South Africa
Pension-backed home loan
Find new ways to build, buy, or renovate your dream home with a pension-backed home loan. Its an alternative form of housing finance where the loan is secured by your retirement fund savings instead of a bond.
Some of the benefits
Up to 70%
Borrow an amount equal to a percentage of the withdrawal benefit of your fund
Savings
Pay no bond registration costs or property assessment fees
Cost
Favourable interest rates and fees negotiated at a fund level
How it works
- You need to be formally employed for 12 months
- You need to have a company pension or provident fund
- We set up a loan scheme arrangement between you, your employer and the fund
- The amount you can borrow depends on your fund savings, what you can afford, and the percentage as per fund rules
- Repayments are deducted from your wage or salary
- A further loan can be available at any time, subject to affordability and fund rules
- If the prime rate changes, your loan term is adjusted, keeping your repayment consistent
- The maximum loan term is dependent on the fund or normal retirement age, whichever comes first
What it costs
- Favourable interest rates, initiation fee and monthly service fee negotiated at a Fund level
- No initiation fee on further loans
- The fund or fund administrator may also charge you a handling fee
You can use the pension-backed loan to:
- Build or buy your primary residence
- Renovate your existing residence
- Pay transfer and registration fees
HOW TO APPLY
- Complete the application and email to [email protected]
- Contact our Call Centre on 0861 009 429
- Email us on [email protected]
We’ll need the following documents:
- Completed and signed Standard Bank PBHL application form
- Most recent pension or provident fund benefit statement
- A consent letter from your spouse if you are married in community of property (or your spouse’s signature on the application form)
- South African ID or passport
- Proof of residence not older than 3 months
- 3 Recent consecutive payslips (or, if you earn commission, your last 6 payslips)
- A recent 3-month bank statement if you are not banking with us
- Building documents, such as plans and renovation quotes
- The offer to purchase if you’re buying a home
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How it works
-
What it costs
-
HOW TO APPLY
- You need to be formally employed for 12 months
- You need to have a company pension or provident fund
- We set up a loan scheme arrangement between you, your employer and the fund
- The amount you can borrow depends on your fund savings, what you can afford, and the percentage as per fund rules
- Repayments are deducted from your wage or salary
- A further loan can be available at any time, subject to affordability and fund rules
- If the prime rate changes, your loan term is adjusted, keeping your repayment consistent
- The maximum loan term is dependent on the fund or normal retirement age, whichever comes first
- Favourable interest rates, initiation fee and monthly service fee negotiated at a Fund level
- No initiation fee on further loans
- The fund or fund administrator may also charge you a handling fee
You can use the pension-backed loan to:
- Build or buy your primary residence
- Renovate your existing residence
- Pay transfer and registration fees
- Complete the application and email to [email protected]
- Contact our Call Centre on 0861 009 429
- Email us on [email protected]
We’ll need the following documents:
- Completed and signed Standard Bank PBHL application form
- Most recent pension or provident fund benefit statement
- A consent letter from your spouse if you are married in community of property (or your spouse’s signature on the application form)
- South African ID or passport
- Proof of residence not older than 3 months
- 3 Recent consecutive payslips (or, if you earn commission, your last 6 payslips)
- A recent 3-month bank statement if you are not banking with us
- Building documents, such as plans and renovation quotes
- The offer to purchase if you’re buying a home
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