Comments on: Do Not Fall Flat on Personal Loan’s Flat Rate (Part II) http://smartconsumerbanking.com/2007/07/25/do-not-fall-flat-on-personal-loans-flat-rate-part-ii/ Consumer Guide on Banking & Financial Products , and tips on love, money and happiness For Fellow Malaysian Tue, 06 Jan 2009 08:22:07 +0000 http://wordpress.org/?v=2.6.1 By: mosh http://smartconsumerbanking.com/2007/07/25/do-not-fall-flat-on-personal-loans-flat-rate-part-ii/#comment-416 mosh Mon, 18 Aug 2008 09:38:53 +0000 http://smartconsumerbanking.com/2007/07/25/do-not-fall-flat-on-personal-loans-flat-rate-part-ii/#comment-416 bank like RHB are doing what they call monthly reducing basis. intrest rate from 13.45% p.a for rm10K below.. i wonder what it montly reducing basis?. and how to diffrenciate them with flat rate. bank like RHB are doing what they call monthly reducing basis. intrest rate from 13.45% p.a for rm10K below.. i wonder what it montly reducing basis?. and how to diffrenciate them with flat rate.

]]> By: YH http://smartconsumerbanking.com/2007/07/25/do-not-fall-flat-on-personal-loans-flat-rate-part-ii/#comment-402 YH Wed, 09 Jul 2008 16:30:43 +0000 http://smartconsumerbanking.com/2007/07/25/do-not-fall-flat-on-personal-loans-flat-rate-part-ii/#comment-402 Karen. Don't get to bogged down by the term used. Simply put it, EIR reflects the true/actual cost of borrowing taking into consideration the outstanding balance and time period. The flat rate is a fixed rate and remained the same eventhought the loan principle has been reduced. Flat rate can be converted to EIR so that one knows the true cost of borrowing. They are 2 different expression and carries different amount of information (EIR gives you a complete info) When comparing loans, you must be comparing apple to apple. In the case of PL vs credit card, you can either compare them in flat rate of EIR to see which one is the lowest. Karen. Don’t get to bogged down by the term used. Simply put it, EIR reflects the true/actual cost of borrowing taking into consideration the outstanding balance and time period. The flat rate is a fixed rate and remained the same eventhought the loan principle has been reduced.

Flat rate can be converted to EIR so that one knows the true cost of borrowing. They are 2 different expression and carries different amount of information (EIR gives you a complete info)

When comparing loans, you must be comparing apple to apple. In the case of PL vs credit card, you can either compare them in flat rate of EIR to see which one is the lowest.

]]> By: karen http://smartconsumerbanking.com/2007/07/25/do-not-fall-flat-on-personal-loans-flat-rate-part-ii/#comment-399 karen Tue, 08 Jul 2008 15:21:33 +0000 http://smartconsumerbanking.com/2007/07/25/do-not-fall-flat-on-personal-loans-flat-rate-part-ii/#comment-399 after reading the info, EIR sound better but the figure looks bigger than flat rate. MAy i know, 1.what is the different between flat rate and EIR? 2.what is the benefit of a loan interest charged based on EIR compare to flat rate? 3. if i've been offered a personal loan with 19% EIR and credit card is charging 18%, should i take up the personal loan to do a debts consolidation? why? after reading the info, EIR sound better but the figure looks bigger than flat rate. MAy i know,

1.what is the different between flat rate and EIR?
2.what is the benefit of a loan interest charged based on EIR compare to flat rate?
3. if i’ve been offered a personal loan with 19% EIR and credit card is charging 18%, should i take up the personal loan to do a debts consolidation? why?

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