Background In early 2013, when I first received the keys to my BTO flat, I had a mortgage of about $255,000. Like most first-time BTO owners, by default, I was on the HDB Concessionary Loan (HDB CL). Even in 2013, there was nothing “concessionary” about the mortgage rate of 2.6%. SIBOR rates were hovering at 0.5%-0.7% then and most banks were offering home loans at rates wayyyyy below 2%. With a loan period of 30 years and at the “concessionary” mortgage rate of 2.6%, I found myself paying about $1,020 a month. (Using this calculator here.) A few months later, I decided to abandon the HDB CL. I switched to a bank loan that came with a 2.5% interest cap for the first 10 years. A comparison of the two loans below:Saving more than $100 a month immediately, I decided to recommend this bank loan to many of my friends. The response was lukewarm at best and many brushed the suggestion off. That was when I realised that ......