Singaporean earning $2,500 monthly cannot obtain loan from HDB to buy flat

[Fishypie]

If hdb loan then even bankrupt the official assignee cannot touch your flat....if bank loan mean chong kong like private properties....am I right?
Another example of you die your business....

Oh ya..HDB's assigned OA wiLL stiLL consider the Likes of your basic needs Like fridge,washing machine, etcc..
But kena Pte one's, you better move your stuffs for safe keeps' somewhere 1st..that's what my buddy did.

[halsey02]

If hdb loan then even bankrupt the official assignee cannot touch your flat....if bank loan mean chong kong like private properties....am I right?
Another example of you die your business....

I really wonder, please enlighten me, how the bank lend people money to buy HDB flats these days, when the title is LEASE HOLD? I have in the past, before banks were allowed to lend money to HDB flat purchases, taken my HDB flat title to the banks in SINgapore, to apply for a temporary Over draft, was told, they don't accept the lease title, only other land or house title.

Have they changed this? that banks will accept HDB flat titles? Have they changed the HDB flat titles?? I know mine is lease hold. I am not the owner of the flat, even I have completely paid up for it!!!

[cunnilaubu]

I think the issue is that the guy is self-employed, either a sole-proprietor or those who are taxi drivers, hawkers, etc. Which means his income is not stable.

Another thing to consider is that although he declared his income as 30K annually, he may not really earning that much. There are various reasons why people does that - to qualify for credit card, to sponsor a foreign wife for residency, etc. At 30K, the income tax is minimal.

So HDB apparently knew what it is doing. That's why it asked for bank statement.

$2,500 is quite a lot and if he is an employee not self employed, I am sure he qualifies.

[Fishypie]

I think the issue is that the guy is self-employed, either a sole-proprietor or those who are taxi drivers, hawkers, etc. Which means his income is not stable.

Another thing to consider is that although he declared his income as 30K annually, he may not really earning that much. There are various reasons why people does that - to qualify for credit card, to sponsor a foreign wife for residency, etc. At 30K, the income tax is minimal.

So HDB apparently knew what it is doing. That's why it asked for bank statement.

$2,500 is quite a lot and if he is an employee not self employed, I am sure he qualifies.

You are nearLy right there.Remembered when i 1st started out on my own, the mentaLity was to Lower my annuaL
income's decLaration, and hence the Lessening of Income tax.How wrong i was when my ex-boss toLd me to actuaLLy 'over-decLare' my income to as much as i can, so Long as i can afford to pay the instaLLments.
The reason being ?..with that piece of paper for one's Last 2 years' of assessment, you can go pLaces ! ..
Any FinanciaL institutions wiLL weLcome you with Loans, just with those papers...
That's a great tip for any wouLd-be entrepreneurs here in sbf.shhh....

[halsey02]

You are nearLy right there.Remembered when i 1st started out on my own, the mentaLity was to Lower my annuaL
income's decLaration, and hence the Lessening of Income tax.How wrong i was when my ex-boss toLd me to actuaLLy 'over-decLare' my income to as much as i can, so Long as i can afford to pay the instaLLments.
The reason being ?..with that piece of paper for one's Last 2 years' of assessment, you can go pLaces ! ..
Any FinanciaL institutions wiLL weLcome you with Loans, just with those papers...
That's a great tip for any wouLd-be entrepreneurs here in sbf.shhh....

It is either you pay the official "tai e long" upfront first, recoup your costs later or start owing the other legal "tai e long" later!! ha ha ha either which way, you won't win! cash in hand, in worth many banks & financial institutions in the 'bush'!!

[Narong Wongwan]

Beats me...this is the problem when opposition dun get at least one third in parliament and they suka suka change the law.
I doubt you can mortgage your hdb even if it's fully paid up though the banks lend you money to buy it. Uniquely Singapore.

I really wonder, please enlighten me, how the bank lend people money to buy HDB flats these days, when the title is LEASE HOLD? I have in the past, before banks were allowed to lend money to HDB flat purchases, taken my HDB flat title to the banks in SINgapore, to apply for a temporary Over draft, was told, they don't accept the lease title, only other land or house title.

Have they changed this? that banks will accept HDB flat titles? Have they changed the HDB flat titles?? I know mine is lease hold. I am not the owner of the flat, even I have completely paid up for it!!!

[halsey02]

Beats me...this is the problem when opposition dun get at least one third in parliament and they suka suka change the law.
I doubt you can mortgage your hdb even if it's fully paid up though the banks lend you money to buy it. Uniquely Singapore.

Can anyone, from the legal trades or financial trades give an answer to the question? I have been away from the latter for a very long time, so I don't know what is actually going on internally.

[Fishypie]

It is either you pay the official "tai e long" upfront first, recoup your costs later or start owing the other legal "tai e long" later!! ha ha ha either which way, you won't win! cash in hand, in worth many banks & financial institutions in the 'bush'!!

But from a businessman's POV, at times we need overdrafts to roLL; so having extension of credit faciLities is aLways a boon.

[chonburifc]

Have they changed this? that banks will accept HDB flat titles? Have they changed the HDB flat titles?? I know mine is lease hold. I am not the owner of the flat, even I have completely paid up for it!!!

Think the late JBJ ever brought this up. And the slightest clue is that you cannot even remortgage your own HDB even if you have fully paid for it.

I am remortgaging my old 'pigeon hole' by renting it out.

[halsey02]

But from a businessman's POV, at times we need overdrafts to roLL; so having extension of credit faciLities is aLways a boon.

But this come with risks...ok lah! " no venture no gain" or when we will little " no father, no son" OK OK nowadays, you can artificially inseminate!!

[halsey02]

Think the late JBJ ever brought this up. And the slightest clue is that you cannot even remortgage your own HDB even if you have fully paid for it.

I am remortgaging my old 'pigeon hole' by renting it out.

LEEgally or illegally??

[myo539]

he should go see your MP especially COWdung and spit at his fucking ugly fuck up cancer infested face.
or go see Kee Chiu and mastubate his cock...maybe your application for loan will be approved

He should go and see Opposition MPs since they care so much for the people and "basic human rights".

Probably he is one of their supporters. Otherwise he would have KPKB and accused PAP of not supporting those who voted for, and believe in them. Moreover, he has opted to write to TemasickTimes deluding himself that he will get more positive responses than to the Mainstream Straits Times.

People like him will declare that they earn more so that they can apply for this and that (such as credit cards and loans), but when the IRS and CPF people come knocking on his and asked him for his income, he will probably under-declare and say he is earning basic pays to escape paying income tax. The IRS people have seen a lot of such cases.

If people like despatched and pizza delivery riders and cleaners can get loan, one sees no reason why he should not be eligible. Dig a little further and we would have discovered a lot of skeletons in his cupboard.

He thinks people in TemasickTimes are gullible and blinded by their dislike for the government.

[halsey02]

He should go and see Opposition MPs since they care so much for the people and "basic human rights".

Probably he is one of their supporters. Otherwise he would have KPKB and accused PAP of not supporting those who voted for, and believe in them. Moreover, he has opted to write to TemasickTimes deluding himself that he will get more positive responses than to the Mainstream Straits Times.

People like him will declare that they earn more so that they can apply for this and that (such as credit cards and loans), but when the IRS and CPF people come knocking on his and asked him for his income, he will probably under-declare and say he is earning basic pays to escape paying income tax. The IRS people have seen a lot of such cases.

If people like despatched and pizza delivery riders and cleaners can get loan, one sees no reason why he should not be eligible. Dig a little further and we would have discovered a lot of skeletons in his cupboard.

He thinks people in TemasickTimes are gullible and blinded by their dislike for the government.

This maybe the work of the pappinovirus IB, who is out to discredit the netizens, and condemning us to be irresponsible, brainless & seditious! Temasick times should review & verify and not take every thing per se!

[Cruxx]

Whom did he vote for?

[Raiders]

I think this Spencer has something that he is hiding. I'm no supporter of HDB but let me share my story.

I had did alot of googling and normally those who are self employed AND had a problem with HDB loans are those with bad credit ratings (which those forummers sheepily admited) They knew that they credit ratings were the result of their loans being rejected, but made alot of noise in cyberspace.

[Narong Wongwan]

I think this Spencer has something that he is hiding. I'm no supporter of HDB but let me share my story.

I had did alot of googling and normally those who are self employed AND had a problem with HDB loans are those with bad credit ratings (which those forummers sheepily admited) They knew that they credit ratings were the result of their loans being rejected, but made alot of noise in cyberspace.

I dun know the exact criteria for a hdb loan but I doubt it's the same as commercial banks.
For one I know even undischarged bankrupts are granted hdb loan and buy a flat...so there should not be any potential applicants being rejected due to bad credit.

[chonburifc]

LEEgally or illegally??

Legal lah. Got pay property tax one leh. KNN, IRAS suka suka just deducted from my GIRO without my knowledge. Found out, call them and fuck them upside down. I ask how come bank deducted liaoz but online still never show up? KNN, as usual all the crap stories.

[Raiders]

I dun know the exact criteria for a hdb loan but I doubt it's the same as commercial banks.
For one I know even undischarged bankrupts are granted hdb loan and buy a flat...so there should not be any potential applicants being rejected due to bad credit.

Bro, for self employed, they have to submit credit bureau report. Loan will be granted but they will grant you those rubbish amount that can only allow you to buy the toilet

You can try googling "hdb loan rejected" and you'll see a pattern for rejection.

1. Self employed
2. Bad credit ratings

These are the 2 main reasons. Like someone had pointed out, the income tax payable for 30k income is so negligible. Any Tom, Dick and Harry can simply declare that income to look good (for qualifying for credit cards, loans) That guy claimed he is self employed. The problem might also lies in the fact that he did not do a self contribution to CPF. If he had constantly self contributed to CPF and produced the statement, I don't think he would have this problem.

[Narong Wongwan]

Bro, for self employed, they have to submit credit bureau report. Loan will be granted but they will grant you those rubbish amount that can only allow you to buy the toilet

You can try googling "hdb loan rejected" and you'll see a pattern for rejection.

1. Self employed
2. Bad credit ratings

These are the 2 main reasons. Like someone had pointed out, the income tax payable for 30k income is so negligible. Any Tom, Dick and Harry can simply declare that income to look good (for qualifying for credit cards, loans) That guy claimed he is self employed. The problem might also lies in the fact that he did not do a self contribution to CPF. If he had constantly self contributed to CPF and produced the statement, I don't think he would have this problem.

Wow it seems things have changed drastically.
I managed to buy a resale flat then when I was actually unemployed.
I remembered all I submitted was a 3 months old employment contract stating my salary (from friend's company) ...no other documents were required.
I managed to loan 350k from hdb. ...this was 10 years ago.

[Raiders]

Wow it seems things have changed drastically.
I managed to buy a resale flat then when I was actually unemployed.
I remembered all I submitted was a 3 months old employment contract stating my salary (from friend's company) ...no other documents were required.
I managed to loan 350k from hdb. ...this was 10 years ago.

Yes, times have changed brother. For those single applicant, the loan amount is normally enough only to buy half the flat.

When I bought my first flat, as my wife is foreigner, only my income was taken into consideration(no debts), the amount was $217K

When my cousin bought his first flat with his unemployed father who had been living in Batam for the last 5 years with his mistress (no debts as well), the amount given to him was $180K.

We were holding proper jobs and constant employment with no lapse in employment and my cousin was even a civil servant. I had an ex colleague who only earned $1800 and his wife was earning around that amount as well (both ITE graduates) and when they applied for a BTO(their first flat), they got a grant of nearly 400K. What the hell is wrong with this country?



Just for your info. Taken from HDB website.

For applicants and occupiers:-
(a) Valid ACRA+ Computer Information (Business Profile) / Valid licence of business/trade; and
(b) (i) Latest Notice of Assessment from IRAS; or
(ii) Certified Annual Statement of Accounts from an audit firm

Applicants are also required to submit the following additional documents:-
(c) Past 12 months’ bank statements; and
(d) Credit Bureau Report

Alot of people only kpkb that HDB rejected them and blah blah blah(as in this case of Spencer) but they forgot to mention(or shy to admit) about the credit report