Term Financing-i is a financing package with fixed profit rates designed for companies and co-operatives. It is based on Islamic concept of Bai' Al-Inah (buy and sell back agreement), Al'-Istina (where payments are made in stages to facilitate progress of the manufacturing or construction of the subject of sale) and Al-Bai' Bithaman Ajil (where the bank provides financing to customers to own property by purchasing the asset/service with cash and sell back the property/service to the customer at cost price plus profit).
Eligibility : All business entities such as private limited companies and co-operatives.
Concept : Tawarruq
Purpose : Working capital for business expansion involving companies from various sectors including agriculture, credit consumer, property, manufacturing, infrastructure, retail, communication, oil and gas, etc.
Margin : Up to 80% of working capital requirement
Tenure : Maximum 10 years.
Fee and Charge
|Charge and Service for Individuals|
|Stamp Duty Fee||NIL|
|Early Settlement Fee||Rebate (Ibra’) will be given on the deferred profit|
|Commodity Trading Fee||RM15 will be charged for every RM1 Million (50:50 sharing basis). Minimum transaction is RM1,000.|
|Late Payment Charges||
During the financing period:
1% per annum on top of the outstanding payment.
After the financing tenure expires:
Shall not be more than the prevailing daily overnight Islamic Interbank Money Market rate (IIMM) on the outstanding balance.
Additional Documents Required
- Detail information on purpose of financing.
- A valuation report of property to be charged as security if applicable.
- Cash flow and project profit & loss projection.