Alliance Bank Digital SME Loan

Finance your growing business with Alliance Digital SME for up to RM500,000 and enjoy interest rate as low as 5.9% per annum. No need for bank visits, you can just apply online!

Alliance Bank Digital SME Loan
Tenure
Up to 5 years
Interest Rate
from 5.9% p.a.
Loan type
Unsecured loan
Interest Type
Flat interest rate

Interest rates

How much the bank charges you based on your loan amount & loan period

You borrowLoan periodAnnual Sales TurnoverInterest Rate
RM20,000 - RM500,00012 to 60 monthsRM50,000 to RM50,000,0005.9% p.a.

Fees & Charges

Interest Rate / APR
As low as 5.9% p.a. depending on loan amount and period
Stamp Duty
 0.5%  of the whole amount
Early Termination Fee
 2%  of remaining amount, chargeable for loan above RM200,000
Late Penalty Fee
 1%  from current outstanding amount, as addition, and per annum

Requirements

Minimum Annual sales turnover
RM50,000
Maximum Annual sales turnover
RM50,000,000
Minimum Company Age
1 year
Malaysian Ownership
51%  Minimum shareholding by Malaysians for loan application above RM200,000.
Who can apply
  • Malaysian Registered Companies. The Director/Owner with minimum age of 21 of the business shall have minimum 1 year experience in the same business nature.

More Information

A business owner can have a range of reasons why they want to take up a business loan. But one thing for sure, a business loan can help you to expand your business which in turn, results in better efficiency and profitability.

So, if you’re looking for a business loan to boost your business even more, Alliance Bank might just offer one of the best options in the market. Check out this review of Alliance Bank Digital SME Loan below.

What is Alliance Bank Digital SME Loan?

The Alliance Bank Digital SME Loan is a term business loan that offers small and medium business owners with high financing amount with low interest rates to further grow your business.

What differs this loan from other business loans out there in the market is that you are not required to provide any collateral, and you can apply it online wherever and whenever. Considering the pandemic we’re facing, it’s definitely feasible!

Let’s jump into the details of the loan. Depending on how much you want to expand your business, Alliance Bank offers a couple of financing amount options with choices of loan tenures, interest rates, and the effective interest rates.

The first option of financing amount is from minimum RM20,000 up to RM200,000 for a period between 1 year to 5 years maximum. Besides that, the interest rates are flat, and is from 5.9% p.a. (T&Cs apply) to 13.78% p.a. On the other hand, the effective interest rates are between 10.68% to 24.53% p.a. You may find the interest rate considerably high, but you have the flexibility of early settlement for this first option!

As for the second option, the financing amount is from RM200,000 to as high as RM500,000. But the minimum tenure period is 2 years unlike the former above, and 5 years is the maximum loan tenure. The flat interest rates are slightly different too which is from 6% p.a. to 13% p.a., while the effective interest rates are from 10.85% to 22.81% p.a. And in contrary from the first option above, early settlement is not allowed as a 2-year lock-in period is applied.

For better clarity, kindly refer to the table below:

Financing amountFrom RM20,000 to RM200,000> RM200,000 to RM500,000
Loan tenure1 year - 5 years2 years - 5 years
Interest rate*5.90% - 13.78% p.a. flat6% - 13% p.a. (flat rate)
Effective interest rate10.68% - 24.53% p.a.10.85% - 22.81% p.a.
Early settlementYesNo (2-year lock-in period)

*T&Cs apply. The rate is subject to the Bank’s eligibility criteria.

Disclaimer: The actual amount of financing, tenure, and interest rate to be provided by Alliance Bank is dependent upon credit evaluation by the Bank.

I want to know more about this business loan

If you wish to know more about Alliance Bank Digital SME Loan, we have a FAQs compiled for you. You can take your time to read and get yourself familiar first! 

You can even find a few tips to improve your chances of loan approval too. Just click here to find out more.

Is there a lock-in period for this loan?

There is no lock-in period for approved loan amount below RM200,000. 

However, a 2-year lock-in period will apply to approved loan amount above RM200,000.

Please refer to the table below for better clarification:

Up to RM200,000Above RM200,000
RedemptionAllowedNot allowed
PrepaymentAllowedNot allowed
Lock-in periodNo lock-in2 years
Penalty on redemptionNot applicable Within the first 2 years: 2% of the approved loan amount

After 2 years: 1 month notice

What are the charges that I need to pay to apply for this loan?

Before you submit your application online, there are a couple of charges that you should take note of. They are:

Stamp duty fee: 0.5% of the whole loan amount

Documentation fee: RM500. Will be waived if you apply for loan RM100,000 and below

Are there key benefits that I should know about?

Yes, there is! When your application for Alliance Bank Digital SME Loan is approved, you can gain access to Alliance BizSmart Solution where you can benefit from its various business solutions and exclusive privileges.

This benefit can help boost your business by providing great support which include but not limited to the following:

  • Assist you in acquiring new customers
  • Improving the efficiency of your business
  • Assist in developing, and upskill your employees, and much more!

Another benefit that you get to enjoy with your approved loan is the Support Lokal initiative where it can help local SME owners reach broader audience. You can get your hands on support such as digital branding, marketing, and all things e-commerce.

Am I eligible to apply for this business loan?

You’re eligible to apply for Alliance Bank Digital SME Loan if your business is registered in Malaysia with minimum 1 year in business.

Not only that, at least one (1) director/shareholder/owner of the business should be between 21 to 60 years old. 

All of the directors or shareholders of your company are required to be the guarantors.

For loan applications up to RM200,000, the shareholder must be a Malaysian citizen. For loan amounts above RM200,000, at least 51% shareholding must be by Malaysians.

Note: Other supporting documents may be required, subject to the Bank’s discretion.

How can I apply for Alliance Bank Digital SME Loan?

If you’re keen to apply for Alliance Digital SME Loan, you can do so by completing the RinggitPlus WhatsApp chatbot journey and submitting your latest 6-months company bank statement (in PDF) within 3 days.

If your loan application is shortlisted, you will receive an invitation to attend a virtual interview with Alliance Bank.

Here is the step-by-step guide to apply online:

1. Complete the RinggitPlus WhatsApp Chatbot journey and submit bank statement within 3 days

2. Alliance Bank will contact you within 3 working days once application is shortlisted

3. Attend a virtual interview with the bank

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