I just came back from EPF after checking the status of my account. I've been considering my current mortgage using funds from EPF. With the funds from my EPF, I would be able to knock off a slight chunk off the outstanding loan and thus save on interests chargeable. The interest chargeable currently constitutes about 40% of my instalment repayment and that is really substantial! Moreover, the dividend given by EPF is not higher than what the bank is charging me on interest.
Whilst I have this opportunity, I symphatize with those who have to juggle mounting debts or those with bad credit history loan. Some of them are victims of circumstances and have gotten them into a mountain of debt eg. to finance an urgent medical operation or recurring medical costs. Some have argued that financial institutions ought to be more humane in dealing with these customers as some of these customers do not choose to be in debt. However, on the other hand, financial institutions are a business entity and answerable to its shareholders. Perhaps these customers should try to talk directly with the financial institutions concerned on the plight to see if the outstanding loan/s could be restructured to give the former some breathing space. Some of these customers could also look at another option in the form of secured online loan. It may very well offer them a lifeline indeed.