BancABC Chief Executive Officer, Jitto Kurian, says the bank has launched its latest banking product that is set to transform the home loan landscape in the local market and contribute significantly to increasing home ownership by Batswana.
Kurian said unlike any other home loan products that have dominated the market over the years, BancABC’s latest product offering allows its clientele to get an opportunity to own property at zero deposit. He stated that the new home is designed and developed based on thorough understanding of the market trends and dynamics informed by meticulous research and insight.
According to Kurian, home loan benefits include variable interest rates, flexible repayment periods and option to re-finance and consolidate on one’s property.
“The bank is targeting the whole nation in terms of spreading foot prints of the bank and we are opening two branches next year,” he said.
Commenting on product development philosophies at BancABC Home Loan Manager Harold Matenge said the product has three parts which are new acquisition, mortgage refinancing and consolidation.
Matenge said for first time buyers, the target market is those individuals who are looking to acquire residential property. He said their proposition to them is that the Bank will finance the customer for an amount up to 100 percent of Open Market Value (OMV) of the property being sold.
For mortgage re-financing, Matenge said they are targeting those individuals who have aspirations of boosting their personal balance sheet. He said the bank’s proposition is that it will avail 100 percent of the available equity in the mortgage to the individual who qualifies for it. He said clients can therefore apply to Banc ABC for the available equity being the difference between what they still owe on their mortgage and the current Open Market Value of their property.
“We have done financial solution research for the past ten months before this campaign and it is first of its kind in the local market,” said Matenge.
For consolidation, Matenge stated that the Bank is offering a solution where a customer can consolidate all their existing liabilities under a Home Loan, and the Bank will offer finance up to 100 percent of the Open Market Value of the Property for a client who qualifies for the facility. He added that the product allows customers the opportunity to clear all their existing debt and have one interest rate that they will be servicing.
“People need homes, access to finance yet feeling comfortable within the financial commitments they have already made,” said Matenge.