Alliance Islamic Bank CashVantage Personal Financing-i

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The Alliance Islamic Bank CashVantage Personal Financing-i is an unsecured Islamic personal financing that can be used for a variety of purposes, including debt consolidation, business purpose and home improvements.

Best for: iMoney recommends Alliance Islamic Bank CashVantage Personal Financing-i for debt consolidation as it allows you to consolidate up to a maximum of four credit cards and/or personal financing commitments.

Income requirements: This personal financing is open for those who are earning RM3,000 and above a month, or those who need to borrow a higher financing amount (it can go up to RM200,000).

Pros: There will be no processing fee, guarantor or collateral required and no early settlement penalty*.

• How to apply for an Alliance Bank CashVantage Personal Financing-i loan?

  You can apply for the loan here.

• What Shariah concept is applicable for Alliance Bank CashVantage Personal Financing-i?

  The Shariah contract applicable is Murabahah, also known as Commodity Murabahah. It refers to a sale and purchase of an asset where the acquisition cost and the mark-up are disclosed to the purchaser. Read more about the concept here.

• How do I qualify?

  Income: Your minimum gross salary must be at least RM3,000 per month, or RM36,000 a year. Gross salary means salary before monthly deductions such as income tax and Employees Provident Fund (EPF) contribution.

  Age: To qualify, you must be between the age of 21 and 60. This means, your age must not exceed 60 at the end of the financing tenure. For example, if you are taking up the loan at age 55, the maximum financing tenure you can qualify for is only 5 years, instead of the maximum 7 years.

  Other qualifying criteria: You must be a Malaysian citizen or a permanent resident working and residing in Malaysia. Malaysian citizens working in Singapore but residing in Malaysia will also be considered.

• What are the required documents?

  Once you have completed your application with iMoney, you are required to provide the following documents for your application:

  1. If you work at a multinational company (MNC):
     • Copy of NRIC (front and back)
     • Any of the documents below (choose one):
     • Latest 1-month salary slip (fixed income) OR latest 3 months salary slips (variable income)
     • Latest EA Form
     • Latest 6 months’ EPF statement
     • Latest BE Form with validated payment slip/receipt to LHDN
  2. If you work at of non-MNC or private limited company:
     • Copy of NRIC (front and back)
     • Any of the documents below (choose one):
     • Latest 3 months’ salary slips (with supporting bank statement)
     • Latest 6 months’ EPF statement
     • Latest BE Form with validated payment slip/receipt to LHDN
  3. If you are self-employed:
     • Copy of NRIC (front and back)
     • Copy of current and valid Business Registration Card (business must be at least 2 years)
     • Any of the documents below (choose one):
     • Latest 6 months’ salary slips
     • Latest 6 months’ company’s principal bank statement
     • Latest 6 months’ EPF Statement
     • Latest B Form with validated payment slip/receipt to LHDN
  4. If you are a commission earner:
     • Copy of NRIC (front and back)
     • Any of the documents below (choose one):
     • Latest 6 months’ salary slip/commission statement/payment voucher verified against bank statements
     • Latest EA Form
     • Latest BE Form with validated payment slip/receipt to LHDN

• What is the maximum financing amount?

  The maximum you can borrow is up to 4 times your fixed monthly gross salary or up to RM200,000. For example, if you are earning RM3,000 a month, you are eligible to borrow up to RM12,000. The minimum loan amount if RM5,000.

• What is the maximum financing tenure?

  Financing tenure means the period of your financing. The maximum financing tenure for Alliance Islamic Bank CashVantage Personal Financing-i is 7 years. Why does this matter? The longer your financing tenure is, the lower your monthly repayment will be. But it also means higher profit charges.

• What is the profit rate?

  The Alliance Islamic Bank CashVantage Personal Financing-i is based on a fixed profit rate (flat) ranging from 8.88% to 10.28% per annum, or per year throughout the entire financing tenure.

  Personal financing rate may vary based on individual risk rating:

  Customers with low-risk level profile	Customers with medium-risk level profile	Customers with high-risk profile
  Fixed profit rate ranging from 8.88% to 10.28% per annum (Flat) throughout the entire financing tenure	Fixed profit rate ranging from 11.28% to 12.28% per annum (Flat) throughout the entire financing tenure	Fixed profit rate ranging from 15.28% per annum (Flat) throughout the entire financing tenure

  What is the profit rate? Because Islamic financial institutions are prohibited from making money through interest rates by lending money, Islamic personal financing is structured with profit rate instead. In simpler terms, it means the financial institution buys something on your behalf and sells it to you with a profit.

• What are the fees and charges?

  One-time set-up fee: A stamp duty fee of 0.5% on financing amount will be deducted upfront before your financing amount is given to you or disbursed to you. Remember, when you are applying through iMoney, there will be no deposit or other upfront charges payable to iMoney.

  Late payment charges: 1% on the outstanding loan amount. Late payment charges will increase your total outstanding loan amount

  Other fees: Alliance Islamic Bank CashVantage Personal Financing-i does not charge a processing fee, or early settlement fee*.

  * No early settlement penalty imposed if you provide Alliance Islamic Bank with

  • 3 months advance notice in writing, OR
  • A payment equivalent to 3 months’ profit charge in lieu of advance notice

• How long is the approval process?

  The Alliance Islamic Bank CashVantage Personal Financing-i can take up to 48 hours to process and approve your financing upon receiving all your information and documents. To speed up the process, you can complete the application through iMoney where our call centre consultant will walk you through the eligibility checker, application form, and advise you on required document submission.

• How much do I have to pay monthly?

  As with any personal financing, you will be required to make monthly repayment, which comprises of principal amount and profit charge.

  How much you pay per month depends on your financing amount, tenure and profit rate. For example, if you are borrowing RM50,000 with a profit rate of 11.28% over 5 years, your monthly repayment will be around RM1,300.

  Use the personal loan calculator above to calculate your monthly repayment.

• How do I make my repayment?

  • Interbank GIRO (IBG)/Instant Interbank Funds Transfer (IBFT) via ATM or Internet Banking
  • From your Alliance Current Account/Savings Account - Direct Debit via Alliance Online Banking or Standing Instruction
  • Over-the-counter or at the self-service terminals at any Alliance Bank branch

• What happens if you make late payments?

  Here's what happens if you fail to fulfill your obligations:

  1. A Late Payment Charge of 1% will be applied to you.
  2. The bank has the right to set off any credit balances in your account
  3. Legal action will be taken if you fail to respond to the reminder notices
  4. Legal action against you may affect your credit rating

• Can I do early settlement with the Alliance Bank CashVantage Personal Financing-i?

  Yes you may. Below are the details of making an early settlement:

  1. A 3 months notice is required prior to the settlement date.
  2. Ibra’ (rebate) shall be granted.

• Can I apply if I have a bad CCRIS/CTOS/credit score?

  Unfortunately, no. Alliance Islamic Bank will check your credit history as part of their approval process. You are required to settle all overdue payments before applying and keep a healthy credit record before you apply for personal financing. It is advised that you continue repaying your loans on time for another three months before reapplying.

  Check your iMoney CreditScore for free to find out how your credit health is.

• Can I apply even if I'm blacklisted?

  No you may not apply for the loan if your name is blacklisted in the CTOS report.

• If you are looking for other personal loans, you may also consider

  RHB Easy-Pinjaman Ekspres

  If your income is below RM3,000 per month, you can consider the RHB Easy-Pinjaman Ekspres with minimum income requirement of RM1,500. This is a conventional personal loan with an interest rate from 8.28% p.a. However, its maximum financing tenure is lower than Alliance Islamic Bank CashVantage Personal Financing-i at 5 years.

  HSBC Amanah Anytime Money Personal Financing-i

  The HSBC Amanah Personal Financing-i has a lower fixed profit rate, starting from 6.99% p.a. This personal financing also has a lower maximum tenure of 5 years. Similarly, it comes with a minimum income requirement of RM3,000.

  AmBank Islamic AmMoneyLine Facility-i

  If you are looking to stretch your monthly repayment to longer tenure, you can try the AmBank Islamic AmMoneyLine Facility-i with a maximum tenure of 8 years. It has a flat profit rate starting from 8% p.a. as well as a lower minimum income requirement of RM2,000.