1 / 6

Reducing/Preventing CPF Housing Loans' Accruing Interest

Best home loan rates - Get instant New Home Loan form HDFC for purchase of a flat, row house, bungalow from private or govt development authorities approved projects<br>

RobbinKendy
Download Presentation

Reducing/Preventing CPF Housing Loans' Accruing Interest

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Housing Loans

  2. Reducing/Preventing CPF Housing Loans' Accruing Interest

  3. One of our readers asked us this question on our blog: Understand that the accrued interest have to paid back when we the property that is used to finance is sold. • So if the property is not sold, the amount of OA used will still be incurring accrued interest, in this case can we settle the amount to our CPF OA account using cash to stop it from accruing interest through Housing Loans? • We went to do some research and asking and we got the answers for you! • The answer is below: Yes! You can actually voluntarily choose to use your own money to pay back into your own CPF account the amount of money you used to buy your house.

  4. Benefits: If you have spare cash, and unable to find a good place to save with higher interest rates, you can put it to cover your accruing interest. • By reducing the amount of CPF money you used to pay for your house, more of your money will end up earning the CPF interest (2.5% + 1%) instead of coming from the appreciation of your house. • If you sell your house in the future, the accrued interest going back to your CPF comes from the appreciation of your house value.

  5. If you put more of your cash into your house, keeping your CPF money intact, then your CPF money can earn Interest from CPF instead of from your house. • CPF Pocket going into your Pocket - You GAIN money paid by CPF! • Of course, the big point is you should have spare cash that cannot earn interests in excess of CPF interest (2.5%+1%). • More information can be found in the link below under "General Information on Housing Matters". • Source: http://investmentstab.blogspot.in/2015/10/reducingpreventing-cpf-housing-loans.html

  6. Click to know more on Housing Loans: http://www.hdfc.com/housing-loans/home-loans/for-new-homes-salaried Thank You…

More Related