Home Loan

To cater for Islam's prohibition of the use of Riba (interest), FNB Home Loans has developed IslamicFinance home loans which are 'Shari'ah'-(Islamic Law) compliant and certified through Islamic Scholars of Madressah Zakariya (Gauteng).

FNB IslamicFinance offers a Wakalah contract that allows it to act as an agent when purchasing property on your behalf, for a fixed agency fee. An agency agreement is concluded and all the charges and fees are levied through this agreement.

Essentials

Benefits of the IslamicFinance Home Loan

  • A deposit is required
  • All profit is disclosed and you are not exposed to interest rate/market changes
  • You can budget accordingly as IslamicFinance Home Loan instalments are fixed for the entire period of the loan

Features of the IslamicFinance Home Loan

  • You can request loans from R240 000 upwards
  • You have the option to repay the loan over 5, 7, 10 or 20 years
  • A profit amount is added and differs according to the loan term
  • Repayments are fixed over the period you qualify or opt for
  • Structural insurance cover is compulsory and is paid separately from your personal bank account
  • IslamicFinance can finance the purchase of an existing property (new home loan)
  • Settlement Figures after 24 months
  • Switches from other institutions as well as from FNB are financed up to the outstanding balance
  • Switching costs are not carried by FNB IslamicFinance
  • As per the Shari'ah Wakalah Contract Law, you cannot re-finance a bond-free property

Excluded under the IslamicFinance Home Loan

In keeping with Shari'ah Law, the following are not permissible

  • Further loans
  • Prepaid
  • Re-advances
  • Flexi facility
  • Building loans

Criteria

The IslamicFinance Home Loan caters for the Muslim community in particular, but is not limited to the Muslim community.

Qualifying criteria of an IslamicFinance Home Loan

Customers: All customers with IslamicFinance approval are subjected to normal lending criteria.
Compliance: Customers must be KYC compliant
Debit Order: To be implemented
Interest Rate: No interest rate applied as governed by Shari'ah Law

Fees

What are the costs associated with the IslamicFinance Home Loan?


The following costs apply to the IslamicFinance Home Loan:

  • You are responsible for IslamicFinance home loan registration and transfer costs
  • A once off processing fee is applicable (due to fluctuations, the exact amount will be advised with the FNB Islamic Residential Finance quote request)
  • Monthly admin fee is not included as it is billed seperately

Enquiries

More information on IslamicFinance Home Loans

Home Loans

E-mail: islamichomeloans@fnb.co.za
Phone: 0861 786 788
Fax: 011 371 2786

Residential property finance

City: Johannesburg
Contact person: Reza Carrim
E-mail address: rcarrim@islamicfinance.co.za
Phone: 011 3714786/0738963326
Fax: 011 371 2786

City: Durban
Contact person: Hassan Bux
E-mail address: hbux@islamicfinance.co.za
Phone: 031 5607822
Fax: 086 532 6278

City: Cape Town
Contact person: Yazeed Lutta
E-mail address: ylutta@islamicfinance.co.za
Phone: 0824937144
Fax: 086 544 4969

Contact person: Gayroniesa Hendricks
E-mail address: ghendricks2@islamicfinance.co.za
Phone: 087 736 8069
Fax: 086 544 4969