Property questions

[qms]

MMM:

... they asked us to pay $500 for admin fee... just to refinance with them :x

The banks call this \"conversion fee\" and is is common to ALL banks, just a matter how much they are willing to reduce. The fee is incurred because you are converting from one package to the other.

You may be able to negotiate for a partial waiver from local banks. Citibank usually absorbs the fee.

[hquek]

MMM:

I use the same with Citibank. They call it cash management account. Yes, they've now capped it at 70% of principal. I put all my money there so that we can pay down our housing loan earlier. Who else gives such a interest for deposit?

yup yup. I enjoy the idea of savings generating 4% p.a. Last year alone, I think we saved 10K in interest charges. Although I cannot take out that interest and spend, it's gratifying that i'm not paying that sort of money to the banks.

[MMM]

hquek:

I enjoy the idea of savings generating 4% p.a. Last year alone, I think we saved 10K in interest charges. Although I cannot take out that interest and spend, it's gratifying that i'm not paying that sort of money to the banks.

Yes yes... to think about 4%, it seems exorbitant now. I really enjoy banking with CITI. My hubby decided to just pay the $500 conversion with UOB so that our interest rate will reduce immediately. If not, we need to wait for 3 months for the switch to other bank. We told ourselves that in 9 months time, we will start to inform the bank and probably make the switch to CITI. Are HSBC, Maybank or SC flexible with such charges??? Anyone can share?

Yes, CITI is really good at waiving of such charges. My 2 other loans were even before the lock in period. I just called them to discuss the options. They not only offered me the significantly lower rate package but also waived off all penalty or other charges. This is why I would prefer to stick to them. This is superb service.