Rules & rates
Beyond the 9%: the fees and charges on a Bank of Maldives home financing
The rate is only part of the cost. Bank of Maldives charges a MVR 1,000 application fee and 1.5% for processing, 2% on large early repayments, and more if you fall behind. The full list from its October 2026 schedule of charges, with what each would cost on a typical flat.
Most buyers compare banks on the headline rate. The schedule of charges matters as much: what you pay to apply, to settle early, and if you fall behind. Here is what Bank of Maldives (BML) publishes in the 60th edition of its BML Islamic Schedule of Charges and Fees, in force from 5 October 2026. That schedule now covers all new personal financing.
How the rate is set
BML prices financing as a base rate plus or minus a margin. Your exact margin is in your financing documents.
| Rufiyaa | US dollars | |
|---|---|---|
| Base rate | 10% a year | 9.5% a year |
| Home Purchase Financing | base − 1% = 9% | base − 2% = 7.5% |
| Home Construction Financing | base − 0.5% to base + 0.5% (9.5% to 10.5%, by equity) | |
| Real Estate Financing | base + 0.25% to base + 1% (by equity) | |
| Home Equity Financing | 10% |
Because the rate is tied to the base rate, ask whether your rate is fixed or can move if BML changes its base rate.
Fees when you apply
- Application fee: MVR 1,000, paid when you apply and not refunded if you are declined.
- Processing fee: 1.5% of the amount financed. On MVR 3.56 million that is about MVR 53,400.
Paying off early
Under Diminishing Musharakah, early repayment is a prepayment revaluation: 2% of the amount prepaid on prepayments above MVR 1 million (or USD 100,000) made earlier than 60 days before they are due. Repaying MVR 1.5 million early would cost about MVR 30,000. Sell or refinance with that in mind.
If you fall behind
- Day 1 to 89: the price of the bank's share rises by 0.5% a month above your agreed rate, on the overdue payments.
- From day 90: 5% a year above your agreed rate, on everything outstanding.
- Recovery fee, if it comes to that: 0.25% of the outstanding amount, up to MVR 65,000 on secured financing.
Our view
None of these are unusual, and BML publishes them openly. Add the processing fee to your day-one budget, keep a cushion of three months' payments so a late month never reaches day 90, and plan any large early repayment around the 2% charge.
From BML's Schedule of Charges and Fees, 60th edition, effective 5 October 2026. General information, not financial advice.
Check the full cost of your purchase with the concierge
Sources and method
- www.bankofmaldives.com.mv/storage/file/369/11511/schedule-of-charges-bml-islamic-en.pdf (BML Islamic Schedule of Charges and Fees, 60th edition, effective 5 October 2026)
- www.bankofmaldives.com.mv/personal/financing/home-purchase-financing (BML Home Purchase Financing product page, read 18 October 2026)
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