Hi Mr Lau. I have a flexi home loan with a bank. I am currently deciding whether to withdraw from EPF account 2 for monthly instalment or to reduce home loan. If I am to withdraw to reduce home loan, is the money going to be transferred into flexi home loan account? Let’s say there is any emergency in the future, can I access to the money to pay for my monthly instalment and other commitments?
Hi Betty, I am afraid that even if it is a flexi homeloan, the withdrawal method from EPF to pay down principal cannot be withdrawn unless you refinance.
The better way for cash flow and emergency is using the “installment withdrawal” method. You will get the money monthly but you have control on where to put it to use.