Home owners have been enjoying cheap loans for a long time on the back of historically low SIBOR. But, the party has ended and the fat lady is clearing her throat. Here’s how you can tackle the rising SIBOR. Words by Calvin Yeo — What is SIBOR? SIBOR, or Singapore Interbank Offered Rate, is the reference rate used by banks to determine how much it costs to borrow from each other. Most, if not all, banks use SIBOR as a tool to determine home loan packages – these packages are charged with a spread on SIBOR. For example, the bank might charge you SIBOR with an additional 1.25 percent. This means that the bank’s loan cost is SIBOR and the additional 1.25 percent is how much it earns from the home loan you’ve taken up. Why did SIBOR suddenly shoot up? For the past four years, the 3-month ......