What Is MRTA Mortgage Reducing Term Assurance (MRTA) is also frequently referred to Mortgage Life Insurance.

MRTA helps you settle your housing loan in the event something happens to you. Although many people don't like talking about it, disability, illness or death can occur any time. MRTA will cover the unpaid portion of your loan if this happens. It gives you peace of mind and protects your family from losing a home. It provides coverage even during the construction period. The premium is reasonable, and it can even be financed by your bank. What are the benefits? -> Lump sum repayment to your mortgage loan in case of death or total and permanent disability due to natural causes, illness or accidents. -> Coverage is 24 hours, worldwide. -> Premiums can be financed by the bank. -> Discount on the premium for joint life application if your home is jointly owned by your spouse or immediate next of kin. What does MRTA cover? It covers disability, illness or death and also total and permanent disability. However, there are exclusions such as: -> Death due to suicide and AIDS/HIV -> Total or permanent disability due to self-inflicted injuries, armed forces, riot and civil commotion, flying other than as a fare-paying passenger, racing on a horse or wheels -> Pre-existing conditions such as AIDS/HIV How much would my premium be? Premium factors depend on the sum assured, interest rate, term, construction period, premium financing, joint-life, age at next birthday. If you are between 18 and 60 years of age and in good health, you are eligible to take up MRTA. You can always make an application by filling up an application form at the Bank. Source:

http://www.memylife.com/MyHome/mh_ArticleLevel.asp?Category=15&Article=61 &Name=Home%20Insurance PROGRAM MFCP JUGA BLH DIGUNAKAN UNTUK (KEY PERSON) KEYMAN TAKAFUL Anda adalah seorang usahawan (small and medium enterprise) Sudah pasti anda telah melaburkan sejumlah wang untuk memulakan perniagaan anda itu. Dan sudah pasti anda amat berharap ia akan berjalan seperti yang dirancangkan. Bagi usahawan yang memiliki syarikat atau organisasi perniagaan, PERLINDUNGAN yang paling sesuai adalah PERLINDUNGAN KEYMAN ataupun PERLINDUNGAN PERNIAGAAN. Key man di sini bermaksud ORANG YANG UTAMA DALAM SESEBUAH SYARIKAT PERNIAGAAN . Selalunya USAHAWAN itu SENDIRI yang PERLU mendapatkan KEYMAN PROTECTION. Biasanya apabila usahawan membuka francais ataupun syarikat berdasarkan konsep rakan kongsi. Ada dua tiga orang rakan kongsi. Masalah timbul jika salah seorang partner meninggal dunia. Sekiranya salah seorang rakan kongsi ini meninggal dunia, pihak Takaful yang akan membayar pampasan kepada keluarga si mati tanpa memberi kesan kepada rakan kongsi B. Keluarga si mati tidak perlu bersusah payah menuntut hak mereka daripada perniagaan rakan kongsi B tadi. Jadi, rakan kongsi B dapat meneruskan perniagaan seperti biasa walaupun tanpa rakan kongsi A. Satu lagi perkara yang saya mahu sebut mengenai usahawan ialah usahawan tidak makan gaji. Maksudnya, mereka tidak ada pemotongan ataupun caruman KWSP. Jadi, usahawan sekarang terdedah kepada masalah yang sudah menunggu 20 ataupun 30 tahun akan datang ketika umur mereka 55 tahun. Sebab itulah kami di sini menekankan betapa Takaful Perniagaan perlu diwujudkan untuk melindungi pendapatan persaraan mereka. Bagi kebanyakan syarikat, Keyman Takaful merupakan komponen kritikal dalam perancangan sesuatu perniagaan bagi memastikan kejayaan serta merupakan suatu idea yang hebat dalam memastikan operasi perniagaan yang berterusan. Bergantung kepada jenis polisi apakah yang telah diambil, wang tersebut boleh digunakan bagi beberapa tujuan: Sebagai suntikan Modal Membolehkan syarikat meneruskan kesinambungannya melalui jaminan kewangan yang ada walaupun kehilangan orang penting dalam syarikat (Keyman) Mengekalkan nilai keuntungan Orang yang dilindungi adalah yang bertanggungjawab dalam membawa keuntungan

syarikat Melindungi kos bagi pekarja sementara Pembiayaan bagi pekerja sementara berkemungkinan menjadi tinggi terutamanya apabila terdesak atau kos untuk latihan Recrut pekerja baru Syarikat pasti akan mengeluarkan kos yang tinggi untuk melatih pekaerja baru terutamanaya yang melibatkan kerja-kerja profesional Membayar balik hutang atau Overdraft Kami menawarkan ketenangan minda, terutama sekali kepada pihak bank anda Kesimpulannya: Mengapakah anda perlu menggunakan kewangan syarikat untuk menanggung kos-kos tersebut. Mengapa tidak anda memindahkan Risk kepada pihak Operator Takaful untuk menjaga kepentingan anda. Jika anda perlukan maklumat lanjut mengenai Keyman Business Takaful yang menepati KEPERLUAN & KEUTAMAAN business anda. Insyallah saya sedia membantu anda mendapatkan khidmat rundingan secara PERCUMA. Sila hubungi saya di talian 012-3685844 atau email di azlaneo@yahoo.

Deal All. satu lagi alternatif MFCP menggunakan life takafulsesuai mortgage untuk rumah menggantikan mrtt/mrtablh ikut tempoh pinjaman rumahharga sangat murah protection tinggicoverage sekata sehingga umur 80 tahun. Contoh:EN AHMAD MEMBELI RUMAH RM1JUTAUMURNYA 30 TAHUN FINANCING 40 TAHUN PERLINDUNGAN= RM1JUTA BAYARAN MONTHLY= RM662 BAYARAN TAHUN= RM7,350 Mazlan 012-3685844 Takaful Adviser/Mortgage Planner email; azlaneo@yahoo.com.my

PROGRAM MORTGAGE UNTUK RUMAH/HARTANAH MENGGUNAKAN TAKAFULINK/LIFE TAKAFUL (MFCP VS MRTA/MRTT) BAGAIMANA TAKAFULINK BOLEH DIJADIKAN SEBAGAI SATU OPTION DALAM MENGGANTIKAN MRTA/MRTT? Takafulink merupakan pelan Takaful Keluarga yang memberi anda kebebasan perlindungan juga pelaburan yang diluluskan Syariah tanpa adanya prejudis. Ianya unik kerana ia menawarkan perlindungan serta kaedah menabung secara tetap yang berdisiplin. Pelan ini menghasilkan pulangan yang lebih baik jika dibandingkan dengan deposit yang disimpan dalam akaun simpanan. Sebahagian daripada caruman anda dikumpul dan diurus oleh para profesional yang bermatlamat menawarkan keuntungan pelaburan yang menarik. Ciri-Ciri Takafulink 1. Bayaran secara berkala (regular), jadi tidak perlu masukkan bersama pinjaman, dan ini boleh mengelakkan kita daripada dikenakan faedah oleh bank. 2. Jumlah perlindungan sekata sepanjang tempoh caruman atau sehingga umur kita 80 tahun yang mana lebih dahulu. 3. Jumlah perlindungan yang fleksible. Boleh diubah mengikut keperluan perlindungan pinjaman. 4. Jumlah premium yang tetap. Walaupun umur meningkat, premium tetap sama. Ini akan menjimatkan kita dalam jangka masa panjang. 5. Tidak perlu menamatkan polisi sekiranya hartanah yang pinjamannya dilindungi oleh takafulink ingin dijual atau dipindah milik. Dan sekiranya kita ingin membeli hartanah baru, boleh gunakan polisi yang sedia ada untuk menjadi sebagai cagaran bayaran pinjaman sekiranya kita meninggal dunia atau lumpuh kekal keseluruhan. 6. Boleh digandingkan dengan pelbagai manfaat perlindungan lain yang agak penting seperti medical card, elaun hospital, elaun ICU, elaun pembedahan dan sebagainya. 7. Ada nilai tunai dan perkongsian untung hasil dari keuntungan wang caruman yang dilaburkan oleh syarikat. 8. Warisan pendapatan Islam (HIBAH kepada pewaris) Bagi tempoh masa yang panjang, cara ini lebih menjimatkan disebabkan kita tidak dikenakan interest atas premium sekiranya premium dimasukkan dalam jumlah pinjaman. Selain dari itu, jumlah peruntukan premium untuk simpanan selepas tahun ke 7 dan seterusnya adalah 100%. Jadi. Anda boleh gunakan wang tersebut untuk melangsaikan

pinjaman perumahan dengan lebih cepat dari tempoh yang sepatutnya. Secara tak langsung ini akan dapat mengurangkan kadar keuntungan (interest payable) kepada pihak bank, dan seterusnya dapat menguntungkan anda sebagai peminjam. Saya boleh dihubungi di 012-3685844-Mazlan @ sila email kepada saya: azlaneo@yahoo.com.my untuk khidmat nasihat secara percuma serta Program Audit Polisi percuma.

Why you should buy MLTA and not MRTA?

Basically there are two types of mortgage insurance available in the market, Mortgage Reducing Term Assurance(MRTA) and Mortgage Level Term Assurance(MLTA). MLTA is a slight variation from MRTA and offers an alternative for a borrower who is looking for a life insurance which offers protection plus savings and in some policies returns on the premium. In a nutshell MLTA offer level/consistent protection, allow you to buy/sell property using the same MLTA protection & offer cash back and interest comparing to MRTA. Also please note that most of the times, it is not compulsory to buy MRTA from the bank that you get the housing loan with, if the banker tell you so please get in touch with us. The table below shows the different between MRTA and MLTA MRTA Purpose Protection Protection Reducing Protection throughout the loan tenure. MLTA Protection, Saving & Cash Value Protection is leveled throughout the loan tenure. Transferable. One MLTA can be attached to Any Loan. Transferable on New Purchase or Refinance. Fixed Cash Value (Guaranteed) throughout the loan tenure. Policy Holder will get back the paid premium in the future. Beneficiary can be anyone. Payment Mode can be Annually, Semi Annually, Quarterly or Monthly. High RM607.2 monthly or

Transferability

Non transferable on New Purchase or Refinance. Premium will increase while age increases.

Cash Value

Reducing Cash Value throughout the loan tenure. Normally is much lower than Premium, and drop to RM0 at the end of loan tenure.

Nomination Payment

Beneficiary is bank Lump Sum Payment or financed into Mortgage Loan.

Premium Example on

Low One time RM1,186.34

premium*

RM7,286.4 yearly or RM218,592 throughout the tenure At the end of tenure owner will received RM0 At the end of tenure, owner will received RM218,592 Insurance company will pay the loan balance of RM372k to the bank & beneficiary will received the home plus RM100k cash.

Example if there is no death or TPD* Example if there is death or TPD**

Insurance company will pay the loan balance of RM372k to the bank & beneficiary will received the home.

MRTAs Disadvantages Protection decreases annually Floating BLR rate = may cause unsufficienty coverage & need continuous housing loan No Cash Value Not Transferable To A New Property Cant Help You Save on Loan Interest & Shorten Loan Tenure

What is MRTA and what is MLTA?

Mortgage Life Insurance Mortgage Life Insurances are designed to pay off the outstanding loan balance in the event that the borrower dies or suffers from total and permanent disability (TPD) before the loan is fully paid off.Basically there are two types of mortgage life insurance available in the market. One type is commonly known as Mortgage Reducing or Decreasing Term Assurance (MRTA or MDTA) and the other choice is Mortgage Level Term Assurance (MLTA). Mortgage Reducing Term Assurance (MRTA) or Mortgage Decreasing Term Assurance (MDTA)MRTA or MDTA is a reducing term life assurance specially designed to protect a loan borrower against death or TPD (total permanent disability) due to natural or accidental causes.

Some lenders will allow you to finance and add the premium to your home loan (up to a certain percentage of your loan amount). MRTA or MDTA is a simple insurance policy and has become a common and acceptable policy taken up by the borrower whenever he takes up a mortgage loan. The premium is paid upfront in one lump sum. Some lenders will finance and add the premium to your loan. The borrower can choose the amount and tenure of the coverage and the amount of premium will be determined by these factors as well as his age and gender. Banks normally encourage the borrower to take up this policy by giving better pricing on their interest rates if the borrower signs up a MRTA or MDTA policy.To the borrower this is relatively a hassle free, affordable and necessary policy as their mortgages are covered in the event of any unfortunate incident that may caused death or TPD. Mortgage Level Term Assurance (MLTA)MLTA is a slight variation from MRTA or MDTA and offers an alternative for a borrower who is looking for a life insurance which offers protection plus savings and in some policies returns on the premium.Premium is paid on a monthly, quarterly, half yearly or yearly basis and the policy holder can choose to have a wider coverage other than death and TPD. The amount of the premium will be determined by the usual factors and the scope of additional coverage. Comparison and Features of MDTA and MLTALife-MLTA 1. Transferable This policy is transferable whenever the borrower buys a new property or refinances his loan with another bank.Example: Transfer this policy, adjust the sum assured to match the new loan, as many times as you need. 2. Insurability is GuaranteedYou purchase only once, with the same sum assured, there is no need to prove your health condition again. 3. With Savings or Returns (Cash Value)Premium paid will be accumulated either as savings or savings plus returns. The cash value can be used to reduce or pays off your mortgage. MRTA 1. Not TransferableIn most cases, new MDTA policy has to be taken up whenever a borrower changes his properties or refinances his loan with another bankExample: 5 yrs later, refinancing at the older age, for same tenure of same loan amount, the MDTA cost is higher. 2. Insurability is not GuaranteedMost of the time every time you finance your property, you have to prove that you are healthy to purchase MDTA. 3. No Cash ValueIt is an expense with zero cash value at end of the mortgage tenure. In lament term with example :For example : The applicant name is Ken. He's a 24 male and bought a property for 230k but he only take 100k loan. MRTA scenarioSo if he purchase RM100k for 30 years MRTA the premium will be RM2165 and the surrender value from time to time is less and less. So, if anything happen to Ken at 5th year, the benefit he get from insurance com will be RM95299 while 10th year will be RM87319. So at the end, the value will be zero at 30th year.

MLTA scenarioIf he purchase same RM100k and 30 years MLTA, he needs to pay RM61 every month and gets the level protection. He can choose to pay monthly, quarterly, semi-annually or annually. If Ken is TPD and can't make a source to pay for monthly installment, the benefits he get is RM100k no matter at which year. If Accidental death it would be X 2, the benefits will be RM200k. This is consider savings and you get the level benefits no matter 1st year or 18th or 30th year. Because the surrender value is high and higher. If Ken have nothing happen at 30th year, he can get back the value he prepaid. This is the benefit you get from MLTA. And, Ken is only 24, if he buy a better property, he can bring this MLTA over to that property and extend it.

Example 1: Buying MRTA

Total Loan Amount = RM 106,155 Loan Tenure = 30 years Age = 25 years old Coverage Ratio (%) = 100% Coverage Amount = RM 106,155 MRTA Premium = RM 2,371.50 Payment Option 1: One Lump Sum Payment Upfront

Since it is one lump sum payment upfront, hence, no interest is charged Payment Option 2: Financed into Housing Loan

Assume BLR 1.8% = 4.25% Assume Loan Tenure = 30 years Monthly Installment = RM 11.66 Total Interests Paid = RM 1,824.84 Total Payment = RM 4,196.34

Example 2: Buying MLTA

Total Loan Amount = RM 106,155 Loan Tenure = 30 years Age = 25 years old Coverage Ratio (%) = 100% Coverage Amount = RM 106,155 MLTA Premium = RM 74.30/month = RM 891.60/year

3 years x RM 891.60/year = RM 2,674.80 6 years x RM 891.60/year = RM 5,349.60 9 years x RM 891.60/year = RM 8,024.40 12 years x RM 891.60/year = RM 10,699.20

Example 3: Comparison Between MRTA and MLTA (Buying Properties for Investment)

Example 4: Comparison Between MRTA and MLTA (Buying Property for Own Stay)

- See more at: http://www.horlic.com/mrta-vs-mlta-which-one-is-the-best-housing-loaninsurance/#sthash.K5XuBtSx.dpuf