Financial leaks to plug

November 5, 2013

Here are some ways your money may be leaking out from your wallet and how to plug it.

 

By Michelle Brohier
With the rising cost of items and other financial burdens to worry about, it’s easy to believe that there is little you can do about the dwindling amount of money you have at the end of each month. But there are actually a number of expenditures that can be avoided. So if you’re determined to make each and every ringgit you spend count, here are some ways your money may be leaking out from your wallet and how to plug it

Anxiety spending
You’re stressed out, tired and in desperate need of some cheering up. So you think of the easiest way out: buying happiness through splurging on expensive meals, a couple of drinks at the bar with friends, or even on a new item you like. While they may work in cheering you up for a short while, spending based on your mood is a surefire way to end up with massive debt for things and experiences you don’t even remember why you wanted.

Look into inexpensive ways to handle your stressful days, like staying home to watch a movie or have friends meet up at cheaper places. While entertainment and keeping yourself happy is important; if you aren’t careful, the added bills and debt can be a lot more stressful than the guy who accidentally shredded your work documents.

Hidden costsYou’ve been buying many items that you believe is saving you money as they were on sale, there was a bargain or even a special promotion. But then you realise you didn’t need half of it and probably won’t use the rest. Sometimes, you may find you were duped by a ‘good deal’ that wasn’t so good after all.

Take your time to find out how much the item you want really costs by looking out for possible taxes or fees that may come along with it. Don’t buy anything out of impulse, and do as much research as possible for there may be ways to cut down on those hidden costs. Items on sale that requires you to make more purchases to obtain a discount may not be worth the extra spent, especially if you end up buying items that you never use.

Indiscriminate parking
Parking can be a real pain here in Malaysia, and in order to save time and even money, double parking or even illegally parking seems the only option. But parking this way brings a lot of risk, with the possibility of your car getting scratched or dented, getting summoned or worse, being towed away.

If you receive a summons, it would cost you many times more than parking legally. If your car gets damaged, you will also have to pay to fix it and the inconvenience of retrieving your towed car would also cost quite a bit. So take that extra effort and look for a proper parking spot even if it means having to walk a little further away.

Rarely used services
You spend hundreds of ringgit on your postpaid phone service, on cable TV, gym memberships or even on some subscription magazines. But you don’t use your phone much, barely watch TV, have lost interest in the magazine and let’s face it – you’re never going to the gym again. There’s probably hundreds of ringgit being wasted right there. While they may be useful occasionally, it’s burning a hole in your pocket when it isn’t in use. Cancel it all and before signing-up for something again, make sure you are committed to making full use of it!

Plugging these financial leaks can save you a lot of money, but it can only be done if you make a conscious effort to know where your money is going.

This article brought to you by Michelle Brohier from RinggitPlus.com. We help you get more for your money; be it from banking products to lifestyle tips. Check out our banking product comparator or just drop by for informative reads on everything money.

Top tips for saving money on flight bookings

September 11, 2013

           

Here are some top tips to help you reduce the costs of flying.

By Hann Liew

 

Planning on going for a holiday? A few things to consider are where you want to go, how to get there, and whether you can afford to do so! Nowadays, budget airlines (and their threat to regular airlines) have made flying the easiest and often cheapest way to travel, especially if you’re headed overseas. But sometimes when you see some of the charges that crop up, it doesn’t seem like such a ‘deal’ anymore. We at SaveMoney.my understand this pain and have come up with some top tips to help you reduce the costs of flying.

Tip 1 – Book in advance
Unless you are booking package holidays, book flights early. Business travelers will often pay top dollar at the last minute, so airlines hike prices closer to the day. Therefore try to book your flights as soon as possible which could save you hundreds of Ringgit per flight.

Tip 2 – Use a credit card associated with an airline
By using a credit card that offers benefits when flying with a particular airline, you get to save money in a couple of ways. First, some cards earn you extra points or miles when purchasing a ticket. For example, the Maybankard 2 American Express Credit Card gives you 5x points and cashback on a weekend (of course, you have to remember to only buy your flights on a Saturday or Sunday!).

Meanwhile, some airlines might charge you a ‘card handling fee’ or ‘card processing fee’ for Visa, MasterCard or American Express credit cards. However, some airlines waive these fees if you use a related card (such as AirAsia and their BIG prepaid credit card) which means you can avoid paying this additional credit card charge – extremely handy if you are a frequent traveler.

Tip 3 – Be careful of travel insurance Protection is never a bad thing, though insurance policies sold with flights are often overpriced. Sometimes the cost of your insurance can be more than 2 or 3 times the cost of your flight so think about it! SaveMoney.my’s advice: you can usually get travel insurance for a fraction of the cost elsewhere.

Also beware of certain airline sites that have it set as a default and require you to un-check a box (or something similar) in order to remove the policy. Before purchasing your ticket, always ensure that you are paying the right amount.
Tip 4 – Avoid seat selection / Plan your baggage allowance
If you are not fussy about your seat, avoid paying the ‘additional fee’ for seat selection. Some airlines can charge up to RM50 per seat booking so do be aware of these charges.

If you intend to have check-in luggage, make sure you plan in advance how much you will need to check in. If you think you may need to bring oversized items or extra kilos on your way, make sure you book it in advance, otherwise having excess baggage not included in your ticket at the airport can raise astronomical charges.

Now enjoy your holiday, knowing that you have saved money!

Hann Liew is the Founder and Editor-in-Chief of SaveMoney.my, an online consumer advice portal which aims to help Malaysians save money through smart (and most of the time, painless) savings in their daily banking, technology and lifestyle spending habits.

PayPal – A guide to using PayPal in Malaysia Part 2

PayPal – A guide to using PayPal in Malaysia  Part 2

Paypal : Features and Benefits

PayPal has quite a few advantages, like these :

Easy Access

The attractiveness of using Paypal is that you can shop online with peace of mind : You can pay for purchases and send money from over 190 countries and regions! Another plus is that recipients don’t even need a PayPal account – they can sign up when they receive your payment. PayPal is accepted by thousands of businesses worldwide and is the preferred payment method on eBay. Also, it is very fast and simple to sign up for Paypal. You can use your account within minutes of signing up.

Safety

Paypal emphasises safety of data and none of your financial details will be exposed to the merchant. They claim to prevent identity theft by :

• Using state-of-the-art technology and fraud prevention models to help stop cyber crime.
• A team of over 2000 specialists worldwide including former law enforcement officials who work together with agencies around the world to prevent fraud and identity theft.
• Paypal verification system. Many account holders have verified their accounts and established an identity with Paypal.

What about your purchases? Yep, PayPal guarantees protection of your purchases as well. Paypal guarantees 100%  protection against unauthorized payments sent from your account. This is done so because Paypal sends an email confirmation of every account transaction. If you receive confirmation of a transaction you don’t recognize, their 24/7 customer support team will help you sort out the situation. If you report an unauthorized transaction within 60 days of the transaction, Paypal will cover the full cost.
Paying with Paypal also gives you access to a dispute resolution forum called Resolution Centre. There, you can file claims against these items :

• A physical good that you paid for but never received
• A physical good you purchased on eBay that is significantly different than what was described in the listing.

Disadvantages of Paypal

Fees and RestrictionsThe Underlying

There are nominal fees for several transactions offered by Paypal. Paypal fees can be considerably large if you transfer in large amounts (Business and Premier accounts). Hence, for small transfers, personal accounts may be best. While it is free for personal account holders to make or receive payments from other accounts, they have limits on the amount of money being moved. Business and Premier accounts have no such restrictions but are charged high transaction fees. Hence, Paypal takes a large percentage of the money being moved.

Locked accounts and rigid security measures

The US government has strict rules restricting the number of transactions through Paypal due to possible terrorist threats. If your account comes under the slightest suspicion, your account is immediately frozen. Paypal then has to conduct an investigation to verify the safety of your account and this could take a long time. Your money will then be frozen for a long period of time and Paypal is given complete control over your funds

Currency conversion

Payment in foreign currencies has to be converted to local currencies before transferring to your bank balance. You cannot set up a foreign currency account to avoid the conversion. These currency conversions  are carried out at credit card rates. Furthermore, Paypal’s currency basket is limited to 23 currencies. Some important currencies such as the Indian rupee are excluded.
Paypal is not supported in some countries especially developing countries where scams are prevalent.

Alternatives to PayPal for International TT - PayPal vs. Credit Cards

PayPal

With PayPal, you do not have to repeatedly key in personal details when making a payment or keep exposing sensitive financial details. This is because all your personal details are already stored on a security encrypted database with PayPal. When you pay using a Paypal account, you only have to log into PayPal and select the preferred method of payment. PayPal processes the payment without releasing any financial details to the merchant. This then proves to be safer, faster and easier.

However, there is still a possibility of theft or fraud occurring if cyber criminals are able to gain access to your PayPal account. Hence, it is advisable to have a unique password for your PayPal account in order to deter hackers.

PayPal though widely accepted, is still not accepted everywhere. There are some countries in which PayPal does not have its operations.

Credit Cards

Credit cards are accepted everywhere. Also, banks would normally have their own high level security systems to prevent theft and identity fraud. However, there is a thriving black market for stolen credit card data. If account, only online transactions can be conducted.
So what are the charges?
your credit card data is stolen, it can be used to conduct both online and offline purchases. With a Paypal

Below are a the international transfer fees for Malaysian banks :

Affin Bank

• Commission : No commission is applied for transaction amount more than or equal to RM5,000.00RM3.00 is applied for transaction amount less than RM5,000.00
• Cable Charge : Normal Telegraphic Transfer, RM30.00 is applied
• There is a maximum transaction limit of RM 5000 and each customer is limited to RM10000 a day.

Alliance Bank

• Telegraphic transfer in Foreign Currency, Payable overseas : Minimum of RM2.00 per telegraphic transfer for whatever TT amount plus cost of cable incurred
• List of cable charges:

Currency	Charges
USD	RM32.00
IDR, THB, PHP & BND	RM13.50
SGD	RM7.50
Other Currencies	RM25.00

Ambank

• Foreign Exchange/Conversion Fee is determined by MasterCard International
• Administration cost at 1%
• Retail Transaction Fee of RM1 per transaction

CIMB

• RM10 flat per transaction.

Hong Leong Bank

• Malaysia to Singapore : RM12 Per Item
• Malaysia to Other Countries : RM30 Per Item

Maybank

• Peninsular Malaysia :

Country	Charges
Singapore	RM10.00
Brunei	RM25.00
Other countries or TT covers via Singapore (excluding Foreign Worker's Telegraphic Transfer or FWTT)	RM25.00

• East Malaysia

Country	Charges
Singapore	RM15.00
Other countries or TT covers via Singapore (excluding Foreign Worker's Telegraphic Transfer or FWTT)	RM25.00
Brunei	RM6.00 or RM25.00 via online FTT system

Public Bank

• Outward Telegraphic Transfer in Foreign Currencies : RM2.00 for amount of RM5,000.00 equivalent and below plus cost of wire

RHB Bank

• Outward Foreign TT - Less Than RM5,000 : RM2.00 Service Charge (FREE for more than RM5,000)
• Cable Charges : RM25 via SWIFT / RM35 via TELEX

Alternatives to Paypal - Paypal vs. Western Union

PayPal and Western Union are different in their business models ;  Paypal tends to focus on online payments or e-business whereas Western Union focuses more on money transfers. Other differences include :

Methods of Transactions

To use PayPal, you have to have an account with them. However, Western Union can conduct transactions through agents. For example, CIMB bank has a tie up with Western Union for transfer of funds internationally.

Availability

Paypal is only available in selected parts of the world whereas Western Union is widely available (except in US sanctioned countries).

Cash Form (or others)

It is not possible to liquidate funds in your Paypal account into cash before transferring it to your bank account. However, through Western Union, your funds are easily available in cash form or any other preferred form.

Western Union – Charges

The transfer fee charges for Western Union are dependent on the different agents who might have different charges. For example, CIMB states that the service charges vary according to destination country, ranging from USD3.20 to USD110. Please check with the respective banks on their charges.

So Which one Helps me Save the Most Money?

You need to do the adequate research in order to decide what is needed. For example, if you are considering using Paypal for a small time business venture, it may be more expensive to use a business account because a large percentage is deducted each transaction and it is better to use the free transaction personal account. However, if you are using a money transfer, it may be cheaper to use a bank foreign TT service instead of Western Union because most banks charge a flat rate for wire transfers though they are slightly slower than Western Union.

It really depends what you are looking for. So, make sure to do the appropriate research before deciding on the service to use.

Six tips to combat the price hike on fuel

September 6, 2013

           

It’s been coming for a while, and now, it’s finally here.

 

On Sept 2, 2013, fuel prices in Malaysia rose considerably due to the reduction in subsidies by the Malaysian Government. As a result, both RON95 petrol and diesel now cost 20 sen more for every litre – which is an approximate 10% jump compared to the previous prices.
Whilst there’s no faulting the Government’s intention (which is to strengthen the nation’s fiscal deficit position by reducing fuel subsidies), there is no doubt that the price hike would affect the lives of Malaysians. For those who drive a long way to work or live on shoestring budget, that additional hundreds of Ringgit to fork out on fuel every month could even lead to drastic changes in lifestyle.
Nonetheless, the new fuel price is now a reality; and if this is affecting you in a big way, you will need to react accordingly to help ease the increased financial burden of owning and driving a car. Obviously, spending money to keep your car in tip-top condition and buying a more fuel-efficient car are some of the things you could do. But not everyone has the funds to do so over the short term.
In this article, we’ll explore some viable methods the Malaysian public can adopt to combat the recent price hike on fuel, without spending additional cash from your wallets:

1) Drive less aggressively
Everyone knows that aggressive driving (such as rapid acceleration and braking) uses more fuel, but what you may not know is that it could decrease your fuel efficiency by a whopping 33%!

According to the US Department of Energy, aggressive driving at highway and in town reduces your gas mileage by 33% and 5% respectively.

To put it in Malaysian context, you’ll be burning off RM24 for every 35-liter tank of RON95 petrol simply by driving with too much aggression on the North-South Highway!

What to do : Drive safer

Your Potential Saving : Up to 33%

2) Keep your vehicle within the speed limit
Most people have the perception that the faster you drive, the more you save. Whilst it is true to a certain extent, driving beyond the speed for optimal fuel economy (which varies from car to car) would result in the rapid loss of gas mileage. By constantly working your car beyond its optimum capacity, you also risk causing engine damages that will come back to haunt you financially in the future.

What to do : Observe optimum speed limit of your car

Your potential saving : Between 7 – 14%

3) Remove excessive weight from your car
Do you have a habit of keeping stuff in your car trunk? If you do, it might be time to start thinking about removing the heavier objects, such as your golf clubs or that baby stroller that’s been sitting there since your teenager was still a toddler. Based on official sources, every 100 pound (approximately 45 kilogram) reduces your fuel economy by about 2%. And guess what, the smaller the car model you own (which instantly relate to most Malaysians), the more that excessive weight is going to cost you!

What to do : Remove junks from your car

Your potential saving : 2% for every 45 kilograms of excessive weight


 
4) Maintain the tires at the right pressure
When was the last time you check your tire pressure? Last month? Last year? Never? According to the experts, you will lose 0.3% in fuel economy for every 1 PSI (i.e. the measurement unit for tire pressure) drop on the four tires of your car. Meantime, you will gain a lot more risks on the road simply by driving on improperly inflated tires. So for the sake of fuel economy and your own safety, check your tires!

What to do : Maintain your tires at optimum pressure

Your potential saving : 3% for every 10 PSI



5) Don’t idle
Many Malaysian drivers have the habit of waiting in their cars with the engines switched on. From a fuel economy perspective, that is a serious No-No because fuel is constantly being burned when the engine is running (even though the car is not moving). According to the Consumer Energy Centre of the USA, you actually lose one mile (approximately 1.6 kilometre) worth of fuel for every two minutes you idle in your car. Additionally, excessive idling actually causes damage to your car engine components due to the build-up of fuel residues in the cylinders. As a general rule: if you’re going to idle in your car for more than 10 seconds, turn the engine off!

What to do : Do not idle in your car with the engine switched on

Your potential saving : 1.6 km worth of fuel for every 2 minutes you idle

6) Make full use of the privileges on your credit cards
If you’re old enough to drive, you probably own a credit card. And if you happen to be using certain credit cards that give you cash-back rewards on petrol (eg. Shell Citibank Gold Card gives you 8% rebate on Shell fuel, OCBC Titanium Card gives you 5% cash-back with major fuel brands etc.), it may be time to start taking advantage of these cards more consciously. In Malaysia, many people actually use their credit cards without being fully aware of the discounts and privileges they are entitled to. To find out if your card gives you any rebates on fuel, check out this handy online comparison table. If you’re still using a generic credit card with no relatable rewards, it might be time to switch to a new one.

What to do : Take advantage of cash rebate privilege on your credit card

Your Potential Saving : Up to 8%

Of course, the best advice of all is probably still this: start walking more and driving less. On behalf of all Malaysians: here’s hoping we won’t be faced with additional price hikes any time soon!

This article is brought to you by www.iMoney.my, a price comparison website dedicated to helping Malaysians make the best use of their money. They can be contacted at hello@imoney.my.

PayPal – A guide to using PayPal in Malaysia

September 2, 2013

 

By Eugene Chua
Online purchases and transactions have become an almost essential part of our daily life nowadays. However, many people still shy away from making financial transactions online, hesitating to share sensitive financial information through a medium that feels unsafe.
Fortunately, there are several companies or business models set up with the aim of curbing this suspicion and providing a safe, worry-free method for people to make transactions online. SaveMoney.my discusses one of the most commonly-known and popular business models, Paypal.

What is Paypal?
Paypal acts as a means of payment which links your bank account, debit card, and credit card; and stores all the relevant information. Instead of banking in cheques or money orders, you can pay through Paypal. But in order to do so, you must have a Paypal account. It is especially useful for customers who want to conduct international transactions since Paypal is widely accepted in the world of online shopping and is available across many countries.

Who is eligible?
To be eligible for a Paypal account, you must be 18 years and above, and a member of one of the countries listed on the Paypal Worldwide Page. Fortunately, Malaysia is one of them!

How do I set up a Paypal account?
Setting up an account with Paypal is completely free of charge. There are several simple steps to set up a Paypal account :
Go to paypal.com;
Click on the sign up link;
Provide a valid email address;
Choose from the 3 options available: Personal, Premium, and Business; and
Link your credit card, debit card, or bank account details to your Paypal account.
Note: A Personal Account is for individuals who shop online; a Premier Account is for individuals who buy and sell online; and a Business Account is for merchants who use a company or a group name.

How does Paypal work?
When you decide to make an online transaction, just select Paypal upon checkout, and log in to Paypal with your email address and password.

Paypal will then process the payment without releasing any financial details to the merchant. The sellers and recipients can choose to transfer funds from Paypal to either their bank account or credit card, or choose to use their Paypal balance to pay for their own transactions.

PayPal charges
PayPal does charge for online transactions, among other things:



Fees for Withdrawal from Paypal Accounts
Although setting up an account with PayPal is free of charge, do expect fees on the following:



Withdrawals from your PayPal account must meet the minimum amount.

If the information in your withdrawal request is incomplete or incorrect, PayPal will return the withdrawal amount to your PayPal account and charge a return fee. Your card issuer might also charge additional fees.

SaveMoney.my continues to explore the features of PayPal, so stay tuned!
Eugene Chua is the Financial Sub-Editor at SaveMoney.my, an online consumer advice portal which aims to help Malaysians save money through smart (and most of the time painless) savings in their daily banking, technology, and lifestyle spending habits.

Retirement money myths

August 27, 2013

           

Retirement funds are important and more often than not, the lack of a savings can be attributed to belief in the following myth

 

By Diana Chai
In early August, the Star Newspaper reported that Malaysians on the whole, were not saving enough for retirement. Whether this is true for the majority of the population or an attempt to sell the new voluntary retirement scheme PRS (Private Retirement Scheme) that is seeing lukewarm response, is anyone’s guess. But beyond statistics, the importance of saving for retirement is non-negotiable.

For many Malaysians, the stress of living for now prevents them from thinking too far ahead. Retirement seems a long way off and a common notion for many is that their Employee Provident Fund (EPF) savings will be enough. Sadly, the same fund is being withdrawn to pay for home deposits and education loans depleting an already stretched retirement pot.

Retirement funds are important and more often than not, the lack of a savings can be attributed to belief in the following myths.

1

1) EPF has me covered
The most common of retirement myths that I myself was guilty of thinking is that EPF is enough to take care of me through retirement. Your EPF will be a nice addition to your savings and investments; provided you have them.

2) I am still young
Many people between the ages of 23-35 assume they are still too young to worry about retirement. However, starting your savings in your 20s is recommended by many money experts. Liz Weston in her book Deal with Debt did the calculations for you. In her example, starting retirement savings at 22 for only ten years versus starting at 32 for 30 years, gave the former two-thirds more money at retirement than the latter.

3) Saving money is enough
Unfortunately, simply saving a percentage of your earnings isn’t enough. Savings and fixed deposit accounts rarely give you enough returns on your saved sum to make it worth your while. On the other hand; risky investments may yield more returns but is just that – risky. Diversifying is the way. Some amount of fixed savings coupled with differing investments such as unit trusts, gold, property or stocks would be ideal. If you are unsure about how to invest your money, opt for a scheme such as PRS or consult an investment expert. PRS is flexible in how much you are required to contribute and how often but be warned that returns are never guaranteed so do ensure you have pots of savings elsewhere.

4) I have children to take care of me
As much as this would be an ideal situation; there are many reasons having children will not save you from a destitute retirement. Even the most filial of offspring may not be able to earn enough to afford to give a decent living (including escalating medical costs) to two aging parents.

5) I have insurance plans for medical and death
Because we typically don’t take the time to read through a 150 page policy; we don’t always notice that there are many things an insurance plan will not cover. Insurance plans usually have caps on amounts disbursed every year or based on illness. Medical costs can eat into your retirement nest egg faster than anything else: Be prepared.

The thought of retirement is undoubtedly daunting – but very much necessary. Although saving from an early age is always recommended; if you haven’t; it is never too late to start.

This article brought to you by Diana Chai of RinggitPlus.com. We believe all Malaysians should have access to free, accurate and independent personal finance information.

Malaysia’s My First Home Scheme guide

August 23, 2013

           

This MFHS or Skim Rumah Pertamaku scheme allows young adults to obtain 100% financing from financial institutions enabling them to own their first house without the need to pay a 10% down payment.

 

By Eugene Chua

Buying a home could be the largest purchase one would make in their lifetime, but with the overall cost of properties steadily increasing most people cannot afford to do so. In an effort to help these people, the government introduced the Malaysia My First Home Scheme, which SaveMoney.my will explain.

The Malaysia My First Home Scheme (MFHS) or Skim Rumah Pertamaku was introduced in early 2011 by the government with the sole purpose of assisting young adults, who have joined the workforce and earn RM3,000 per month or less, to own their first home. After the 2013 Budget announcement, the monthly income eligibility was increased to RM5,000 for individuals or RM10,000 for couples.

This scheme allows young adults to obtain 100% financing from financial institutions (100% LTV / margin as opposed to the usual 90% offered by most banks), enabling them to own their first house without the need to pay a 10% down payment.

The buyer is still required to pay a booking fee and/or deposit to the seller under the terms of the Sale and Purchase Agreement, pending disbursement of the home financing by the bank.

When the financing documentation is complete, the buyer would then be reimbursed from the disbursement of the financing by the bank.

The buyer may try to make an arrangement with the seller for deferment of deposit payment pending disbursement by the bank; such requests are dependent on the seller’s willingness.

Cagamas SRP Berhad will guarantee the banks on financing above a 90% level, i.e. if a borrower obtains 100% financing, Cagamas SRP will guarantee 10% (thus raising 90% to 100%) of the financing.

With this scheme, you can also enjoy a 50% stamp duty exemption on the purchase of your first residential property and this is available till 31st December 2014.

What are the personal criteria needed to be eligible for this scheme?

1. Malaysian citizen.
2. First-time home buyer.
3. Individual up to age of 35 years.
4. Gross income not exceeding RM5,000 per month for single borrowers, or combined gross income of RM10,000 for couples.
5. All outstanding debt repayment obligations from banks and non-banks (including those not covered by CCRIS) must not be more than 60% of monthly income after statutory deductions (i.e. Tax, EPF, SOCSO) or maximum limit of the lending bank, whichever is lower.

Besides fulfilling all the personal criteria, there is also property criteria to qualify for Malaysia’s My First Home Scheme:
1. Minimum property value of RM100,000.
2. Maximum property value of RM400,000.
3. Residential properties only.
4. For lease hold, remaining lease ≥ 60 years.
5. Owner occupied.

Last are the financing requirements for Malaysia’s My First Home Scheme:
1. Repayment options of up to 40 years or until age 65, whichever is earlier.
2. Amortizing facilities only (no re-drawable features).
3. Installments payable via monthly salary deductions or standing instruction.
4. Compulsory Insurance / Takaful.

You may want to know, do you have to pay a higher interest rate or fee in this scheme?

SaveMoney.my is happy to tell you: No, only the normal interest rates of the respective banks shall apply, and you do not have to pay for Cagamas SRP Berhad’s guarantee. Also for your information, the scheme covers both completed properties and those under development.

*Eugene Chua is a Finance sub-editor at SaveMoney.my, an online consumer advice portal which aims to help Malaysians save money through smart (and most of the time painless) savings in their daily banking, technology, and lifestyle spending habits.