Is collateral required for a Repair/Top-Up Loan?

Collateral for a Repair/Top-Up Loan depends on the type of loan:

• Top-Up Loans: Generally, no additional collateral is required if you already have a secured loan (like a home loan or vehicle loan) with the financial institution. The top-up loan is secured against the existing loan.
• Repair Loans: For property or vehicle repair loans, the asset being repaired (like a house or car) may serve as collateral. Some unsecured repair loans do not require collateral but may come with higher interest rates.

Always confirm with your financial institution whether collateral is needed based on your loan type.