Islamic Personal Loan is based on Shariah concept of Tawarruq. The Personal loan facility provides the individuals with funds according to their financial needs at a competitive range of profit rates. Among many other banks and financial institutions offering Islamic personal financing, Bank Rakyat, Bank Muamalat, BSN Bank, and Bank Islam are some of the most popular ones.
Let’s look at some of the examples of the Best Islamic Personal Loan with the profit rates associated to them:
|Personal Loan||Maximum Loan Amount||Profit Rate||For More Info.|
|Bank Rakyat Personal Financing-i Private Sector||RM150,000||6.16% p.a.|
|BSN MyRinggit-i Eksekutif-1 Personal Financing||RM200,000||6.00% p.a.|
|Bank Islam Personal Financing-i Non Package||RM150,000||6.00% p.a.|
|MBSB Personal Financing Afdhal-i||RM400,000||4.40% p.a. (Flat rate)|
|Alliance Bank CashVantage Personal Financing-i||RM150,000||8.38% p.a. (Flat rate)|
*Bank Rakyat current base rate (BR) is 4.10%
The profit rates for Islamic personal loan will defer from bank to bank.
Most of the Islamic personal financing products adheres to the Shariah concepts of Tawarruq, . It is a concept in Islamic banking where a consumer purchases an easily saleable asset from an Islamic bank or a financial institution at a marked up price and he/she chooses to pay for it on a late, and then sells the assets to raise money. Such financing facilities are governed by the Islamic law as well as the financial industry’s regulations.
Let’s look at some of the features and benefits of Islamic Personal financing facility:
The major fees and charges associated with the Islamic personal financing are mentioned in the table below:
|Fee type||Fee details|
|Processing fee||Processing fee can vary from bank to bank.|
|Late Payment charges (Before the maturity date)||The late payment fee is generally 1% p.a. of the overdue instalment amount.|
|Late Payment charges (After the maturity date)||After the loan period ends, the late payment charges are calculated as per IIMM rates (Islamic Interbank Money Market) on the outstanding principal.|
|Early Termination Fee||Early termination fee may or may not be charged and it varies from bank to bank.|
|Stamp Duty||As per the Stamp Duty Act 1949.|
|Will Fee or Wasiat||A written will is an optional service with your loan and the fee varies from bank to bank.|
|Takaful contribution coverage||The takaful contribution coverage charges depend on the age of the applicant, tenure, and the financing amount approved under the loan.|
The following are the eligibility criteria for the Islamic Personal Loan:
The required documents in order to get the Islamic personal financing approved are as follows:
For any personal loan related queries, you could contact Personal Loan Customer Care Support.