MBSB Is Giving Away A Car To Help You Have A Baby, The Financing Rate Is A Different Story

MBSB Bank’s fertility financing looks affordable at 2.60% – until you find out the effective rate borrowers actually pay is 4.95% per annum, based on the campaign’s stated Standardised Base Rate of 2.75%.

Fertility treatment is expensive – a quick check shows that it can go up to five figures – but MBSB Bank has a new financing option that might help.

Under the Fertility Financing-i XTRA Vaganza, Malaysians can borrow up to RM50,000 for treatment at KL Fertility Centre.

The advertised rate starts from 2.60% per annum (p.a.) flat, which looks competitive on paper.

That is not the rate borrowers will actually pay.

The Effective Profit Rate Is At 4.95% p.a.

Here’s what that looks like in practice.

The profit (interest) rate of 4.95% p.a. is calculated as the Standardised Base Rate (currently 2.75% p.a., effective 17 July 2025) plus a margin of 2.20% p.a., over a three-year financing tenure.

The base rate reflects overall market conditions, while the margin is the additional amount MBSB Bank charges for offering the financing.

On a RM50,000 facility at that rate over three years, that works out to roughly RM1,497 a month – approximately RM53,892 in total repayments over the full tenure.

Rates are capped at a ceiling of 15.00% p.a.

There’s a catch tied to the financing too – treatment has to be done exclusively at KL Fertility Centre to qualify.

Who Can Apply?

You’ll need to be a Malaysian citizen, aged between 19 and 60 at the point the facility expires, or your opted retirement age, whichever comes first.

This applies whether you’re new to MBSB Bank or already a customer.

You’ll also need to open a Current Account-i or Savings Account-i, and subscribe to Group Credit Family Takaful coverage, along with other Banca Takaful or wealth products.

Government employees can repay through salary deduction, via Biro Perkhidmatan Angkasa, the Federal or State Accountant General, or their employer.

Private sector employees have more options – over-the-counter payments, Interbank GIRO, instant transfer, standing instruction, or auto debit.

The campaign features a prize draw, and the grand prize is a JAECOO J5.

Quarterly prizes include three units of the iPhone 17 Pro Max 256GB, two RM10,000 travel vouchers, and seven RM1,000 Harvey Norman gift cards.

Initiative To Address Ageing Population

Malaysia’s birth rate is falling, and the population is ageing.

Malaysia’s total fertility rate fell to 1.6 in 2023, below the replacement level of 2.1, according to the Department of Statistics.

Family planning has become a growing focus for both government and private institutions, and fertility financing fits into that shift.

This financing can also be used alongside other support already available, such as income tax relief of up to RM10,000 for fertility treatment.

The question is whether a car giveaway and a bundled savings account are what stand between struggling couples and starting a family – or whether the real barrier has always been the cost of treatment itself.