Mandate - A
written instruction, normally in the bank's standard form, naming a
person (the mandatee) who is authorised to sign and operate the
Margin of Financing - The loan amount granted by the banking
institution, expressed as a percentage of the value of property
pledged to secure the loan.
MEPS - A consortium set up by domestic banking institutions
to provide shared banking services, such as shared ATM network and
Merchant - Any business that accepts credit cards as one of
the payment modes for the purchase of their products/services.
Minimum Income - Minimum annual income of applicants required
by card issuers to qualify for a credit card.
Minimum Interest Free Period - Grace period where no interest
is charged on amount incurred, usually 20 days, from the posting or
statement date up to the due date, except for cash advance and
balance transfer. Grace period is only applicable for purchases.
Minimum Loan Amount - The minimum amount of loan required by
banking institutions when applying for the loan package.
Minimum Loan Period/Tenure - A shortest period / tenure,
normally in number of years, where banking institutions would
provide loan or financing (that is, not shorter than minimum
Minimum Monthly Payment - Minimum payment to be made by
cardholders for the month.
Monthly Rest Interest - Interest on housing loan calculated
on a monthly basis based on current outstanding balance.
Mortgage Reducing Term Assurance (MRTA) - A term insurance
which reduces over the tenure of the loan. This form of insurance is
used to provide cover for the outstanding loan amount, in the event
of death or total permanent disability of the insured. MRTA is
normally calculated to meet the outstanding loan amount.
Mortgage Takaful (Mortgage Reducing Term Assurance or MRTA) -
A family takaful plan which will automatically settle a customer's
house financing-i in the event of his/her death or permanent
disability. Once the financing has been redeemed, the ownership of
the property will be released to the customer or his/her
beneficiary. The customer will pay a single contribution for the
mortgage takaful when the financing is taken. The contribution rate
will depend on the age, and the amount, profit rate and term of