Housing Loan Ceilings for Youth Savings Account Raised

EghtesadOnline: Bank Maskan, the state agent bank of the housing sector, has increased the amount of loans it offers under the Youth Savings Account to applicants in Tehran by 60%, from 2,500 million rials ($8,503) to 4,000 million rials ($13,605).

News ID: ۷۸۵۶۴۱

30 September 2020

The loan’s ceiling also increased from 2,100 million rials ($7,142) to 3,300 million rials ($11,224) in large cities, namely Karaj, Mashhad, Tabriz, Isfahan, Ahvaz, Qom, Kermanshah and Shiraz, and from 1,840 million rials ($6,254) to 2,900 million rials ($9,863) in other cities, Hibna–the news portal of the state agent bank–reported.

Youth Savings Account holders may make monthly deposits in the bank over 5-15 years to become eligible for housing loans.

Hibna reported earlier this month that Bank Maskan had offered close to 70,000 loans worth 19,000 billion rials ($64 million) under Youth Savings Accounts since the Iranian year ending March 2006.

Fifteen years into the introduction of Youth Savings Accounts, over 1.63 million accounts have been opened by customers who are 18 years old or parents of young adults below 18.

The fund has absorbed 20,000 billion rials ($68 million) thus far.

Over 11,000 people bought homes using Youth Savings Accounts in the year ending March 2018.

A total of 14,000 loans were also paid under Youth Savings Accounts during the two Iranian years ending March 2019 and March 2020.