Ben Ng HomeLoan Business - Mortgage Agency Business Extra Slides #barcampkl 2009

1. Home Loan Product Programme (HLPP) Secured Lending Department (SCL) Updated as at September 2007

6. Risk Acceptance Criteria (RAC) Sections 4 , 6 , 8

9. Leasehold Properties Remaining tenure of the lease for leasehold properties must not be less than 10 years upon maturity of the loan. Examples:   Acceptance 5 yrs Yr 2015 Yr 2010 20 yrs Yr 2030 Yr 2010 Remaining lease Leasehold maturity Loan maturity

15. Foreigner as Borrower Note: No financing is allowed for foreigners who are blue color workers. 50% 60% 60% Category C • Others foreigners with net income equivalent to RM10,000. 20 years or age of 60 years old, whichever is earlier. 70% 80% 80% Category B • Working in Malaysia with work permit (validity 6 mths), holding at least executive positions. • Shareholders of established business in Malaysia for more than 2 years. • Who participates in “Malaysia My Second Home Programme (MM2HP)”. • Singaporeans. • Existing OCBC Group Customer where their credit standing can be verified with our Group. • Who are holding key executive positions in multi-national companies and their positions can be verified with the local subsidiaries in Malaysia. Same as local Category A • Malaysian PR status. • Settled down in Malaysia, i.e. - married the locals & set up their family here. - working here for more than 5 years. • Staff of OCBC Group. Non-landed (Non-prime) Non-landed (Prime) Landed Tenure MOA Category of Foreign Borrower

26. Debt Servicing Ratio (DSR) Front-end DSR = Proposed facility instalment + OD interest Monthly Net Income Note: Where there are loans pending approval and/or drawdown from the same borrower (jointly or solely) , the instalment of that loan shall be incorporated in the Front-end DSR computation of the current loan application. Back-end DSR = Proposed facility instalment/interest + Total CCRIS commitments Monthly Net Income Net Income:- Net income = Gross Income less income tax & EPF

28. Debt Servicing Ratio (DSR) - continue * With exceptional approval from Credit Controller. - - 100% for all 60% and below T2=70% 60% for profession 100% T1=50% 40% for non-profession >60% With cashout T2=70% 60% for profession 100%* T1=50% 40% for non-profession 80% and below T2=70% 60% for profession 100% T1=50% 40% for non-profession 81%-90% No cashout Refinancing - - 100% for all 60% and below T2=70% 60% for profession 100%* T1=50% 40% for non-profession 61%-70% T2=70% 60% for profession 100% T1=50% 40% for non-profession >70% New Purchase Maximum capping on Back-end DSR Back-end DSR (if front-DSR is not met) Front-end DSR MOA Cashout Purpose

29. DSR Vs Traffic Light Note:- T1 – net monthly income of up to RM3,000 T2 – net monthly income > RM3,000 T1 = 40% T2 = 60% T1 = 40% T2 = 60% Professional=40% Non-prof =30% Amber (OD/Credit Card utilization>70%) T1 = 50% T2 = 70% 100% Non-Prof = 40% Prof =60% Green Back–end DSR (If Front-end DSR is not met) Back-end DSR (If Front-end DSR is met) Front-end CCRIS/ credit utilisation

37. Section 8.4 Margin of Advance (MOA) iii) For MOA above 80%, CCRIS must NOT have no records ( unless graduates) and NOT more than 1 month in arrears in the past 6 months. iv) For applications that do not meet CCRIS criteria as stated in (iii) and/or exceeded refinancing loan limits as below table, the total MOA must not exceed 80% of current market value ( landed & non-landed) and 60% ( for Service Apartment). Loan Limit for Refinancing RM500,000 RM 1 mil RM1.5 mil Non-landed RM 1 mil RM 2 mil RM 2 mil Landed Others Kajang, Klang, Johor Bahru, Kota Kinabalu, Kuching KV & Penang Island Type of Property

48. Facility Codes (eOrigin creation) Daily rest, Graduated Home Loan, Variable rate. HL 130(HG) Daily rest, Graduated HL Fixed rate. HL 224 (HI) OD (for personal consumption) OD 101 Daily rest, for variable rate pricing package TL 059 Daily rest, for fixed rate pricing package TL 093 OD eHome (purpose: purchase of residential property) OD 109 Daily rest, for fixed rate pricing package HL 092 Daily rest, for variable rate pricing package HL 035 Monthly rest, property up to RM60k for West Malaysia & RM72K for East Malaysia SHLS 002 Description Loan Facility codes