Results 1 to 24 of 24

Thread: Need to pay $650 to use CPF for partial mthly installment?

  1. #1
    Join Date
    Oct 2012
    Posts
    89

    Default Need to pay $650 to use CPF for partial mthly installment?

    Dear all,

    Is it true that if we want to use CPF for partial mthly installment, we need to pay another $650 on top our our existing lawyer fees? Below is an extract from my lawyer.

    "To enable us to proceed with the CPF application on your behalf, we will need you to attend at our office to sign the CPF Letter of Authorisation and to give us a cheque for $650.00 made in favour of XXX LLP (CPF's solicitors) being payment of their legal fees."

  2. #2
    Join Date
    Apr 2009
    Posts
    5,841

    Default

    Could be for additional admin work in liaising with cpf board, you got to check with cpf to see if this is the norm. Do update us.

  3. #3
    Join Date
    Mar 2011
    Posts
    2,065

    Default

    For anything to do with CPF in property, you need to pay CPF lawyer as far as I am aware.

  4. #4
    Join Date
    Jun 2013
    Posts
    21

    Default

    Not sure how much CPF lawyer alone charges. But typically total legal fee to do mortgage work with bank + CPF should be around $2500.

  5. #5
    Join Date
    Oct 2012
    Posts
    89

    Default

    Quote Originally Posted by Proplace
    Not sure how much CPF lawyer alone charges. But typically total legal fee to do mortgage work with bank + CPF should be around $2500.
    That was what i thought. I alr paid $2400 exclude gst. Now they are asking for another $650, claiming is for CPF lawyer. I wonder if this is the norm?

  6. #6
    Join Date
    Nov 2008
    Posts
    2,438

    Default

    Usually I pay 3k all in including CPF. Resale unit. Subsale will be higher cost.

    If you didn't do it one shot, then they will charge you extra.


    Quote Originally Posted by einnoc
    Dear all,

    Is it true that if we want to use CPF for partial mthly installment, we need to pay another $650 on top our our existing lawyer fees? Below is an extract from my lawyer.

    "To enable us to proceed with the CPF application on your behalf, we will need you to attend at our office to sign the CPF Letter of Authorisation and to give us a cheque for $650.00 made in favour of XXX LLP (CPF's solicitors) being payment of their legal fees."

  7. #7
    Join Date
    May 2012
    Posts
    911

    Default

    It was about 525 few years back. Guess now inflation...

  8. #8
    Join Date
    Nov 2008
    Posts
    8,013

    Default

    Quote Originally Posted by einnoc
    Dear all,

    Is it true that if we want to use CPF for partial mthly installment, we need to pay another $650 on top our our existing lawyer fees? Below is an extract from my lawyer.

    "To enable us to proceed with the CPF application on your behalf, we will need you to attend at our office to sign the CPF Letter of Authorisation and to give us a cheque for $650.00 made in favour of XXX LLP (CPF's solicitors) being payment of their legal fees."
    I had the same problem with you. Quite ridiculous to pay so much just to activate the CPF OA. Will you go ahead to use your CPF after all?

  9. #9
    Join Date
    May 2009
    Posts
    1,449

    Default

    Quote Originally Posted by einnoc
    Dear all,

    Is it true that if we want to use CPF for partial mthly installment, we need to pay another $650 on top our our existing lawyer fees? Below is an extract from my lawyer.

    "To enable us to proceed with the CPF application on your behalf, we will need you to attend at our office to sign the CPF Letter of Authorisation and to give us a cheque for $650.00 made in favour of XXX LLP (CPF's solicitors) being payment of their legal fees."
    If in the beginning when u take up bank loan and had indicated to use cpf and cash , then later stage u wanted to adjust the cpf amount..u can log in to cpf account to instruct the adjustments.

    However during the beginning u only indicate cash payment, and later wanted to use part of cpf as combined installment. Yes u need a lawyer to do it. This is required by the bank and not by cpf...I do not understand that as well why need a lawyer to do it...the lawyer during the beginning will not tell you this nor the bank will highlight to you too...

    One way to get around, if your lock in period is over and intend to change bank. U may want to consider to do it when during this time.. the fee is all inclusive..

  10. #10
    Join Date
    Nov 2008
    Posts
    8,013

    Default

    Quote Originally Posted by zzz1
    If in the beginning when u take up bank loan and had indicated to use cpf and cash , then later stage u wanted to adjust the cpf amount..u can log in to cpf account to instruct the adjustments.

    However during the beginning u only indicate cash payment, and later wanted to use part of cpf as combined installment. Yes u need a lawyer to do it. This is required by the bank and not by cpf...I do not understand that as well why need a lawyer to do it...the lawyer during the beginning will not tell you this nor the bank will highlight to you too...

    One way to get around, if your lock in period is over and intend to change bank. U may want to consider to do it when during this time.. the fee is all inclusive..
    Can ah? Hmmm... change bank? Will explore this option... Thx dude!

  11. #11
    Join Date
    May 2009
    Posts
    1,449

    Default

    Quote Originally Posted by ysyap
    Can ah? Hmmm... change bank? Will explore this option... Thx dude!
    Bro, when change bank u need to engage lawyer right. ..then include this ..

  12. #12
    Join Date
    Mar 2011
    Posts
    2,065

    Default

    Refinancing means you will be subjected to the new rules on LTV and loan tenure. Not a problem if your loan is paid down by a lot already. But might be a problem if the loan is quite recent.

  13. #13
    Join Date
    Jul 2011
    Posts
    9

    Default

    Please also find out if you are out of lock in period. Otherwise, prepayment fees apply.

  14. #14
    Join Date
    Nov 2008
    Posts
    8,013

    Default

    Quote Originally Posted by zzz1
    Bro, when change bank u need to engage lawyer right. ..then include this ..
    Usually banks will pay the lawyer fee...

  15. #15
    Join Date
    Nov 2008
    Posts
    8,013

    Default

    Quote Originally Posted by chiaberry
    Refinancing means you will be subjected to the new rules on LTV and loan tenure. Not a problem if your loan is paid down by a lot already. But might be a problem if the loan is quite recent.
    Well if refinancing requires a new valuation of my property, then my outstanding loan amount is less than 50% so should not be a problem. Thank you for reminding me.

  16. #16
    Join Date
    May 2009
    Posts
    1,449

    Default

    Quote Originally Posted by ysyap
    Usually banks will pay the lawyer fee...
    Now most of the bank , their nose is high, and don subsidised the lawyer fee..
    If your packages still dose, good to include(cpf) first..

  17. #17
    Join Date
    Mar 2011
    Posts
    2,065

    Default

    Quote Originally Posted by ysyap
    Usually banks will pay the lawyer fee...
    Now no longer standard. But maybe on a case-by-case basis (I am not sure).

    Some of the "old" loans had pretty good spreads, even after the lock-in period. I wonder if there are still some good deals around. The spreads were slowly inching upwards. For fixed rate package, take care of the spread at the end of the fix. It could be unfavourable if interest rates head up.

  18. #18
    Join Date
    Nov 2008
    Posts
    8,013

    Default

    Quote Originally Posted by chiaberry
    Now no longer standard. But maybe on a case-by-case basis (I am not sure).

    Some of the "old" loans had pretty good spreads, even after the lock-in period. I wonder if there are still some good deals around. The spreads were slowly inching upwards. For fixed rate package, take care of the spread at the end of the fix. It could be unfavourable if interest rates head up.
    Yup... I got a very strong feeling that interest rates will climb very soon. It had overstayed at a low rate far too long... May return to 2% - 3% in the next 2 years...

  19. #19
    Join Date
    Apr 2012
    Posts
    226

    Default

    You mean SIBOR or the SPREAD ?

    Quote Originally Posted by ysyap
    Yup... I got a very strong feeling that interest rates will climb very soon. It had overstayed at a low rate far too long... May return to 2% - 3% in the next 2 years...

  20. #20
    Join Date
    Nov 2008
    Posts
    8,013

    Default

    Quote Originally Posted by shareidiot
    You mean SIBOR or the SPREAD ?
    SIBOR..I may be mistaken but I think some banks' board rates are already steadily climbing up...

  21. #21
    Join Date
    Mar 2013
    Posts
    1,835

    Default

    Quote Originally Posted by einnoc
    That was what i thought. I alr paid $2400 exclude gst. Now they are asking for another $650, claiming is for CPF lawyer. I wonder if this is the norm?
    b4 u assign the law firm, didn't u cfm with them the 2400b4 gst is inclusive of cpf conveyancing as well?

    for my case I state the below & ask them to give me a quote:

    conveyancing fee for acting on behalf of me & cpf board which includes all admin expense like mortgage stamp duty.

  22. #22
    Join Date
    Jun 2013
    Posts
    11

    Default

    Quote Originally Posted by chiaberry
    Now no longer standard. But maybe on a case-by-case basis (I am not sure).

    Some of the "old" loans had pretty good spreads, even after the lock-in period. I wonder if there are still some good deals around. The spreads were slowly inching upwards. For fixed rate package, take care of the spread at the end of the fix. It could be unfavourable if interest rates head up.

    Hi there,

    My fixed loan says 3mth SIBOR + 1.25% after the 3 yr lock-in. Do you think it will be considered favourable? Has been thinking of re-financing for a while but put off by the extra charges which I have to incur b4 the 3 yr lock in.

    Thanks for input !!

    djam

  23. #23
    Join Date
    Mar 2011
    Posts
    2,065

    Default

    Quote Originally Posted by djam7773
    Hi there,

    My fixed loan says 3mth SIBOR + 1.25% after the 3 yr lock-in. Do you think it will be considered favourable? Has been thinking of re-financing for a while but put off by the extra charges which I have to incur b4 the 3 yr lock in.

    Thanks for input !!

    djam
    A year and a half ago I had a package of 1M SIBOR = 0.65% throughout. With 2 year lock in.

    You would have to go around asking what is currently being offered to assess if it would be worthwhile to incur the extra charges.

  24. #24
    Join Date
    Nov 2008
    Posts
    8,013

    Default

    Quote Originally Posted by djam7773
    Hi there,

    My fixed loan says 3mth SIBOR + 1.25% after the 3 yr lock-in. Do you think it will be considered favourable? Has been thinking of re-financing for a while but put off by the extra charges which I have to incur b4 the 3 yr lock in.

    Thanks for input !!

    djam
    With the latest news that 20 banks in Singapore are being reprimanded by MAS for some illicit manipulations including SIBOR rates, are we looking at a higher SIBOR rate in the coming months or a lower rate? If higher, then it makes perfect sense to re-finance with new fixed rates before the banks can react to the latest reprimand.

Similar Threads

  1. Replies: 29
    -: 15-11-12, 23:16
  2. Condo mthly fees
    By Vincegoh in forum Singapore Private Condominium Property Discussion and News
    Replies: 32
    -: 27-06-12, 07:53
  3. Monthly installment giving you headache?
    By kaceypeh in forum HDB, EC, commercial and industrial property discussion
    Replies: 2
    -: 05-08-11, 00:47
  4. Fully furnished vs Partial furnished
    By coolview in forum HDB, EC, commercial and industrial property discussion
    Replies: 24
    -: 13-08-10, 00:35
  5. Advisable to pay CPF or make partial repayment
    By ngloong in forum Finance and Legal
    Replies: 3
    -: 04-08-09, 10:08

Posting Permissions

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