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Pension-backed home loan

Pension backed home loan product detail

Build, buy or renovate your dream home with a pension-backed loan equal to a percentage of your pension or provident fund withdrawal benefit.

 

 

 

 

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

Flexibility

Know that a further loan can be available after your first 3 consecutive repayments, subject to affordability and fund rules

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

See 2022  pricing guide
See 2021 pricing guide

HOW TO APPLY

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
  • 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

See 2022  pricing guide
See 2021 pricing guide

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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