View Full Version : Buyers accepting cash rebate from developers
I'm not a legal expert, but I wonder if the practice of accepting "kick back" from developers is legal at all.
wait for cm8...maybe they will adress the issue:doh:
wait for cm8...maybe they will adress the issue:doh:
This appears to be more of CAD or CID case.
This appears to be more of CAD or CID case.
is it that serious? kick back = discount right? discount to buy something.. is nothing wrong.
is it that serious? kick back = discount right? discount to buy something.. is nothing wrong.
buy petrol also got discount...17% :o
utility bill also got rebate what
buttercarp
28-01-13, 10:21
I think as long as you declare it, it should be legal.
I think if got willing seller and willing buyer then discount or rebate should be legal.
buy petrol also got discount...17% :o
wah leow bro.. that was exactly what i was tinking, but i din spell it out.
high 5 man. :D :cheers4: :cheers4:
by the way, esso got up to 21%
buttercarp
28-01-13, 10:28
wah leow bro.. that was exactly what i was tinking, but i din spell it out.
high 5 man. :D :cheers4: :cheers4:
by the way, esso got up to 21%
Esso.... really? :)
Since when ?
Esso.... really? :)
Since when ?
using citi div card.
14% upfront discount
4.3% cashback (min net purchase $50 each time)
approx 2% on smiles
additional 0.7% if exceed >250L per month
using maybank world card with shell, also got 19+++%
http://info.maybank2u.com.sg/personal/cards/credit/world-mastercard.aspx
To apply for a Esso Privilege Card, click here.
*3% petrol rebate and 5% lubricant rebate not applicable. At stations with higher petrol discounts, you will automatically enjoy the higher discount so that you can always be assured of getting the best value every time. The 6% discount is not valid on top of other discounts.
17.4% savings on petrol is calculated based on 5% site discount, 5% Citibank credit card discount, up to 2.9% Smiles equivalent fuels savings and 5% cash back. Cash back earned on Citi Dividend Card has a validity period of 15 months. A maximum of S$800 cash back may be accumulated every 12 months.
2.9% Smiles points equivalent petrol savings is based on a minimum of 250 litres Synergy fuel purchased monthly and computed based on the pump price of Synergy 5000 as at 11 November 2010. 750 Smiles Points is equivalent to $30 worth of Esso vouchers.
buttercarp
28-01-13, 10:57
using citi div card.
14% upfront discount
4.3% cashback (min net purchase $50 each time)
approx 2% on smiles
additional 0.7% if exceed >250L per month
using maybank world card with shell, also got 19+++%
http://info.maybank2u.com.sg/personal/cards/credit/world-mastercard.aspx
LOL.thanks shanz... and I actually thought of switching to Maybank for their higher discount.....
Esso.... really? :)
Since when ?
I love the people here....here the TS trying to kpkb but it can morph into something else althogether :D Advice TS to research more before jumping the gun....or just trying to throw some smoke bomb :D
Aiya, cash back no problem what...lawyer and banker also will advice you that the actual loan allowed (if one is taking) is net of such rebates and discounts while ABSD is calculated base on before discount price. Govt will also be happy coz nobody is under paying ABSD.
In fact 10 years ago I remembered I received it from capitaland in the form of Unit Trusts when buying their development.
I love the people here....here the TS trying to kpkb but it can morph into something else althogether :D Advice TS to research more before jumping the gun....or just trying to throw some smoke bomb :D
Aiya, cash back no problem what...lawyer and banker also will advice you that the actual loan allowed (if one is taking) is net of such rebates and discounts while ABSD is calculated base on before discount price. Govt will also be happy coz nobody is under paying ABSD.
In fact 10 years ago I remembered I received it from capitaland in the form of Unit Trusts when buying their development.
Why you so kanchiong?
I'm only asking whether this practice is legal lah.
:cheers6:
But from the newspaper article, it seems that the writer was suggesting the salesperson/developer advised the person to tell the bank the original selling price and not declare the discount given to get a higher loan valuation. The company than gives the buyer the discount thru a cashier order.
The effect is manipulating market prices and of course cheating bank valuation. Isn't this quite similar as to why the govt make it illegal and punishable by law of those cases of HDB flat undeclaring so the seller can get MORE Cash back. The gist is manipulation of the market prices to the benefit of the buyer/seller but not the benefit of the institution who disbursed the loan.
Let me give an example, if i do not have much cash to put deposit for a $1M appt. If the developer agreed to give me a "cash back" of $1M, and then we jack up the transaction price to $2M. Now i have enough cash to put deposit and get a bank loan. I know that i will be paying much higher in the end. It is like "Overtrade" in cars' transactions, right?
Let me give an example, if i do not have much cash to put deposit for a $1M appt. If the developer agreed to give me a "cash back" of $1M, and then we jack up the transaction price to $2M. Now i have enough cash to put deposit and get a bank loan. I know that i will be paying much higher in the end. It is like "Overtrade" in cars' transactions, right?
You'll still have a couple hundred thousand from the rebate left over. :D
dun think its legit if it is not declared with the primary intention to misrepresent the actual property costs for loan purposes
Why you so kanchiong?
I'm only asking whether this practice is legal lah.
:cheers6:
Some things no need to write so claerly on the board :p You didn't read the article or like Mr B and whole lot of other bears trying to act `blur' :confused:
Come here try to pretend dunno and create a discussion.....even a kid know its illegal if u do not declare the true value in accordance to regulations, u need to ask meh?
btw, I'm not kanchiong....just buay tahan some people act blur and try to create fear :spliff:
does it really matter? it's all your own money. yah, just like overtrade. it's not free money, need to pay interest one. if not for MAS, i doubt the bank cares. they earn more interest actually.
Some things no need to write so claerly on the board :p You didn't read the article or like Mr B and whole lot of other bears trying to act `blur' :confused:
Come here try to pretend dunno and create a discussion.....even a kid know its illegal if u do not declare the true value in accordance to regulations, u need to ask meh?
btw, I'm not kanchiong....just buay tahan some people act blur and try to create fear :spliff:
Not everyone is as smart as you lah!
Even khaw didn't know why developers built large EC units. He act blur also?
:p
Not everyone is as smart as you lah!
Even khaw didn't know why developers built large EC units. He act blur also?
:p
Steady! You learnt fast! You are quite smart lehYou have successfuly diverted to another topic by now asking a question that is totally unrelated to your original question.....so if I know its illegal, I'm surprised you didnt, hahaha.
I have no answer to your question on Khaw, go figure out yourself or write to him lah in Facebook :D
But from the newspaper article, it seems that the writer was suggesting the salesperson/developer advised the person to tell the bank the original selling price and not declare the discount given to get a higher loan valuation. The company than gives the buyer the discount thru a cashier order.
The effect is manipulating market prices and of course cheating bank valuation. Isn't this quite similar as to why the govt make it illegal and punishable by law of those cases of HDB flat undeclaring so the seller can get MORE Cash back. The gist is manipulation of the market prices to the benefit of the buyer/seller but not the benefit of the institution who disbursed the loan.
The developers benefit two-fold in asking the buyer to hide the true purchase price by inflating the caveat price. Firstly, they can close the sale when the buyer is able to get a bigger loan than legally permissable to finance the property purchase. Secondly, the inflated caveat price can mislead subsequent buyers into paying higher purchase prices to the developer than the earlier buyers, creating a rising price senario for the developers. This is a form of cheating by the developer, it should be illegal and severely dealt with by the law to protect consumers.
The inflated caveat prices also distorts and inflate the property price index, consumers become misled by the inflated "market" prices and ended up paying more than they should.
I love the people here....here the TS trying to kpkb but it can morph into something else althogether :D Advice TS to research more before jumping the gun....or just trying to throw some smoke bomb :D
Aiya, cash back no problem what...lawyer and banker also will advice you that the actual loan allowed (if one is taking) is net of such rebates and discounts while ABSD is calculated base on before discount price. Govt will also be happy coz nobody is under paying ABSD.
In fact 10 years ago I remembered I received it from capitaland in the form of Unit Trusts when buying their development.
Eh?... why so upset?
Quite legitimate question what...
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