Cash Advance – Terms & Conditions

  1. Interest: Interest on any Cash Advance, and existing Policy Loan, will be charged at the rate of 10.00% per annum calculated from the date the Cash Advance is paid.
  2. Interest capitalization: Interest is capitalised on the Policy Loan monthly or when a further transaction takes place on the Policy Loan (Capitalised Interest) and interest will be charged on the Policy Loan balance, including Capitalised Interest.
  3. Notices: BSP Life will give 30 days’ written notice before a change in the interest rate or the way interest is calculated under a Cash Advance.
  4. Repayment: BSP Life recommends that Insureds repay Policy Debt to sustain the policy until maturity. If Policy Debt remains unpaid, the Cash Value of Surrender of the policy will reduce, even when premiums are paid on time, and the policy will lapse when the Cash Value of Surrender reaches $0. BSP Life can also deduct Policy Debt from any payments due under the Policy.

Cash Advance means a loan, deposited to Your bank account, that You have taken against Your Policy, if applicable.

Policy Loan means the aggregate of Cash Advance (if applicable), and Premium Advance including capitalised interest less repayments.

Policy Debt means the aggregate of the Policy Loan and any accrued interest.

Cash Value of Surrender means the amount payable if the Policy is voluntarily terminated after the eligibility period.

Customer Due Diligence Compliance

To complete customer due diligence compliance, if required, please provide the relevant proofs for the Policy Owner for the appropriate category below:

  • Fiji Citizen and Resident – Full name, Date of Birth, Permanent Residential Address,
    Occupation including name of employer or nature of self-employment, Specimen signature, Citizenship
  • Fiji Citizen and Non-Resident / Politically Exposed Person – Full name, Date of Birth,
    Permanent Residential Address, Occupation including name of employer or nature of selfemployment, Specimen signature, Source of employment, Specimen signature, Source of funds, Citizenship
  • Non-Fiji Citizen – Full name, Date of Birth, Permanent Residential Address, Occupation
    including name of employer or nature of self-employment, Specimen signature, Source of funds, Citizenship, Current and valid passport, Current and valid work, business or other permit or visa
  • Legal Entity – Name of business, physical business address, Business registration date,
    Principal activity or nature of business, Date of commencement of business, Bank account details, Financial Report – Balance Sheet and Profit and Loss

Date of Birth Verification
To complete date of birth verification, if required above, please provide an appropriate proof of the Life Insured’s date of birth such as a copy of the birth certificate, passport, driver’s license or other acceptable form of proof.
Policy Ownership Verification
To complete policy ownership verification, if required above, please provide your Policy Document and all Memoranda of Transfer

Frequently Asked Questions On Cash Advance
1. How can I take a Cash Advance?

  • You can apply for a Cash Advance by calling us on ph: 132 700, or contacting any of our Customer Service Centres or applying through the My BSP Life Customer Self Service Portal if you are eligible.

    To apply for a Cash Advance:

    • Your policy must have a Cash Advance feature. The following policies below have the Cash Advance feature:
      • Bula Life
      • Bula SaverFlexi
      • Bula Scholar
      • Bula Secure Plus
      • Bula SaverPlus
      • Bula Prime
      • Bula Elite
      • Bula Smart
      • Bula Secure
    • The value of your policy must be over the minimum amount for a Cash Advance, which is $500.
2. What is the eligibility criteria for applying for a Cash Advance Online?

You may apply for a Cash Advance Online if:

  • Your Policy has a Cash Advance feature.
  • Your Policy has valid bank account details, i.e. Bank Name, Account Name and Account number.
  • The value of your Policy is over the minimum amount for a Cash Advance.
  • You are the Policy Owner and Primary Insured on the Policy.
  • Your Policy is not a keyman or assigned policy.
  • Your Policy has loan repayment amount > $0.
  • Your total loan drawdown in the last 30 days <= $4,500.
  • You are compliant with BSP Life’s Customer Due Diligence requirements.
  • You are registered on our Customer Self Service Portal – MY BSP Life.
  • Your survival benefit payment is not due on the same day as you apply for a Cash Advance.

 

    3. When do I need to apply for a Cash Advance in person at a BSP Life Customer Service Centre?
    • If you are applying for a Cash Advance for the first time.
    • You do not have loan repayments on your Policy.
    • You are not compliant with BSP Life’s Customer Due Diligence requirements.
    • You are the Policy Owner but not the Primary Insured.
    • You are yet to register on our Customer Self-Service Portal.
    • If you are applying for $5,000 and over.
    • If you do not meet any of the eligibility criteria for applying for a Cash Advance Online as outlined in number 2 above.
    4. What happens to my policy if I take a Cash Advance?
    • By taking a Cash Advance, the value of the policy is reduced.
    • The value of your policy diminishes.
    5. What is the interest rate charged on a Cash Advance and how is it calculated?
    • Interest is calculated at 10% on the reducing balance of the total principal loan amount and interest changes (amortization basis). The interest accrues daily on the Policy.
    6. What happens if Policy Debt or Cash Advance is not repaid?
    • If the Policy Debt is not paid, then the value of your Policy diminishes over time, as the Cash Advance value continues to grow with interest being added.
    • If the Policy has a Survival Benefit feature (that is periodical cash payments or cash returns), this Benefit is reduced by the Policy Debt and any balance of the Benefit is paid to the Policy Owner.
    • In cases where the Policy Debt is more than the Survival Benefit, there is no cash paid to the Policy Owner at that time, and the remainder of the Policy Debt continues on the Policy.
    • Maturity pay-outs are reduced by any existing Policy Debt at the time of maturity.
    7. How do I repay my Policy Debt or Cash Advance?
    • Same as the way you pay your premiums, it is expected that you will make similar arrangements to make Cash Advance repayments periodically.  You can do this via the following and ensure to mark it as a Loan Repayment.
    • Your salary deductions periodically (e.g. fortnightly)
    • Bank payments (e.g. on a monthly basis)
    • Electronically through internet banking or periodical payment (i.e. PPT) arrangements
    • Internet Payment Gateway (IPG) on bsplife.com
    • Directly to any of BSP Life’s cashiers where your deposit slip would be filled in as “Loan Repayment”.
    8. How do I apply for a Cash Advance Online?
    • Log into MY BSP Life via bsplife.com.fj and follow the step-by-step instructions in the user manual to apply for a Cash Advance Online via MY BSP Life.