Hi everyone, i will be renovating my parent's kitchen and flooring soon which would amt to ard 15k. I have the lump sum to pay it all one shot as i hate having to pay interest on loans. But i saw thag dbs has this 0% interest preferred payment where i can pay for 12 mths at 0% interest. Do you think this is a feasible plan?
Hi there! Great question about the DBS My Preferred Payment Plan (MP3). I was curious to learn more about it too so I did some research and got to the following findings:
TL;DR: The DBS MP3 Is Perfect...
If you are someone who:
Then you should consider the DBS MP3 for your S$15,000 renovation loan.
Now getting into greater details, here are the requirements about DBS MP3:
Here are the cases when DBS MP3 will not be applicable:
At the end of the promotion this year (31 Dec 2019), the 0% interest instalment for your 12 months repayment will expire. The following are the new values for your one-time non-refundable processing fee:
Here are some additional information you should take into consideration too:
The points on a) No points/rebates and b) Potential administrative charges, are objective points you should consider as a customer. But to place things into perspective, perhaps you should consider how and what you would like to do with your personal lump sum of S$15,000 should you opt for MP3 instead (Think: opportunity cost for your personal S$15,000).
To conclude, if you have other plans for your personal S$15,000 that are of great importance, you should consider undertaking the DBS MP3. However, if earning the points and rebates are crucial to you as a DBS customer, perhaps you should utilise your personal S$15,000 instead. Additionally, if the burden of potential administrative charges and immediate payment - should you make changes to your card account and/or plan - daunts you, proceeding with your personal S$15,000 would be my suggestion.
If you would like to proceed with applying for the DBS MP3, you’ve got 3 ways to sign up:
I’ve gathered some alternatives to the DBS MP3 with either a 0% interest rate or 0% processing fees. If you’re keen on them, do let me know and I’ll be happy to share! Alternatively, here’s a Seedly article that has consolidated the best renovation loans for 2019!
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