If you are interested in applying for the Namba Wan Supper Fund Housing Advance to build your house, you should follow steps below.
The main aim of superannuation is to ensure people save for a financially secure lifestyle in retirement. Because of this, there are restrictions on withdrawing money from your super account.
However, the Papua New Guinea superannuation laws recognise the need for appropriate housing in our society. They provide a way for people to access some of their super savings before retirement – the Housing Advance.
If you have been contributing to an authorised superannuation fund, such as Nambawan Super, for at least 5 years, you are eligible to apply for an advance of up to the total of the super contributions you have personally made, providing you do not have any outstanding balance from a previous Housing Advance.
The advance does not include any interest component or amount for employer’s contributions. It does include any voluntary contributions you have made.
The advance can only be used to finance your principal place of residence. This is defined as the house that you live in and go to work from, or that you will live in after you retire. The only exception to this rule is if you are within 5 years of reaching the retirement age of 55 years.
If you are purchasing an existing home and the Housing Advance you are eligible for will not be enough to buy the house outright, you can put the Advance towards the equity component you are likely to need to obtain a loan from a bank or other financial institution.