business in Malaysia and think of make a significant impact in the rollout of this product. Read more »