Mortgage Reducing Term Takaful (MRTT)

Mortgage Reducing Term Takaful (MRTT) is tailored to provide takaful coverage for Islamic banking home financing customers in the event of death and total permanent disability (TPD). The benefit shall be the amount of the reducing sum covered, which is calculated by reference to the amount of initial sum covered.

Benefits and features of MRTT

• The duration and sum assured should be consistent with the financed amount and duration of the approved Islamic financing facility, in order to enjoy the full benefits of this product.

• The sum assured payable will be based on the decreasing schedule excluding any defaulted payments.

• The takaful contribution is payable in a single payment and can be either fully or partially financed under the mortgage.

• Cash Value - In the event of early settlement of the financing, the customer has the option of surrendering the certificate to get the cash value. The cash value varies according to the unexpired financing/loan term at the time of settlement.

• Alternatively, you may continue the coverage after settling the outstanding financing and have all benefits reverted to you.
This is basic information to help you understand about MRTT. Different banks may have vary information. For more enquires, please contact your local bank.

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