FREQUENTLY ASKED QUESTIONS

What is a Pension-Backed home loan?

A Pension Backed Loan is another form of property financing. It is issued by AdviceCube Administration and secured against your pension fund value, the purpose of the loan needs to be in accordance with the Pension Funds Act.

Who can apply?

Any contributing member of a pension/provident fund and if there is an agreement in place between AdviceCube Administration, the fund, and your employer.

What can it be used for?

You can use it for home improvements / renovations / purchasing a new home / paying off an existing home loan or costs associated with buying a new home.

What is the maximum loan term?

It is the earlier of retirement age or 30 years (360 months).

What is the maximum loan amount that I can apply for?

A percentage of the funds available for surety purposes.

Is my pension fund value impacted?

No. A portion of your funds will be used as security till your loan is fully paid. You will still benefit from your monthly contributions to the fund and enjoy the growth from the fund.  

How long is the application process?

7-10 working days from the time we receive all necessary information.

What is the interest rate?

Favourable interest rates are negotiated at a Fund level

Do I have to take credit life cover?

You may choose to use the Fund approved insurance or provide your own and cede it to AdviceCube Administration. More comprehensive insurance is available at the discretion of the member.   

Do I need to sign a debit order?

No, payments are conveniently deducted from your salary each month.

How can I apply?

  • call us on 0861 732 688
  • email us at applications@advicecube.co.za
  • visit us at our offices

What do I need to apply?

• Fully complete application form
• You must own your home and be a contributing member of the fund for at least 12 months
• ID Document
• Marriage certificate (if applicable)
• You will need your latest 3 months pay-slips and latest 3 months bank statements
• You will also need your FICA information i.e. Proof of residential address not older than 3 months
• The building quotation or invoices for your home related costs or offer to purchase
• You would also need proof of home ownership