Everything You Need To Know About Bank Rakyat Personal Loan (2022)

What is Bank Rakyat Personal Loan 

There are 3 types of personal loans under Bank Rakyat:

1. Personal Financing-i Public Sector

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An Islamic personal financing programme called Bank Rakyat Pembiayaan Peribayaan-i Public Sector is aimed primarily at civil servants, including those who work for the government, for enterprises with connections to the government, or who are part of the Malaysian armed forces (ATM).

2. Personal Financing-i Private Sector

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This personal loan programme is an unsecured Islamic loan programme also known as Bank Rakyat Personal Financing-i Private. As a result, in order to apply for this plan, you do not need to offer collateral or a guarantor.

The Bank Rakyat personal financing plan, as its name implies, is available to self-employed individuals and those who work in the private sector.

3. Personal Financing-i for Pensioner

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This personal loan is an Islamic personal loan with a flexible rate for senior citizens who have limited income and is available to help you reach your retirement goals. No guarantor is necessary!

Features and Benefits of Bank Rakyat Personal Loan 

Personal Financing-i Public Sector

Compared to other Islamic personal loans, Bank Rakyat Personal Financing-i Public has a number of advantages.

  • Completely shariah compliant loan: This loan is a fully Shariah compliant Islamic personal financing plan since it uses the notion of a Murabahah (Tawarruq) commodity.
  • Conditions for application eligibility that are not demanding: In comparison to other personal financing options, this financing plan imposes application eligibility requirements that are more flexible.
  • Flexible and generous financing terms: A flexible financing amount is available with this loan. From RM5,000 to RM200,000 might be requested. An excessive sum for an unsecured loan.
  • Flexible eligibility for age: Civil servants, GLC members, and ATM members between the ages of 18 and 60 are eligible for this loan. Very ideal for those looking to apply for an unsecured personal loan who have recently started service
  • Lowest profit rate fees: Personal Loans by Bank Rakyat With profit rates ranging from 4.54% per annum to 4.99% per annum, public loans are among the unsecured Islamic personal loans for the public sector with the lowest profit rates.

Personal Financing-i Private Sector

Compared to other Islamic personal loans, Bank Rakyat Personal Financing-i Private has a number of benefits. 

  • Offered for both contract and permanent roles: Employees in the private sector who have both contract and permanent roles are eligible for this loan programme, according to Bank Rakyat.
  • Provided to those with variable incomes: In addition to people with fixed incomes, the Personal Financing-i Private Bank Rakyat loan plan is also available to people with irregular incomes, including commission income, businesses, and professionals.
  • Completely shariah compliant loan: This loan is a fully Shariah Compliant Islamic personal loan because it uses the Murabahah commodity principle.
  • High rate of approval Bank Rakyat Personal Financing-i Private can approve up to 25 times your gross pay, however other loans can only approve up to 12 times your salary.
  • Low profit rate charges: This loan has one of the lowest profit rates among Islamic personal loans, ranging from 7.97% pa to 8.12% pa.

Personal Financing-i for Pensioner

  • Completely shariah compliant loan: This loan is a fully Shariah compliant Islamic personal financing plan since it uses the notion of a Murabahah (Tawarruq) commodity.
  • Low profit rate charges: This loan has one of the lowest profit rates among Islamic personal loans, ranging from 5.55% p.a. To 5.9% p.a.
  • No early termination charges: Bank Rakyat does not charge any charges or fees if you intend to pay off the loan balance earlier than the agreed date.
  • Low income requirement to apply: Those with only RM800 monthly income can apply for this loan, and borrow up to RM100,000 or a maximum 15x your monthly gross pension.

Requirements to Apply

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1. Personal Financing-i Public Sector

The following are the eligibility requirements to apply for Bank Rakyat Personal Financing-i Public Sector:

  • Malaysian.
  • A minimum of 18 years old and a maximum of 60 years old (at the end of the payment period).
  • Serving in the Public Sector as Government Employees, Employees of Government Linked Companies (GLCs), and members of the Malaysian Armed Forces.
  • Serve for a minimum period of 3 months.
  • With a fixed monthly income of RM1,000 or a fixed annual income of RM12,000.
  • Not blacklisted by any Bank or AEON.
  • No Accounts Under Special Observation (SAA).
  • Not under the auspices of AKPK.

2. Personal Financing-i Private Sector

General Conditions:

  • Malaysian.
  • Not blacklisted by any Bank or AEON.
  • No Accounts Under Special Observation (SAA).
  • Not under the auspices of AKPK.
  • Fixed Income

Aged 18 years to 60 years:

  • Permanent Position – Minimum monthly income of RM2,000 or annual RM24,000.
  • Contract Position – Minimum monthly income of RM8,000 or annual RM96,000.
  • Irregular Income

Aged 18 years to 55 years:

  • With a minimum monthly income of RM5,000 or annual RM60,000

3. Personal Financing-i for Pensioner

The Pembiayaan Peribadi-i Pesara programme from Bank Rakyat is obviously intended for low-income retirees from the Malaysian government.

If you pay into the EPF, you shouldn’t use this personal financing.

You must fulfil the minimal requirements, which include the following:

  • Must receive a minimum monthly pension of RM800 
  • A minimum annual income of RM9,600
  • Age from 45 to 65 years old 
  • Be a government pensioner who will not be older than 65 at the end of the financing period.

Documents Needed 

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1. Personal Financing-i Public Sector

If you meet the eligibility requirements to apply for Bank Rakyat Personal Financing-i Public as stated above, you need to prepare the following documents to apply for this loan.

  • Copy of MyKad/MyTentera Identification Card.
  • Copy of Salary Slip for the last 3 months.
  • Copy of the latest 3 months salary entry Bank Statement.
  • One of the documents below: – Letter of confirmation of position from the employer. – Latest EA form.

2. Personal Financing-i Private Sector

As with eligibility requirements, the required documents also depend on the applicant’s income type. The following are the documents required to apply for Bank Rakyat Personal Financing-i Private Sector.

Fixed Income

  1. Copy of Identity Card (MyKad).
  2. Copy of the latest 3 months salary slip.
  3. Copy of the latest 3 months salary entry Bank Statement.
  4. Copy of the latest EPF Statement.
  5. One of the documents below: – Confirmation letter from the employer. – EA form. – eB slip from IRB.

Irregular Income

  1. Copy of Identity Card (MyKad).
  2. Copy of IRB Form B/payment receipt.
  3. Copy of the latest 6 months Bank Statement.

Additional Documents For Business Owners & Professionals

  1. Copy of the latest 6 months company account Bank Statement.
  2. Registration form A and D / Form 24 and 49 for companies.
  3. Copy of Business Registration Certificate.

Additional Documents for Commission Earners

  1. Latest 6 months commission statement.

3. Personal Financing-i for Pensioner

If you meet the eligibility requirements to apply for Personal Financing-i for Pensioner as stated above, you need to prepare the following documents to apply for this loan.

For Jabatan Perkhidmatan Awam:

  • Copy of MyKad
  • Copy of Malaysia Government Pensioner Card 
  • Copy of Pensioner Statement

For Jabatan Hal Ehwal Veteran: 

  • Copy of MyKad
  • Copy of Army Pensioner Card
  • Copy of Ledger Pensioner

Fees & Charges 

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1. Personal Financing-i Public Sector

The following are the charges that will apply if your Bank Rakyat Personal Financing-i Public Sector application is successful.

  1. No processing charges.
  2. A stamp duty charge of 0.5% of the loan amount passed.
  3. Wakalah or agency charge RM30.00 (including Broker Fee).
  4. A late payment charge of 1% of the total arrears (Ta`widh damages).

Bank Rakyat will also give a rebate (Ibra’) for early settlement. Ibra’s count is as follows:

  • Rebate (Ibra’) = Deferred Profit + Undisbursed Principal (if any) – Other Charges (if any);
  • Initial settlement amount = Balance of Sale Price – Ibra’ + Late Payment Charge (if applicable).

2. Personal Financing-i Private Sector

The following are the charges that will apply if your Bank Rakyat Personal Financing-i Private Sector application is successful.

  1. No processing charges.
  2. A stamp duty charge of 0.5% of the loan amount passed.
  3. Wakalah or agency charge RM30.00 (including Broker Fee).
  4. A late payment charge of 1% of the total arrears (Ta`widh damages).

3. Personal Financing-i for Pensioner

The following are the charges that will apply if your Personal Financing-i for Pensioner application is successful.

  1. A processing fee of RM28.30 for Wakalah Fee (inclusive brokerage fee)
  2. A stamp duty charge of 0.5% of the loan amount passed.
  3. No early termination fee.
  4. A late payment charge of 1% of the outstanding amount.