1.Work out the benefits

    Reprice or refinance allows you to switch to a lower interest rate package to save on interest, or a loan package which better suits your needs. For example, one could switch to a fixed rate package if there is a concern about rising interest rate.

    Repricing allows you to enjoy the new loan package within a month, while refinancing typically takes effect at least 3 months later. Thus, you could start enjoying interest savings earlier when you reprice.

    2. Look out for incidental costs

    Repricing could involve a repricing fee of about $800. Refinancing requires you to pay legal and valuation fees, usually above $2,000.

    At times, you could enjoy a lower repricing fee or receive some form of subsidy to defray the legal and valuation fees. As you work out your savings, take note of these additional incidental costs.

    3. A hassle-free approach

    The engagement of law firm and valuation company are not required if you choose to reprice. If you choose to refinance, besides the legal and valuation fees, you will need to make time to visit the law firm and be home for the valuers to conduct a home visit.

    A home loan is a long-term financial commitment and likely one of your biggest monthly payments. We offer a customer care program to help our home loan customers better manage it. Feel free to approach us via [email protected] so we could assist you to work out the sums and make an informed decision.