Here are a few guideline that I use to manage my personal finance.

Financial Knowledge

My journey on financial knowledge started in 2008. I want to know more about personal financial and financial freedom. My favorite blog that I read ” getrichslowly ” It have answer on most of my questions regarding personal finance. Better look for the 2006 and 2007 entry because there are a lot of original content from the author. In malaysia there a a few site about financial but lack personal touch ( I might me wrong here ). Some of them are ” duitmoney, bebashutang, pakdi etc ”

Spend Less Than You Earn

My goal each month to have positive cash flow. I budget my salary each month to have some money save in the bank or increase my emergency fund. I must tell you not every time I was successful, there are month that I have negative balance. Therefore I am using my emergency fund.

Save 10% of my salary

This tips I take very seriously. It is mention in getrichslowly, books that is written by azizi ali, and also a book entitle Rich man in Babylon.

Avoid debt

All debt is dangerous. The most deadly debt for me is Credit Card debt and Personal Loan. I have no personal loan but I carried a balance on credit card from 2001. Hopefully I will debt free early February 2011 except for my mortgage.

Know your strength and downfall

Everybody have their soft spot. After much searching and analyzing. My biggest enemy that brought me to financial ruin is my greed. My greed for riches have cloud my judgement. I venture into FOREX without knowledge ( breaking rule number 1 )  As for now I just venture to the things I know like ASB. Yes it is slow, but it is me. I want to sleep every night without worrying my investment.

Take Action

I used to be lip service and mind service. Thinking and saying without getting anythings done. It is good to plan, but don’t look for perfection. do what is good for you. Eventhough it is so small that you might not remember today. Eventually it will come to help you. Do something and do it now.

Final answer for personal finance is yourself. Do what is good for you and your family.

Conventional Bank

Bank-bank Perdagangan      Affin Bank Berhad
Alliance Bank Malaysia Berhad
AmBank (M) Berhad
Bangkok Bank Berhad
Bank of America Malaysia Berhad
Bank of China (Malaysia) Berhad
Bank of Tokyo-Mitsubishi UFJ (Malaysia) Berhad
CIMB Bank Berhad (formerly known as Bumiputra-Commerce Bank Berhad)
Citibank Berhad * ( also have islamic banking )
Deutsche Bank (Malaysia) Berhad
EON Bank Berhad
Hong Leong Bank Berhad
HSBC Bank Malaysia Berhad
J.P. Morgan Chase Bank Berhad
Malayan Banking Berhad ( Maybank )
OCBC Bank (Malaysia) Berhad
Public Bank Berhad
RHB Bank Berhad
Standard Chartered Bank Malaysia Berhad
The Bank of Nova Scotia Berhad
The Royal Bank of Scotland Berhad (formerly known as ABN AMRO Bank Berhad)
United Overseas Bank (Malaysia) Berhad
Industrial and Commercial Bank of China (Malaysia) Berhad

Islamic Bank

Affin Islamic Bank Berhad
Alliance Islamic Bank Berhad
Al Rajhi Banking & Investment Corporation (Malaysia) Berhad
AmIslamic Bank Berhad
Asian Finance Bank Berhad
Bank Islam Malaysia Berhad
Bank Muamalat Malaysia Berhad
CIMB Islamic Bank Berhad (formerly known as Commerce Tijari Bank Berhad)
EONCAP Islamic Bank Berhad
Hong Leong Islamic Bank Berhad
Kuwait Finance House (M) Berhad
Maybank Islamic Berhad
RHB Islamic Bank Berhad
HSBC Amanah Malaysia Berhad
OCBC Al-Amin Bank Berhad
Public Islamic Bank Berhad
Standard Chartered Saadiq Berhad

PIDM coverage limit RM250,000.00 for conventional and islamic bank but it doesn’t mention for 1 bank or total amount save in banks. My others concern is it does not mention about PNB/ASB and also Tabung Haji to be covered in these scheme.

List of bank covered by PIDM : Financial Institution Covered under PIDM scheme

Below are the details taken from PIDM official website

All types of depositors, whether individuals or  businesses, are protected. The maximum limit of coverage is RM250,000 per depositor per member institution. This includes both the principal amount of a deposit and the interest/return. The RM250,000 limit provides for 99% of existing depositors to be protected in full. The Malaysian deposit insurance system provides separate coverage for conventional and Islamic deposits.

Deposits eligible for protection

·         Current and savings deposit accounts

·         Fixed deposits

·         Joint accounts, trust accounts

·         Foreign currency deposits

Deposits NOT eligible for protection

·         Deposits not payable in Malaysia

·         Inter-bank money market placements

·         Negotiable instruments of deposit (NIDs) and other bearer deposits

·         Repurchase agreements

·         Unit trusts

There is also separate deposit insurance protection up to the RM250,000 limit for a depositor who holds a deposit under each of the following categories:

a)      Islamic accounts – These accounts are separately protected up to the RM250,000 limit.

b)      Joint accounts – Joint accounts enjoy separate deposit insurance protection provided the records of the member bank disclose the names of the joint account holders.

c)       Trust accounts – For trust accounts, beneficiaries can enjoy separate protection if the trustee discloses the interest of each beneficiary and the amounts owed to each beneficiary on the records of the member bank. Each beneficiary is protected up to RM250,000 separately from insured deposits held in their names.

d)      Accounts of sole proprietorships, partnerships or persons carrying on professional practices (e.g. architects, dentists) – These accounts are also separately protected up to the RM250,000 limit.

Base Lending Rate ( BLR ) in Malaysia as of 27 Dec 2010.   Updated 19 feb. 2011

This table as for your guidence only. For more accurate infomation you can go to respective bank.

Source: BankInfo

First and foremost do things that make you happy and importantly do not require new debt. As for me I just wonder weather I want to pre-pay my home loan or reinvest in ASB. Both have its own benefit. I’m not sure now but hopefully it will be either one.

How about you. What do you want to do with your ASB 2010 dividend and bonus.

ps./ for ASB performance : ASB 2010 – History Table / ASB Performance Dividend and Bonus

Dividend ASB 2010 7.50 sen

Bonus ASB 2010 1.25 sen

Smile everyone the dividend is more than BLR 6.30% for 2010. For those making ASB loan surely very excited and makes plan. I think we can withdraw ASB after its resume operation after 3 january 2011. Advice to all of you and I included. Spend wisely and make plan for your future.

Financial freedom begins now. Seek balance and knowledge for yourself and family.

For more information ASB 2010 – History Table / Performance for ASB Dividend and Bonus for the past 20 years

Happy ASB 2010

History Chart / Performance for ASB Dividend and Bonus from 1990 till 2010 ( ASB Performance History )

Hopefully the performance chart given will be beneficial in choosing your investment. Personally I want to see the dividen given is higher than BLR for that particular year. This is if you are making ASB loan. As for bonus I still very confusing for me to calculate. I will update the table when dividend and bonus is announce in early of january 2011. Oopps already annouced on 21 December 2010

End of year 2010. My eyes ponders upon ASB dividen and bonus. Currently all transactions for ASB and ASN is suspended. transaction will resume on 3 January 2011 and I will be waiting the announcement.

Happy investing in ASB and ASN