NBP Saibaan Product Features

NBP SAIBAAN PRODUCT FEATURES
NBP Saibaan is a purely residential scheme for Pakistani resident nationals holding CNIC and clean
e-CIB report and maintaining salary/current A/c (if not, then A/c to be opened at NBP branch before
finance disbursement).
Customers :
 Category A-1 : Includes permanent employees of Federal Govt., Semi-Govt., Autonomous, Semi-
autonomous, Local and Other Bodies whose salaries are/shall be disbursed through NBP Branch
and their organization is ready to give Employer Undertaking on NBP’s format.
 Category A-2 : Includes are other salaried class working with Multinational Companies, Schedule
Banks or Organizations approved by NBP
Products:
(1) Home Purchase Finance for the purchase of ready residential House or Apartment.
(2) Home Construction Finance for construction and extension of self-owned residential property.
(3) Purchase of Land for Construction
Finance Amount & Tenure: Maximum amount for all products except Home Improvement
is Rs 35.00 million, repayable in 3 to 20 years.
Markup rate: The variable markup rate ( to be revised on each loan anniversary date ) is
 SBP Discount Rate + 2% for all cases with Insurance Coverage,
 SBP Discount Rate + 4% for all cases without Insurance Coverage,
Debt/Equity: 70 : 30 for all cases
Security: For collateral purposes property will be mortgaged. 1% token registered (of finance
amount) and balance, as Equitable Mortgage will be created on the property.
Co-applicant: Only spouse, parents and adult male children can be co-applicant. The co-
applicant income can be clubbed and senior applicant age will be considered.
Insurance : In Saibaan there are two types of insurance.

Life Insurance : Premium is calculated based on 0.525% of the outstanding amount multiplied by an
optional spread at the beginning of each loan year. This spread varies from customer to customer and
is determined by the insurance company.
Property Insurance : Premium is calculated based on 0.055% of 120% of the outstanding loan amount
at the beginning of each loan year.
Property insurance is mandatory and Life insurance is optional through Bank’s approved Insurance
Companies. In cases where the applicant does not opt for life & disability insurance, markup rate will
be SBP Discount Rate + 4%. All those cases which have been declined due to non-availability of life
& disability insurance because of medical reasons will not be entertained. In case of the borrower‘s
death, the account will be frozen from the day of the demise and bank will be the beneficiary. The
loan amount will be recovered from the insurance company.
National Bank o Pakistan Page 1

Main Branch (0341 ) Islamabad - Phone # 051-9201428, 051-9209421, 051-9201800
CALCULATION OF INSURANCE –
Saibaan Purchase & Home Improvement
i. 1st year's insurance is calculated on the full sanctioned amount and paid upfront by the customer.
ii. The insurance for the following year is calculated on the projected opening balance of the 13th
month (i.e. the 2nd year's opening balance), divided by 12, and included in the 1st year's installment.
iii. The insurance for the 3rd year is calculated on the projected opening balance of the 25th month,
divided by 12, and included in the 2nd year's installment, and so on and so forth.
Saibaan Construction
i.1st year's insurance is calculated on the full sanctioned amount and paid upfront by the customer.
ii.2nd year's insurance is calculated on the full sanctioned amount, divided by 12 and included in the
1st year's installment 3rd year's insurance is calculated on the projected opening balance of the 25th
month, divided by 12, and included in the 2nd year's installment, and so on.
Referral & Hub Branches:

 All NBP branches throughout Pakistan will act as referral branches except for Hub branches and
can refer their NBP SAIBAAN cases to Hub branches for all customers.
 The property being financed has to be located in the city where the Hub branch is located and the
finance will be booked in the Hub branch. Every loan is to be parked at a Hub Branch. Hub
branches will be designated by H.O. from time to time.
 The borrower under the category of salaried class A-2 has to maintain the salary account or
current account at referral branch duly funded with at least 1 month installment.
Disbursement :
 For all products, finance will be disbursed in one tranche except for Home Construction and
Purchase of Land for Construction cases.
 For Home Construction Finance, the number of tranches will depend upon the status of
construction and the stage when disbursement is to take place.
Normally bank disturbed 20% of the finance amount for foundation, 40% for ground and upper floor
construction, 20% for electric, plumbing and wooden works and rest 20% for finishing
Balloon Payment : Early payment or partial payment i.e., Balloon Payment is allowed (within
5 years will be subject to early redemption charges of 2% of the amount repaid)
 For finances greater than Rs. 1 million (Rs. 1,000,000), minimum Rs. 50,000 is required to make
balloon payment.
 For finances equal to or less than Rs. 1 million, minimum Rs. 25,000 is required to make balloon
payment.
Head Office issued a new repayment schedule on realization of early payment.
National Bank o Pakistan Page 2

Main Branch (0341 ) Islamabad - Phone # 051-9201428, 051-9209421, 051-9201800

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NBP SAIBAAN PRODUCT FEATURES

Debt/Equity: 70 : 30 for all cases

Insurance : In Saibaan there are two types of insurance.

National Bank o Pakistan Page 1

Referral & Hub Branches:

National Bank o Pakistan Page 2

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