Maybank Malaysia bags ‘The Banker’s Bank’ award
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Malayan Banking Bhd (Maybank) clinched The Banker’s Bank of the Year 2018 in Malaysia award with its fresh thinking on how to provide the best service quality to previously underserved consumers. In a statement, The Banker Editorial said Maybank launched HouzKEY, an innovative rent-to-own product, the first of its kind in Malaysia, recognising a gap in the market to provide services to Islamic banking customers.
“With a growing demand for affordable homes in the country, Maybank created this alternative solution, which allows for home ownership through a leasing scheme that does not require a deposit.
“Customers have a flat rate rental payment for five years, and at the end of that time, have the option to purchase the property at a price agreed at the start of the contract, continue to rent with a 2% annual rent increase, or to terminate the contract with no obligation,” it said.
The scheme is Shariah-compliant, being based on the Ijarah principle of leasing.
Maybank president/CEO Datuk Abdul Farid Alias said the bedrock of its success is predicated on the bank’s mission of humanising financial services, which drives it to innovate and offer financial solutions that enrich the lives of customers.
Questions & Answers
Q.What specifically led to Maybank winning The Banker’s Bank of the Year 2018 award?
What specifically led to Maybank winning The Banker’s Bank of the Year 2018 award?
Maybank won the award for its fresh approach to providing high-quality service to consumers who were previously underserved. Its innovative HouzKEY rent-to-own product, the first in Malaysia, addressed a market gap for Islamic banking customers needing affordable homes.
Q.How does Maybank's HouzKEY scheme allow customers to achieve home ownership without an initial deposit?
How does Maybank's HouzKEY scheme allow customers to achieve home ownership without an initial deposit?
The HouzKEY scheme is a leasing arrangement based on the Ijarah principle, allowing customers to pay a flat rate rental for five years. They then have the option to buy the property at a pre-agreed price, eliminating the need for an upfront deposit.
Q.What options are available to customers once the initial five-year rental period of the HouzKEY scheme ends?
What options are available to customers once the initial five-year rental period of the HouzKEY scheme ends?
After five years, customers can choose to purchase the property at a price agreed at the start of the contract. Alternatively, they can continue renting with a 2% annual rent increase, or terminate the contract without any further obligation.