Give full loan protection to member-borrowers and also to protect MBA's accredited lending institutions by ensuring 100% collection of loans extended to the members in case of death.
The amount of contribution is based on the principal amount and term of loan extended to the members.
» 1.2% of the principal amount for a one-year loan term;
» 0.6% of the principal amount for a six-month loan term;
» 0.3% of the principal amount for a three-month loan term.
Upon receipt and approval of due proof of death, MBA will pay:
» the lending institution - the balance of loan at the time of death.
» the beneficiary - the paid portion of the loan at the time of death.