Results 1 to 24 of 24

Thread: Buyers accepting cash rebate from developers

  1. #1
    Join Date
    Jan 2013
    Posts
    517

    Default 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.

  2. #2
    Join Date
    Jun 2011
    Posts
    6,134

    Default

    wait for cm8...maybe they will adress the issue
    In the final analysis.....its NOT whether you have a diploma,degree,masters OR PHD....its whether you have a HDB/PC/EC or LANDED...

  3. #3
    Join Date
    Jan 2013
    Posts
    517

    Default

    Quote Originally Posted by radha08
    wait for cm8...maybe they will adress the issue

    This appears to be more of CAD or CID case.

  4. #4
    Join Date
    Apr 2012
    Posts
    1,677

    Default

    Quote Originally Posted by sgbuyer
    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.

  5. #5
    Join Date
    Jun 2011
    Posts
    6,134

    Default

    Quote Originally Posted by Shanhz
    is it that serious? kick back = discount right? discount to buy something.. is nothing wrong.
    buy petrol also got discount...17%
    In the final analysis.....its NOT whether you have a diploma,degree,masters OR PHD....its whether you have a HDB/PC/EC or LANDED...

  6. #6
    Join Date
    Apr 2010
    Posts
    2,067

    Default

    utility bill also got rebate what

  7. #7
    Join Date
    Jul 2011
    Location
    Earth
    Posts
    4,063

    Default

    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.

  8. #8
    Join Date
    Apr 2012
    Posts
    1,677

    Default

    Quote Originally Posted by radha08
    buy petrol also got discount...17%
    wah leow bro.. that was exactly what i was tinking, but i din spell it out.
    high 5 man.

    by the way, esso got up to 21%

  9. #9
    Join Date
    Jul 2011
    Location
    Earth
    Posts
    4,063

    Default

    Quote Originally Posted by Shanhz
    wah leow bro.. that was exactly what i was tinking, but i din spell it out.
    high 5 man.

    by the way, esso got up to 21%
    Esso.... really?
    Since when ?

  10. #10
    Join Date
    Apr 2012
    Posts
    1,677

    Default

    Quote Originally Posted by buttercarp
    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/persona...astercard.aspx

  11. #11
    Join Date
    Apr 2010
    Posts
    1,788

    Default

    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.

  12. #12
    Join Date
    Jul 2011
    Location
    Earth
    Posts
    4,063

    Default

    Quote Originally Posted by Shanhz
    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/persona...astercard.aspx
    LOL.thanks shanz... and I actually thought of switching to Maybank for their higher discount.....

  13. #13
    Join Date
    Jan 2013
    Posts
    177

    Default

    Quote Originally Posted by buttercarp
    Esso.... really?
    Since when ?
    I love the people here....here the TS trying to kpkb but it can morph into something else althogether Advice TS to research more before jumping the gun....or just trying to throw some smoke bomb

    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.

  14. #14
    Join Date
    Jan 2013
    Posts
    517

    Default

    Quote Originally Posted by Jaykj
    I love the people here....here the TS trying to kpkb but it can morph into something else althogether Advice TS to research more before jumping the gun....or just trying to throw some smoke bomb

    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.


  15. #15
    Join Date
    Jun 2008
    Posts
    1,569

    Default

    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.

  16. #16
    Join Date
    Jan 2013
    Posts
    148

    Default

    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?

  17. #17
    Join Date
    Jan 2013
    Posts
    517

    Default

    Quote Originally Posted by VS
    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.

  18. #18
    Join Date
    Jan 2013
    Posts
    252

    Default

    dun think its legit if it is not declared with the primary intention to misrepresent the actual property costs for loan purposes

  19. #19
    Join Date
    Jan 2013
    Posts
    177

    Default

    Quote Originally Posted by sgbuyer
    Why you so kanchiong?

    I'm only asking whether this practice is legal lah.

    Some things no need to write so claerly on the board You didn't read the article or like Mr B and whole lot of other bears trying to act `blur'

    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

  20. #20
    Join Date
    Apr 2012
    Posts
    1,677

    Default

    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.

  21. #21
    Join Date
    Jan 2013
    Posts
    517

    Default

    Quote Originally Posted by Jaykj
    Some things no need to write so claerly on the board You didn't read the article or like Mr B and whole lot of other bears trying to act `blur'

    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

    Not everyone is as smart as you lah!

    Even khaw didn't know why developers built large EC units. He act blur also?


  22. #22
    Join Date
    Jan 2013
    Posts
    177

    Default

    Quote Originally Posted by sgbuyer
    Not everyone is as smart as you lah!

    Even khaw didn't know why developers built large EC units. He act blur also?

    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

  23. #23
    Join Date
    May 2012
    Posts
    1,318

    Default

    Quote Originally Posted by focus
    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.

  24. #24
    Join Date
    Oct 2010
    Posts
    1,997

    Default

    Quote Originally Posted by Jaykj
    I love the people here....here the TS trying to kpkb but it can morph into something else althogether Advice TS to research more before jumping the gun....or just trying to throw some smoke bomb

    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...

Similar Threads

  1. Replies: 31
    -: 25-05-14, 17:42
  2. Cash Rebate on Home Loan from Banks
    By gap969 in forum Finance and Legal
    Replies: 0
    -: 23-03-11, 13:32
  3. Some HDB buyers in a fix over cash proceeds rule
    By mr funny in forum HDB, EC, commercial and industrial property discussion
    Replies: 0
    -: 26-07-10, 17:25
  4. Online property service offers buyers commission rebate
    By mr funny in forum HDB, EC, commercial and industrial property discussion
    Replies: 1
    -: 20-01-09, 10:32
  5. HDB flat buyers pay less cash upfront
    By mr funny in forum HDB, EC, commercial and industrial property discussion
    Replies: 1
    -: 29-04-08, 01:53

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •