YouHeypiCanLiao
Banned
- Joined
- May 11, 2017
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Agree.Maybe, maybe not. Only real interest rates truly matter. If you're paying back a 4% interest loan with Singapore dollars that are losing value at 5% per year due to inflation, that's a negative real interest rate. A negative real interest rate would be terrific.
Yes, enjoy it!
....And you shouldn't accelerate repayment as long as you're enjoying 1.4% money. CPF is paying 2.5% on an Ordinary Account. Enjoy the spread as much and as long as you're allowed.
I just received a quotation and I saw the interest and i went to check my investment via CPF-OA. I started the CPF-OA only like a year ago and the interest from investment now is around 40% of the mortgage interest. ( since I started the investment almost the same time as I bought the house ).
In the time to come, hopefully the investment interest will pay for loan repayment