If you want to learn about the Absa pension-backed loans in South Africa, then this is the right place.
Check out this article!
You can use the money (fund) in your pension as collateral for a home loan to either buy a home, renovate or pay for extensions.
The money will not be taken out of your pension or provident fund as it is only used as security.
We will show you the qualifications for this loan.
Who Can Apply For The Pension Backed Policy
You qualify to apply for this loan if you are a full-time employee contributing to a pension.
You should have signed a housing loan agreement with Absa.
You should continue contributing to your pension fund even when you get the loan.
Money will be deducted from your main salary to cover the loan repayments, so you need to check your affordability.
You need to check with the Absa PSHL consultant on how much you can borrow using this fund.
These are the basic requirements to apply for the Absa pension-backed loan in South Africa.
Absa Pension Backed Loan
The interest rates are based on your pension fund and not only on your assessment.
The loan is the most cost-effective way to finance your home because you won’t be charged any bond registration or valuation costs.
It is easy to repay the loan as it is deducted directly from your salary, so there is no risk of missing a payment.
You can ensure the loan with a credit protection plan.
These are the features and benefits of the Absa pension-backed loan in South Africa.
How To Apply Or Register For The Absa Pension Backed Loans
You can apply for the loan at your place of work over the phone.
You will need the following documents to apply for the loan:
- Provide proof of homeownership such as a title deed or a bond statement
- Copy of your RSA ID and your payslip
- Proof of residence such as an electricity or municipality bill not older than three months.
- Quotes from the builder or supplier if you are renovating,
you can get your money within 48 hours of approval from the fund, Absa, and your employer.
If you want Absa to take over an existing loan, you need to provide a printed settlement figure from another provider.
This is how you apply for an Absa pension-backed loan in South Africa.
Here is the list of other great and recommended guides:
New Business Loan, Money Builder Account, Multiplan, Money Market, Online Loan, Payday Loan, Notice Deposit, New Business Account, Non-Resident Account, Private Banking, Gold Value Bundle, Transact Account, Open New Account, Savings Account, Overdraft Cheque, Student Account, Additional Credit Card, Affinity Card, Prestige Account, Premium Account, Private Wealth, Visa Signature Card, Absa Stikvel Account.