consumer finance at Bank Alfalah.ppt

8/13/2019 consumer finance at Bank Alfalah.ppt

1/29

Consumer Finance at Bank

Alfalah

Prepared By:MB06108 sana khan

MB06138 mehwish shan


2/29

Brief History and Background of Bank

Alfalah

Incorporated on June 21st, 1997 as a public

limited company under the Companies

Ordinance 1984

Its banking operations commenced fromNovember 1997

Belongs to Abu Dhabi Group

One of the Leading Banks in Pakistan


3/29

Consumer Finance at Bank Alfalah

Consumer Finance at Bank Alfalah comprises

of the following four segments:

Credit Cards

Home Loans

Auto/Vehicle Loans

Debit Cards


4/29

Bank Alfalah Credit Cards


5/29


6/29


7/29

Bank Alfalah Credit Cards - Types

PLATINUM

GOLD & SILVER

YOUNG PROFESSIONAL

WOMEN EXCLUSIVE

STUDENT CARD

SUPPLEMENTARY CARD

VISA MINI

AWAMI CARD

*brief descriptions to follow in oral presentation


8/29

Bank Alfalah Credit Cards

Schedule of Charges

(Double Click on the object on right side

to Open MS Word File)

Service Fees: 3.00% per month (36% APR) on

cash advance

3.00% per month (36% APR) on

retail transactions

1.50% per month (18% APR) on BTF

transactions

Schedule of Charges For Platinum, Gold and Silver CardsService Fee 3.00% per month (36% APR) on cash advance

3.00% per month (36% APR) on retail transactions1.50% per month (18% APR) on BTF transactions

1.75% per month (21% P.A. flat rate) on SBS transactions (APR 31.23% to

36.74%)Step-By-Step (SBS) - Factors & APR details: Installment Plan Factor APR3 months 0.350833 31.23%6 months 0.184167 35.15%9 months 0.128611 36.36%12 months 0.100833 36.74%18 months 0.073056 36.68%24 months 0.059167 36.22%30 months 0.050833 35.66%36 months 0.045278 35.07%0.99% per month (11.88% P.A. flat rate) on BTF to SBS transactions (APR17.73% to 21.44%)BTF to SBS - Factors & APR details: Installment Plan Factor APR3 months 0.343233 17.73%6 months 0.176567 20.09%9 months 0.121011 20.90%12 months 0.093233 21.25%18 months 0.065456 21.44%24 months 0.051567 21.37%30 months 0.043233 21.21%36 months 0.037678 21.01%24% APR on Credit on Phone to SBS Transactions

Credit on Phone to SBS - Factors & APR details: Installment Plan Factor APR3 months 0.34675 24.00%6 months 0.17853 24.00%9 months 0.12252 24.00%12 months 0.09456 24.00%18 months 0.0667 24.00%24 months 0.05287 24.00%30 months 0.04465 24.00%36 months 0.03923 24.00%

Late Fee Rs. 600/- or 10% of minimum amount, whichever is higher. Cash Payment Processing fee Rs. 100/- per transaction.Merchant Discount Charges Upto 5% of transaction amount.VISA Mini Card Supplementary

Fee Rs. 500/-Cash Withdrawal Fee:

- Cash Advance Fee/Call & PayFee Rs. 500/- or 3% of cash advance amount, whichever is higher

1% of cash advance amount


9/29

Bank Alfalah Home Loans


10/29

Bank Alfalah Home Loans

Home Loan Programs at Bank Alfalah

Home Start

Home Construct

Home Buyer

Home Improver

Home BTF

*brief descriptions to follow in oral presentation


11/29

Bank Alfalah Home Loans (Contd.)

Eligibility Criteria

Pakistani Nationality.

Age Range 23 and 60 years at the time of application. (Subject to

maximum age of 65 at the time of maturity). Continuous employment in a permanent position for the last 2

years or more OR 3 years (or more) of business or professionalexperience

Gross annual income is Rs: 240,000/ or more [Spouses

income (upto 50%) can also be combined]. If you have been a Bank Alfalah borrower for past one year with

clean payment record.


12/29


Documents Required

Basic Documents:

2 recent passport size photographs

Copy of Computerized National Identity Card (Original to beshown at branch)

Bank Statement for the last 6-12 months (Original or attested)

Copies of complete chain of title documents of the property beingoffered (If identified)

Processing Fee Cheque favoring Bank Alfalah Limited Life Insurance (MPP) & Property Insurance (PI) form

Letter of Understanding


13/29


14/29


Additional documents for Businessmen / Self-Employedindividuals.

Copy of current association membership / trade bodymembership certificate (if applicable)

Deed of Partnership + (Undertaking & NOC) as per Bank format.

Sole Proprietorship Letter / Certificate from customers bank.

Copy of latest Form 29 duly attested by the company secretary.

Letter from company secretary confirming either the status andshare holding or remuneration (Where applicant is a Director /

Paid Director of company) Copies of last three Year Income Tax Returns.


15/29


Miscellaneous as per requirements

Construction: Bill of Quantity prepared by an Architect

Renovation / Improvement: Estimate of Renovation

BTF: Certificate of balance from current lender bank including the

list of title documents held. BTF: Customers declaration

Proof of other Income (if any such as Rent Agreement, Agri PassBook, etc.)


16/29


Processing Fee (Non Refundable)

For financing upto Rs.1.00M 5000

For financing upto Rs.2.50M 10,000

For financing upto Rs.5.00M 12,500

For financing over Rs.5.00M 15,000


17/29


Mark-up Rates:

1 Year KIBOR + 2%for Salaried person

1 Year KIBOR + 3%for Business People / Self-employed andOverseas Pakistani (both salaried and self-employed)

Fixed Rate Options: 1 Year

Salaried 12.50%per Annum

Self-employed Professionals & Businessmen andOverseas Pakistani (both salaried and self-employed)13.50%Per Annum

* These are indicative rates reviewed monthly


18/29


Late Payment Charges: Rs. 500/- per late payment

Prepayment Charges:

Nill if repaid through own sources. Otherwise 5% penalty of theoutstanding amount.

No charges are applied on balloon/bullet payments for reducing yourloan amount

Documentation Charges:At actual, including stamp duty charges forlegal documentation, on-site inspection during construction, lawyersfee and charge registration fee, as advised by the relevant persons/agencies.

*All quoted rates are subject to change in response to SBP / Marketfactors. However, we will notify our customers of each rate change


19/29


10 steps of Home Financing at Bank Alfalah

1. Bank Alfalah provides all necessary information about HomeFinance. Through:a) A face-to-face meeting

b) The post

c) And over the telephone2. Client gives the Bank some basic information about income and

the amount needed.

3. Client completes an application form and submits it together withthe required documents.

4.

Bank makes some inquiries about clients financialcircumstances.

5. Bank carries out a valuation of the property and verification ofclients income.


20/29


6. Once initial processing is complete, Bank sends the Client, itsoffer through a Facility Advice Letter.

7. Client signs the Facility Advice Letter and return it to the Bank.

8. Banks Documentation Control Centre gets in touch with theClient to complete Finance & Security documentation includinglegal opinion on the title documents of the property and also theinsurances.

9. The Client signs the Finance Agreement and Chargedocuments.

10. Banks legal advisor accompanies the client to the Registrars

office on the appointed date with the Clients cheque against thefinancing for conveyance of the property and Clients homefinance begins.


21/29

Bank Alfalah Vehicle Lease

Presented By:MB06108 Umair Sajid Dar


22/29

Bank Alfalah Car Financing

Benefits and Features:

Quickest processing.

No hidden charges.

Minimum down payment.

Complete repayment at any point of time.

Balance transfer facility {BTF} for existing as

well as new clients from other Banks.

Tenure period ranging from 1 to 5 years.


23/29

Bank Alfalah Car Financing

Financing of all brand new locally assembled

vehicles and used cars.

Financing limit ranging between Rs. 200,000/- to Rs.

2000,000/- for brand new cars. Corporate & Individual Car Leasing

Insurance

Repayments

Security

You Can Act As A Co-Borrower


24/29


25/29

Bank Alfalah Car Financing (Contd.)

Eligibility Criteria:

Pakistani National Identity Card holder.

Over 20 years of age (Maximum 60 years in case of

salaried and 62 in case of a business person at thetime of maturity of the loan).

Salaried , businessman or self employed.


26/29


27/29

Bank Alfalah Debit Cards


28/29

Bank Alfalah Debit Cards

Bank Alfalah Debit Card is named as Alfalah Hilal

Card. Visa Debit Card

Unlimited access to your current / savings account with a simple

swipe

No Interest

No Minimum Income Requirement -just open an account in any

branch of Bank Alfalah Limited and apply for the Hilal Card

No PIN required for Retail Transactions Accepted at more than 1 Million ATMs and 27 Million retail outlets

around the world


29/29

Bank Alfalah Debit Cards (Contd.)

Uses of Hilal Card:

As a Debit Card

As an ATM Card

Difference between Hilal

Card and Credit Card:

Hilal Card Credit Card

Buy Now, Pay Now Buy Now, Pay Later

No Monthly

Repayment

Monthly Repayment

No Interest Charged Interest is Charged

Limit is the Balance

in the Account

Limit is the

approved Credit

Limit

consumer finance at Bank Alfalah.ppt

Documents

Transcript of consumer finance at Bank Alfalah.ppt