Skim Amanah Rakyat 1Malaysia – SARA 1Malaysia

Skim Amanah Rakyat 1Malaysia (SARA 1Malaysia) is a special Scheme initiated by the Government of Malaysia aimed at promoting the participation of the low-income group to save and invest; apart from to assist them in managing the impact of the rising current cost of living.

The Scheme will be implemented in collaboration with Permodalan Nasional Berhad (PNB) and selected financial institutions.

Through this Scheme, eligible Malaysians will have the opportunity to apply for a RM5,000 loan from participating financial institution to invest in Amanah Saham 1Malaysia (AS 1Malaysia)^Imanaged by Amanah Saham Nasional Berhad (ASNB)*, and will receive attractive incentive payments on their savings and investments.

SCHEME FEATURES

1.	What are the salient terms of the loan? The loan is offered at a fixed amount of RM5,000 per household for purchase of 5,000 Amanah Saham 1Malaysia (AS 1Malaysia)I units. The unique feature of the Scheme allows participants to repay only the minimu amount over 60 monthly installments. The loan tenure is 5 years.
2.	Is early settlement allowed? Early settlement of the loan is not allowed. However, prepayments by participants are allowed.
3.	What happens if a participant of this Scheme is not able to pay his monthly payment? A participant who misses three consecutive monthly payments will be disqualified from the Scheme programme. Participants would only receive AS 1Malaysia units equivalent to the amount that had been paid plus the entitled incentive payments.
4.	What happens if a participant dies during the programme? The deceased participant will be automatically disqualified from the Scheme. The beneficiary of the estate of the deceased participant may claim the AS 1Malaysia units of the deceased, equivalent to the amount of monthly payments paid. Participation in the Scheme is not transferable.
5.	What happens at the end of the loan period? Participants would receive AS 1Malaysia units equivalent to the amount of monthly payments paid during the tenure of the loan plus the accumulated monthly incentives, should the incentives are not withdrawn from participant's account. Participants may retain and increase their personal investment in AS 1Malaysia (subject to fund allocation).

APPLICATION PROCEDURE

1.	How do I apply for the Scheme? Interested applicants must obtain forms from participating banks starting from January 30, 2012**. Completed forms together with the required documents are to be submitted to the banks for verification and consideration. **Subject to change
2.	Which are the participating banks? There are four banks namely Maybank, CIMB, RHB and BSN.
3.	How long is the application open? Application will be opened for a duration of one year from the launch date or upon full subscription, whichever is earlier.

ELIGIBILITY

1. Malaysians aged between 18 and 58 years old
2. Gross household income of between RM500 and RM3,000
3. Applicants must not be declared bankrupt throughout the loan funding period
4. Any other terms set by the banks
5. Applicants and / or spouse must not be a participant or beneficiary of any ASNB-related Government programme:
   • Program Pembangunan Rakyat Termiskin;
   • ASB Sejahtera; and
   • ASW2020-Bandar
6. Applicants and / or spouse do not have any investments in ASNB unit trust products OR applicants and/or spouse(s) (household) have a combined aggregate investment of less than RM10,000 in all ASNB products
7. All-clear status for ASNB unit trust account
8. Application is subject to the distribution of Amanah Saham 1Malaysia (AS 1Malaysia)^I as stipulated and availability:
   • Bumiputera - 50%;
   • Chinese - 30%;
   • Indian - 15%; and
   • Others - 5%
9. Only one member of the household is eligible to obtain the loan funding
10. Application is approved for a loan at one bank

DEFINITION OF HOUSEHOLD
Eligible household refers to individuals with gross household monthly income of between RM500 and RM3,000 including the following categories:

• Married - a combination of gross income of the husband and wife; and
• Single mothers or fathers - individual gross income.

DOCUMENTS REQUIRED

Main Documents 

• Application form to participate in Skim Amanah Rakyat 1Malaysia (BPPSARA1M)
• Loan Form from the participating financial institutions
• Registration form of Unit Amanah Akaun Dewasa ASNB P1
• Additional Investment Form ASNB 21
• Redemption Form ASNB 31
• Investment Book Renewal Form BS3
• Risk Disclosure Statement (RDS)

Supporting Documents 

• Original and 2 copies of Mykad of applicants
• Original and 1 copy of Mykad of spouses (if applicable)

Certified Income document

• For applicants and/or spouses, please provide original and copies of the latest three months' Pay Slips or Bank Statements.
• For applicants who do not have Pay Slip or Bank Statement, the income declaration stated in BPPSARA1M Part C will be applicable.

* BPPSARA1M MUST be signed before a WITNESS - either the Employer/Penghulu/Official at the Department of Orang Asli Development/Government Official in a Managerial Position /Member of State Legislative Assembly/ Member of Parliament

If you are still are not clear with their terms, you may contact them directly here