MBSB Personal Loan
MBSB or Malaysia Building Society Berhad has had a long history of operation in Malaysia and is now currently under the financial hold of The Employees Provident Fund (EPF). The company is an exempt finance company that has the authority to undertake financing business without requiring a banking license. MBSB offers a variety of loans such as property financing, commercial property financing, wealth management, and personal financing.
Compare Personal Loans by MBSB Bank
MBSB offer 3 types of personal financing packages which are as follows:
MBSB Mumtaz-i: This loan package is a Shariah-compliant loan that allows borrowers to acquire additional funds to meet their expenses. The loan is available to permanent employees of government agencies, GLCs, and select organisations. The loan amount available under this package can go as high as RM250,000. The loan comes with an optional takaful cover and offers competitive profit rates charged using risk based pricing. Payment of instalments can also be made through a variety of modes and tenures offered are flexible and go up to 10 years.
Afdhal-i: This loan package is a special package available for employees of select public and private organisations. The loan offers high amounts ranging up to RM400,000. The rates offered are competitive and the tenure of the loan can go as high as 10 years. The loan also comes with an optional takaful cover and allows borrowers to pay the monthly instalments through a wide variety of channels. The loan is an unsecured loan and does not require collateral or a guarantor.
Private Sector PF-i: This loan package from MBSB is designed for cash consumption and the amount borrowed can be used in any way deemed fit. The maximum loan amount offered under this package can go up to RM300,000. The loan is available to permanent employees of select private, public, State GLC, GLCs, and MNCs as well as self-employed applicants. The loan comes with competitive profit rates charged using risk based pricing ad provides borrowers with an optional takaful cover.
The profit rate charged is calculated using risk based pricing. The profit rates charged for the various loan packages are as follows:
MBSB Mumtaz-i: Profit rates start from as low as ECOF-i – 0.20% p.a.
MBSB Afdhal-i: Profit rates start from as low as 1% above ECOF-i p.a.
MBSB Private Sector PF-i: Profit rates start from as low as ECOF-i + 4.10% p.a.
ECOF-i stands for Islamic Effective Cost of Fund. MBSB’s ECOF-I currently stands at 6.75%.
Features and Benefits
Following are the features and benefits of MBSB personal Financing-i:
- The loans are a Shariah-compliant loan that is based on the concept of Tawarruq.
- The loan offers high maximum loan amounts depending on the package chosen. The maximum loan amount is RM250,000 for the Mumtaz-i package, RM400,000 for the Afdhal-i package, and RM300,000 for the Private Sector PF-i package.
- The loans offer an optional takaful cover.
- The loan comes with quick approval and disbursal times making it an ideal choice for borrowers who are in need of cash in a hurry.
- The profit rates offered on the loan are competitive which make it affordable and easier to repay.
- The tenures offered by the loan packages are flexible and can go as high as 10 years making it easier for borrowers to choose a tenure such that their monthly instalments fit into their financial constraints.
- Payment of monthly instalments can be made through numerous channels such as Accountant general (AG) or Biro Angkasa (Biro) or be paid through salary deductions from the employer.
- Payments can also be made over-the-counter at any of the MBSB branches or ATMs.
- The loan can be acquired by private sector and public sector employees.
Fees and Charges
||RM34 with an additional GST charge of RM2.04
||RM4 with an additional GST charge of RM0.24
|Late payment fee
||1% p.a. on the overdue amount
|Early settlement fee
||Can be charged if MBSB incurs any cost as a result of early settlement
|Ceiling profit rate
MBSB Personal Financing-i Promotions
Borrowers who apply for any of the MBSB Personal Financing-i packages can get fast approval on the loans which come with attractive profit rates of 6.55% p.a. EIR on the Mumtaz-i package, 7.75% p.a. EIR on the Afdhal-i package, and 10.85% p.a. EIR on the Private Sector PF-i package.
Nationality criterion: Borrowers must be Malaysian citizens
Minimum age: Borrowers must have attained the minimum age of 19 years for the Mumtaz-i and Afdhal-i package and must be a minimum of 21 years for the Private Sector PF-i package.
Maximum age: Borrowers must not exceed the maximum age of 60 years upon the expiry of the loan tenure.
What documents do I need to prepare for MBSB personal Financing-i
- A copy of the applicant’s MyKad/Passport/Military or Police ID
- A copy of the most recent 3 months’ salary slips
- A confirmation letter from employer disclosing designation, period of employment and salary drawn
- A copy of the current or savings account bank statement for the past 3 months where salary is being credited
- A copy of the most recent BE Form with tax receipt or
- A copy of the latest EPF statement or
- A copy of the latest EA statement
- A copy of the applicant’s MyKad/Passport
- A copy of the business registration certificate or
- Form 9, 24, 49 B&D
- A copy of license for professional certificate
- The most recent B Form with tax receipts
- A copy of the current or savings account bank statement for the past 6 months (company account or personal account)
MBSB offers a personal loan calculator that enables borrowers to calculate their monthly repayments by inputting key parameters such as the profit rate, loan amount, and tenure. The calculator is available on the MBSB website. The calculator will display the instalments for the first 12 months of the tenure. Borrowers should keep in mind that instalments displayed by the MBSB financing calculator are closely calculated estimates and actual instalment scan vary based on profit rates charged and tenures chosen.
MBSB Personal Financing-i for Foreigners
Currently, MBSB does not offer personal financing packages for foreigners and the loans are only available to borrowers who are Malaysian citizens.
How to apply for MBSB Personal Financing-i?
Borrowers can visit their nearest MBSB branch and request for application. They are required to complete the form and submit it along with the required supporting documents. Borrowers can also download the application form from the MBSB website.
Borrowers can get further assistance by calling into MBSB’s customer care at 603 2096 3000 for all sales and service enquiries or can leave their contact details on the MBSB website following which an MSB representative will get in touch with them.
Q. Is there a maximum profit rate that can be charged?
A. The ceiling profit rate charged by MBSB is 15% p.a. and can be charged based on an applicant’s credit score, desired loan amount or tenure chosen.
Q. What would happen if the ECOF-i was to increase?
A. An increase in the ECOF-i would result in an increase in the monthly instalment amount. The increased instalment amount would be charged from the date of increase in ECOF-i to the end of the loan tenure.
Q. What should one do if they are finding difficulties in meeting monthly payments?
A. In case a borrower is finding it hard to meet the monthly instalment amount, they should contact MBSB as soon as possible to work out alternative payment strategies. Doing so would avoid any legal notices being sent to the borrower in case they miss out on payments.
Q. If a borrower settles a loan and makes an excess payment in the process, will the borrower get a refund on the excess payment?
A. Yes. Excess payments exceeding RM5 will be refunded to the borrower. However, if the excess payment amount is below RM5, then the excess amount will not be refunded to the borrower but will be donated to a charity deemed fit by MBSB.
Q. Are there any other additional documents required in case a borrower chooses to make non-Biro payments?
A. Yes. For non-Biro payments, borrowers must provide an undertaking letter for the employer salary deduction.