Members of the pensions and provident fund schemes under the trusteeship of United Pension Trustees (UPT) can now heap a sigh of relief with the launch of 'Homesure Benefit,' a home ownership scheme.
Harold Awuah Darko, chairman of UPT and vice chairman of Vanguard Life Assurance Company, commenting on the scheme, described it as a breather for Ghanaians taking into account the complexity associated with building of late.
Launched at Meotsi, a suburb of Prampram, near Central University College, 'Homesure Benefit' allows workers to utilize their Tier 2 Pension Fund and Tier 3 Provident Fund to acquire a home over their working life.
Currently, UPT has completed and furnished 20 of the first 200 two-bed-room houses expected at the afore-mentioned site, which is also referred as Central Estates. It features two-bedroom apartments expandable to four with an estimated value of GH¢65,000.
Throwing light on how the scheme works, Mr Awuah Darko pointed out that members of UPT could benefit from the scheme.
'Members' tier two pension fund serves as guarantee for the value of their mortgage loan. Members' tier three provident fund is accumulated to pay off the mortgage loan principal,' he said, adding that beneficiaries pay only the interest on the mortgage loan secured in addition to life assurance and property insurance premiums over the term of the loan.
Members are also allowed to make additional voluntary contributions to their provident fund and unscheduled payments to reduce their loan balances, he added.
Proceeds from the accumulated contributions and investments yield from the members' Tier Three provident fund is used to pay off the mortgage loan as lump sum at the end of the loan term
The scheme has structures in other locations like East Legon, Akosombo, Kumasi, Takoradi and Kasoa.
UPT was established in compliance with the National Pension Law, 2008(Act 766) and obtained license as a corporate trustee from the National Pension Regulatory Authority of Ghana (NPRA).
The first beneficiaries of the 20-completed Central Estates facility are some workers of the Ghana Ports & Harbours Authority (GHAPOHA).
From the business desk