How To Check Your Housing Loan Balance
November 2, 2022
After working for some years, you are finally at a stage in your life when you have decided to apply for your first home.
For most Singaporeans, a HDB housing loan is a good option for first-time homeowners. If you have acquired a HDB loan, then knowing the nitty-gritty of everything to do with a HDB housing loan must be your top priority.
Knowing how to check housing loan balance, HDB statement of account, and how to read your HDB statements enables you to keep track of your finances and pay back your HDB loan on time.
How To Check Your HDB Statement Of Account For Housing Loan
Your HDB statement of account shows all your HDB loan transactions, as well as the loan balance for the previous year.
You can access the HDB statement in two ways:
- Using your Singpass, log in to the HDB website. After logging in, search under the ‘My Flat’ tab, look for the ‘Purchased Flat’ tab, and finally click the ‘Financial Info’ to view your HDB statement.
- You can also visit a nearby HDB branch if you prefer a face-to-face consultation. Keep in mind that you must make a prior appointment to meet an official at a HDB branch. To book an appointment, you can utilise the e-Appointment system available on the HDB website.
To access any of the past account statements that are not readily available, you can submit a request online.
A $15 administrative charge is applicable per year for each request of a HDB account statement. You can pay this fee online using the eNETS, or a credit or debit card.
After you have made the payment, the past statements of your HDB account will be delivered to your address within 15 working days.
How To View Your HDB Mortgage Statement
If you have taken a HDB loan to finance your home, you can easily keep track of the balance and other crucial details by retrieving your mortgage statement online. Just follow these simple steps:
- Using your Singpass, log in to your Statement of Account page in the MyHDB Portal.
You will be presented with your overall account balance, that is, the loan summary. Click on the ‘View Statement of Account’ tab.
- Now, set the time period for which you need the statement for. You can select a maximum of one year at a time.
How To Check Your Outstanding Housing Loan Statement
After you have received the detailed statement of account for your HDB loan, you will be able to see all the different changes and transactions that took place over the period of time that you opted for.
The most common details and transactions that your HDB loan account statement shows are:
Balance Brought Forward (Bal-BF)
This shows the balance that you previously had outstanding at the beginning of the period for which you requested a statement to be issued for. This is the amount that HDB will charge interest on, and deduct payments from your CPF to pay back your HDB loan.
Interest Charge (IP-2.60)
This shows the percentage of interest that is charged to your balance by HDB. The ‘IP’ code here refers to the interest, while the ‘2.60’ informs you of the current interest rate that HDB charges on your outstanding balance, which is 2.6%.
If the interest rate changes – which hasn’t for a long while – the number will change to show the new interest rate.
How HDB interest works is that it calculates your outstanding balance each month, and charges one-twelfth of the annual interest rate to that balance.
In other words, each month approximately 0.22% interest is charged on your outstanding balance.
So as your balance gets lower each month due to the repayments you made, so does the interest you are charged each month.
If you wish to further decrease the interest you pay, you can do so by prepaying chunks of your loan if you have excess cash on hand.
The prepaid amount used to repay your outstanding loan will be denoted under different codes in your account statement, depending on how you transfer the funds.
Monthly Installment Payment
This is also one of the most common items most homeowners view in a HDB loan statement. It shows the details of your repayment of your HDB loan. Depending on your payment method, different codes are used to denote the repayment details.
How to Read Your Bank Mortgage Statement
The financial elements of your bank mortgage statement do not differ vastly from your HDB account statement.
A bank mortgage statement also shows all the necessary details that you must be aware of in order to plan your finances and make repayment installments on time and efficiently.
Remember that the format and arrangement of the fields included may differ from one bank to another, but most bank mortgage statements cover the same essential items.
Some of the most important items in your bank mortgage statement are as follows:
This term refers to your total outstanding amount. “Disbursement” refers to the amount that the financial institution – the bank in this case – has disbursed during the year that you retrieved your mortgage statement from.
Total Interest Charged
The item informs you of the total amount of interest that you have paid on your overall outstanding principal. Note that not all bank mortgage statements show the interest rates, or how they were calculated.
Total Monthly Repayment
This shows the amount that you have paid back each month, over 12 months of repayment.
Total Capital Repayments
This shows the amounts that you have managed to prepay on your mortgage. The total amount that you prepaid will be listed in this item.
All other fees and charges incurred during 12 months will be listed in the ‘Others’ item. Examples of additional charges are admin fees, late payment fees, or prepayment charges.
Why It Is Important To Review Your HDB Loan Statement Regularly
Knowing how to check housing loan balance makes you better prepared when it comes to paying your loan installments.
It also helps you make financially sound, well-thought-out decisions when it comes to planning your finances for the year.
When you do this on a regular basis, you are kept informed of how much you are paying each month, the interest rate that you are being charged, and how much you need to pay the following year.
The annual statements equip you with data that helps you stay ahead of your finances for the coming year, and tells you if you can afford additional expenses.
With details such as the total mortgage amount, the amount that you have repaid, and the interest charged, you will be able to judge if you can manage your mortgage or HDB loan.If you find that you can’t quite manage, you can consider making some prepayments and avail an overall lower interest rate.
Remember that refinancing may not always be the solution to your financial woes. Getting another mortgage plan only makes sense under the right circumstances.
It is highly advisable that you consider any personal plans and upcoming changes in your circumstances before you go this route.
At any rate, make it a point to analyse your HDB loan statements or bank mortgage statements regularly. If you feel like something is not sitting well with you, then you can always get professional help.
Get Help With Your Housing Loan
During the process of analysing your annual statement in detail, you may want to get a better deal with another financial institution that can loan you your required amount, with better repayment terms.
This way, you can enjoy lower interest rates, and improve monthly cash flow.
We at GS Credit are just a call away. We are one of Singapore’s most trusted licensed money lenders.
Book a consultation with us to discuss your house loan needs and see if we can work out a better plan together.
Or apply for a loan now. It takes just five minutes through Singpass.
Frequently Asked Questions
Which Loan Option Would Be Better For Me?
Choosing the right home loan option is not a simple task.
Depending on your financial conditions, personal circumstances, and risk appetite, you can choose from HDB home loans or a bank loan with either a fixed or floating interest rate.
It is important that you understand the terms of both options before getting a mortgage.
Can I Mortgage My HDB Flat?
A HDB flat can only be mortgaged to service the loan with which you purchased the flat itself, that is, to repay a home loan.
You are not allowed to use your HDB flat as collateral to secure other personal loans, such as cash-out refinancing or a home equity loan, even if you have paid for your HDB flat in full.
How Do I Check My Eligibility For A HDB Loan?
HDB loans require some prerequisites to be fulfilled.
The home buyer must be a Singapore citizen, the family’s monthly income must not exceed $14,000 ($7,000 for singles), and can only purchase HDB flats that are completed or are under construction.