Bank plans to discuss housing loan limits with customers

THE Kina Bank will discuss with customers wanting to secure housing loans their “limit”, according to head of personal customer service Yawetau Salem.
Salem said it was a big financial decision and commitment which needed to be discussed properly.
“We call it a pre assessment where we help customers understand the impact of the decision they are trying to make,” he said.
“If you are a parent, if you are someone who has not done this, it’s a big financial decision to make – a small K2,000 school fee loan to a K300,000 housing loan.”
He said there were a lot of things people needed to consider when getting a loan to buy a house.
“Some of the things that we talk to the customer about are their family, their kids, what school they attend and if they take the loan, how long will they pay it off,” Salem said.
“We will tell them where they can borrow and how much they can afford to spend to buy a house. This is so when a family goes to buy a house, they will already know their limit and how much they can afford to pay.” He said people needed to consider the location and condition of the house.
“You have to look at those things first before looking at the main component. When customers talk with our staff, we will try to help them look at those costs.”