Feel free to ask or share any information regarding to MLTA or MRTA ya.

Coverage Terms 69 Years. Does it mean until i'm 69 years old or 69 years from the year I start?

There's no Guaranteed Return for my policy. It depend on X and Y factor in GE Investment. I checked the policy and there's no Breakeven for my policy. Max i could get back is RM 10K based on X Column by year 10. Year 10 means total of RM 17K paid for 10 years policy.

Then it's investment link product already. That's why the premium is cheaper a lot as investment link product coverage premium is come from fund value available and it will increase year by years.

Coverage term until age 99 which is 69years in your case. But please bare in mind your 'insurance charge' may not be able to cover the  rm400k coverage until 69 years. It might stop at maybe 30-40years depend on fund value available.

newbie here.
first time home buyer.
Bank processed the loan together with MRTA/MRTT.
is it optional to drop or compulsary to take the insurance?
and where to get the proper MLTA quotation?
any insurance provider will do?
regards,

Can any one provide me quotation for mlta. Pls pm me and i will provide the details.

My quotation is from Hong Leong. The quotation I quote to you is base on 8% interest rate so that you have more room for adjustment toward blr increase.

The quotation from Ambank seem reducing base on 4.4%. If that's the rate, whenever blr increase a little in future, there might be under cover for the loan. Please check the reducing rate is it base on 4.4%. Or if can please pm me the reducing coverage amount from Ambank

hi bro onnying88,

I believe MRTA can be purchased directly from bank or from outside insurance agency. Bank do have their own insurance agency appointed i believe. So taking MRTA direct from bank, bank will be beneficiary. How about buying from outside agency ? What will be the process ?
If buying from outside, the process will be the same. Just sign up the MRTA application form will do. One things to take note, buying outside you need to pay cash in full, cannot finance into your loan.



-Getting MLTA, still bank will be the 1st beneficiary followed by family members ? 
It's up to you, you may sign up an absolute assignment to assign to the bank. By doing this, the bank will get the money first and use it to settle all the balance.  But doing this you will lock up MLTA just like MRTA which is not transferable. So normally for MLTA, we will just assign a nominee (your family member) to take care the money and you are free to change property, refinance or upgrade the loan without re-purchase the MLTA.


-I have approached a bank where they have MRTA and MLTA. Their MLTA no surrender value at all but the term assurance is same through out the tenure and once reach the expiry thts it.
Yup, it's just a term life MLTA and you need to pay the lump sum in full. Same as MLTA type 1 in my quotation but for MLTA type 1 you can have the option to pay the premium in monthly mode or yearly mode or in lump sum.



-Is that true bank doesn't have MLTA type 2 or type 3 and that only can be purchased from outside agent ?
Yup, currently there is no MLTA type 2 or type 3 that available straight from bank. This is because the bank will not provide finance facility to purchase it.



- i have been told that, taking MRTA / MLTA direct from bank, where bank be beneficiary... if anything TPD / DEATH bank 100% will do the necessary things, return the cash to family or anything.
Of cause, because the bank provide you the finance facility to purchase it. Sure the want to protect them self first. That's why it's recommend to get from outside where you have less limitation and everything control by you. Also bare in mind, if you buy with bank and finance the premium, you will paying interest too. Why not just but from outside with no interest charge and allow you to pay by monthly?



- taking from outside insurance company, there is no guarantee the money will be return to family members in the event family not aware of house owner's MLTA. [/b]
If you had assign a nominee for your MLTA, then your nominee will be guaranteed get the money. Even you have a will or bankrupt, the money will still go to your nominee first. All insurance claim include MLTA's claim is creditor proof.
And of cause, it's your responsibility to let your nominee know and aware of the MLTA that you've brought. Or, you may just mention the MLTA in you will if you have it.



I was in assumption that if take MLTA lets say TYPE 2, can pay yearly premium each year get added in total loan. Like how we pay for fire insurance, where each year the insurance amount will add up in loan principal. But the bank i approached updated take MLTA which no surrender value i need to pay one lumpsum amount lets say for 30 years... like MRTA.
can you explain me further.
You can't finance the premium of MLTA type 2 in to your loan as there is no bank provide the finance facility. It will be never ending and pay forever as the MLTA type 2 term is 100 years old. How can the bank borrow you RmXXX amount for MLTA type 2 premium every year until your age 100? Bank only provide finance facility for insurance that can pay in lump sum like MRTA and certain type of MLTA.  And why do you want to finance the MLTA type 2 premium into the loan and pay the interest while it allow you to pay in money mode without extra interest?

Hope this clear up your doubt.

Hi bro, thanks for the explanation... MRTA is straight forward, MLTA bit tricky thts why still trying to clearing out doubts as much as possible. The MRTA or MLTA coverage, is it stated in cover notes as MLTA or MRTA anything ? MLTA and MRTA specifically designed for property coverage and have own terms ?

I have heard having personal insurance, already can use it as MLTA. How could that be possible ?

is it like lets say if personal insurance coverage for TPD/DEATH/CRITICAL is 100k... when u buy property worth 500k..we increased the personal insurance coverage to 500k... is it how it works ? then why MLTA needed ?

basically MLTA just covers TPD and DEATH right... so MLTA just like personal insurance right, but does it have any special differences comparing with traditional personal insurance ?

Yes, Any life insurance in the market can be use as MLTA, and the main point of MLTA is to cover up the loan amount in case of unfortunately.

As Life insurance can be use for many objective,

For example:
- To have a fund for their family member (husband buy for wife or parents to cover their family future living cost).
- To have a fund for children education fee in case of unfortunately.
- To cover the loan amount so that their spouse/family no need to worry the loan installment in future. (MLTA)
So, there is few way to cover your loan amount,
- increase your current personal life insurance
- get a new life insurance (we name it as MLTA as it serve to cover the loan)

So you just consider the cost of the above option, which will be cheaper, provide more benefit or give you the best value for money plan. Some time the cost of increase coverage will be higher then getting a new plan.

name it as MLTA ? means in the document or booklet stated MLTA ? usually when get personal insurance the book with details of coverage, explanation on critical illness and extra, illustration included right..
we can get MRTA and MLTA.. even after 1 year of property purchasing period, just that coverage amount increase when age catch up.. am i right ?

name it as MLTA ? means in the document or booklet stated MLTA ? usually when get personal insurance the book with details of coverage, explanation on critical illness and extra, illustration included right..
we can get MRTA and MLTA.. even after 1 year of property purchasing period, just that coverage amount increase when age catch up.. am i right ?

Do all banks offer the same type of MLTA or do they vary?