How does the ABBA Financing-i Home Loan work?
ABBA Financing-i is a Shariah compliant home loan based on the Islamic principle of Bai Bithaman Ajil ( BBA), a deferred payment sale, or buy-and-sell concept. This Islamic home loan offers variable profit rate fixed to the IBR and is suitable for purchasing of new property and refinancing the existing one.
Your Islamic home loan account can be combined with an overdraft facility, Cash Line Facility-i, where you borrow up to an agreed limit to use for personal investment or emergency. You also need to maintain your overdraft facility as a fee of RM10.60 will be charged if the amount fall below RM1,000.
This semi flexi ABBA Islamic home loan option offers the same linkage to current account-i but the withdrawal process for taking out excess cash is different.
Money can only be withdrawn over the counter at Public Islamic Bank. You are restricted to one debit per month, which is chargeable at a fee of RM50 per withdrawal.
Do I need to take up Takaful with this home loan?
Houseowner Takaful (Fire Insurance) is compulsory. The premium is charged annually. MRTT is optional but strongly recommended.
What kind of documents do I need to apply for this home loan?
- Completed Application form
- Copy of SPA / Booking Receipts / Letter or Offer from Developer
Salaried Employee:
- Copy of MyKad (front and back)
- Latest 3 to 6 consecutive months salary slips or vouchers or
- Latest EA From
And one of the following:
- EPF Statement ( latest not more than 1 year) or
- Latest Tax Returns and Tax Receipts or
- Employment Letter or
- Latest 3 months Bank Statement or Saving Passbook
Self-Employed:
- Copy of MyKad (front and back)
- Latest 6 months bank statements or
- Latest 1 year Tax Returns and Tax Receipts