Pension Backed Home Loan
The Fund offers loans for housing purposes through First National Bank - these are called pension-backed home loans.


The pension-backed loan enables you to utilise a portion of your Member Share in the Fund as surety on your loan (in terms of Section 19(5) of the Pension Funds Act). The loan can be used to purchase a home, do renovations on your existing home or build your dream home, as long as you or one of your dependants live in the house and it is your primary residence.

The above mentioned funds allow members to use up to 60% of their resignation benefits for the following purposes:

  • Buy a new home
  • Buy land
  • Building a new house
  • Improving an existing home (i.e. renovations and maintenance)

As with any loan, the loan needs to be repaid. The loan amount granted, depends on the monthly repayments you can afford and the amount you have accumulated in the provident Fund. 

Loan repayments will be done via deduction from your salary by the employer. 

If the employer does not sign the agreement with FNB, you will be unable to access a loan from FNB.

The process:

  • On request, an employer payroll agreement is sent and signed by the employer (without this FNB cannot assist the members).
  • The application is sent to employer to sign off confirming employment.
  • Application is sent back to FNB to finalise.
  • Once the payroll agreement is signed you then approach FNB to complete application form for the home loan.

Important: Home loans need to be settled before you reach normal retirement age. When you exit the Fund, the total outstanding loan is deducted from your exit benefit. In this way your loan is settled in full.


  1. Client must be a member of TSRF.
  2. Have a bar-coded RSA ID document.
  3. Permanently employed for 12 months.
  4. Be 18 years or older. 
  5. Credit checks will be done.
Pension Backed Home Loan

To apply or for more information, please contact FNB:

Tel: 0860 762 278

SMS: SMS the word "Home" to 30752

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