Bank of Maldives (BML) has introduced a new loan and financing product to provide easy access to finance for recipients of the Hiyaa social housing scheme.
The new Home Improvement Loan offers customers financing from MVR 25,000 to a maximum of MVR 150,000 for the finishing and furnishing requirements of the new flats. The unsecured loan is available at a lower interest rate of 12% with a 5-year repayment period. Those who take out a loan of MVR 150,000 will need to pay MVR 3,337 per month as loan repayment.
BML’s CEO and Managing Director Tim Sawyer said the new loan scheme will be positive news for the recipients of the Hiyaa flats.
"Eligible customers can finance up to MVR150,000 without the need of additional equity or security to complete the work remaining at their new homes. A similar Shari’ah compliant product is also available with BML Islamic," Mr. Sawyer said.
In addition to the loan for Hiyaa flat recipients, the Bank also announced Home Improvement Loan Plus, available to finish and furnish other flats and row houses purchased from private developers. Eligible customers can borrow from MVR 25,000 to MVR 300,000 without additional security for a 5-year tenor. With an interest rate of 12%, this is lower than the Bank’s existing unsecured loan products.
Home Improvement Financing products are also available for BML Islamic customers.