Revision of the Home Loan Board Rate – Singapore Residential Financing Rate (SRFR)

 

Please be informed that the SRFR will be revised from 3.75% p.a. to 4.00% p.a. with effect from 18 February 2016.


Since the introduction of the Singapore Residential Financing Rate (SRFR) in 2007, this is the first time a revision will be made. The revision is undertaken after much consideration and in view of the prevailing market conditions.

Your loan interest rate and monthly instalment will be affected by this SRFR revision if your  loan interest rate is pegged:

  1. at SRFR OR
  2. below the SRFR (for example, SRFR less 1.10% per annum) OR
  3. above the SRFR (for example, SRFR plus 0.50% per annum)


How much will your monthly instalment be revised?

Your monthly instalment will increase as a result of this SRFR revision. The increase in monthly instalment amount is estimated at S$12 for every S$100,000 loan.

However, your monthly instalment will not be revised immediately, we will write to you in March 2016 to inform you of your revised monthly instalment which will commence from April 2016.


Using CPF funds to service your monthly instalment?

For private property
If you are using your CPF funds (partially or fully) to service your monthly instalment, you may submit your application for revision :

  1. with your SingPass online via CPF Board website.
  2. using the CPF form 4B : “Application to Use CPF savings to Repay Housing Loan for Private Property (PPS Form 4B)”, which can be located on CPF Board website.

You may wish to note the processing period required by CPF Board for effecting such revisions, as any shortfall in the amount received by the bank through CPF Board will be debited from your designated Maybank loan servicing deposit account.

For HDB property
If you have previously submitted the “Letter of Authorisation” to the bank, any revision to your monthly instalment will be automatically updated with the CPF Board hence no further action is required on your part.

If you have not submitted the “Letter of Authorisation” previously and you are using your CPF funds (partially or fully) to service your monthly instalment, you may submit your application for revision :

  1. with your SingPass online via CPF Board website.
  2. using the CPF form HBL/4 : “Application to Use CPF savings for Partial/Full Repayment of Housing Loan or Revision/Cessation of Monthly CPF Deduction of HDB Flat Financed with Bank Loan”, which can be located on CPF Board website.

You may wish to note the processing period required by CPF Board for effecting such revisions, as any shortfall in the amount received by the bank through CPF Board will be debited from your designated Maybank loan servicing deposit account.

To find out if you have previously submitted the “Letter of Authorisation”, you can call us at 1800 629 2265 (1800 MAYBANK).

 

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