PenCom pegs mortgage loan at N1.5m to N50m in draft guidelines

PenCom
| credits: naijaonpoint.com

Chuks Udo Okonta

The National Pension Commission (PenCom) says Retirement Savings Account (RSA) holders can withdraw between N1.5 million and N50 million from their savings for payment of equity contributions in procuring first-time residential mortgages.

The Commission said this in a recently released guidelines on Withdrawals from Retirement Savings Account (RSA) Towards Equity Participation for Payment of Residential Mortgage. It noted that the tenor of the mortgage loan shall be for a minimum of five year and maximum of 20 years.

PenCom noted that the interest rate on the mortgage loan shall be at a fixed rate for its whole duration.

While calling to make input into the draft, the commission urged the public to send all enquiries and clarifications to its Director-General.

"The National Pension Commission (PenCom) is pleased to issue the Draft Guidelines on Withdrawals from RSA for Residential Mortgage. These Guidelines aim to allow contributors to access a portion of their Retirement Savings Accounts, for payment of equity contributions in procuring first-time residential mortgages," it said.

The draft Guidelines can be downloaded  <here>