How to best prepared before applying you home loan.

Most likely you’ll need to secure your home loan before you sign the S&P agreement.

As banks would prefer to loan to those who have a stable job, they normally require a minimum of 3 months of salary slips from your human resource department, where some banks may request up to 6 months of payroll history, which must also tally with your monthly EPF contribution.

Apart from your payroll history, you may want to check the status of your credit reports especially:

1. CCRIS Report- CCRIS is a system created by Bank Negara Malaysia (BNM) which compiles credit information about a borrower or potential borrowers into standardised credit reports.

2. CTOS – CTOS is a credit reporting agency. They maintain a record of historical information about a person’s credit experience to assess the creditworthiness and repayment capabilities of individuals or business companies.

However it doesn’t mean that if one bank rejects you, others will too, but it does offer a good insight into the decision-making process, so make sure you check these before applying for your loan.

In addition, you’d also need to make sure that you’re not stuck with too many debts. This will cause your Debt Service Ratio (DSR) to reach unhealthy levels, instead of the recommended 30%-40% range.

Need help with these?

You are welcome to make appointment with us for a Free Loan Advice.