Kbank offering 'feng shui' master advice

Feng shui is the traditional art of physically arranging homes or offices to enhance health, wealth and happiness, but it costs thousands of baht per visit by a master.

Kasikornbank (KBank) customers taking out new mortgages of at least Bt1.5 million can receive an analysis from a feng shui master free of charge.

Borrowers will receive a feng shui report written by a professional master, such as Feng Shui Academic Centre (Thailand) president Ajarn Mas Kahastham and his staff.

The report will provide detailed advice regarding how to decorate a house, the location of which is divided into eight parts based on direction and position.

For example, a house located facing the southwest should apply an open-space concept and allow airflow both inside and outside the house. It is believed this will advance the careers of those who live there. Moreover, the feng shui master suggests residents decorate their homes with gold objects or stainless-steel furniture.

The feng shui advice will be based on documents the customers send to the bank, including house plans, title deeds and birth certificates.

Chatchai Payuhanaveechai, senior vice president for consumer loans, product management and marketing at KBank, said this was the first-ever service by a Thai bank.

"When people buy a house, they believe good feng shui will bring them luck, wealth and good health. But sometimes they don't know how to obtain the right advice, so we provide this service on expectation that customers will be loyal to the bank if they're satisfied," said Chatchai.

The bank has already approved Bt13 billion worth of housing loans in the first five months of the year and predicts its mortgage lending for the first half will exceed its target by 20 per cent.

KBank's second-half lending target is an additional Bt20 billion, he said, adding that net lending would be about Bt15 billion this year.

"Tax-stimulus measures, higher building-material prices and rising interest rates may encourage those wanting to own their own home to make a buying decision this year, because next year the situation may be worse," said Chatchai.

He reiterated that for every percentage-point increase, each repayment instalment would be 6-per-cent higher. For instance, when interest rates are nudged up 1 per cent, borrowers must pay Bt8,480 per instalment, from Bt8,000.

He predicts interest rates in the second half will rise 25-50 basis points, depending on market conditions.

The bank's non-performing mortgages stand at Bt3 billion out of total mortgage lending of Bt100 billion.