What are the benefits of refinancing your mortgage with Alliance ONE Account?
The advantages of putting all your loans in one bank. Alliance ONE Account is a mortgage refinancing service that helps you consolidate your loan balances into one account.
This way, you can free yourself up from the liability of paying high interest costs and hefty monthly instalments that you are servicing with other financial institutions.
What's more, you can turn the value of your property into extra cash, where you can use the money to invest, renovate house, fund for business or achieve personal goals. The best part is, you have the flexibility to make advance repayments and withdraw the money.
How Alliance ONE Account works?
Alliance ONE Account, essentially, helps reduce your total monthly repayment by consolidating your loan outstanding into one account. All you need to have is a residential or commercial property that is appreciating in value after some years.
The bank will offer you up to 90% margin of financing (add 5% to include legal and insurance financing) on the term loan for home loan refinancing purpose. In other words, you are loaning against your home equity.
At the same time, if you have a personal loan, a car loan and a credit card outstanding balance to service, you can consolidate them all and repay via a flexible overdraft facility.
Do I need an insurance coverage for this home loan?
Fire Insurance to protect the house from loss and damage is compulsory for every homeowner. On the other hand, you can also sign up for MRTA to cover for financial liabilities to the bank in the event of permanent disablement or death.
What are the fees and charges of this home loan?
The lock-in period for Alliance ONE Account is capped at 3 years from the date of disbursement; if you want to settle the outstanding loan balance within this period, you will be charged 2% of the approved amount.
You are also required to pay your loan installment on time, otherwise be charged with a late payment fee of 1% p.a. on the outstanding monthly balance.
There is a Commitment Fee of 1% charged to underutilized portion of your overdraft, if the approved limit is above RM250,000. When you have overdrawn the limit, there is also a penalty of 1% for excesses.
However, if you sign up for Alliance One Account Islamic Financing, there is no lock-in period, early termination fee and commitment fee charged.
What are the required documents for Alliance ONE Account home loan application?
Property documents:
Sale and Purchase Agreement or Booking Receipts, Copy of Individual Title Deed and Property Valuation Report (if any).
Salaried employee:
- Copy of your NRIC or passport
- Latest 3-months salary slip
- Latest EPF statement
- Latest EA Form
Self-employed:
- Sole Proprietor & Partnership – Form A & D
- Private Limited – Form 24 & 49
- Latest Form B + Tax payment receipt
- Latest 6-months current account statement
