A top-up loan on a home loan is an additional loan that an existing home loan borrower can obtain. This loan is given in addition to the existing home loan amount and is typically used for home renovation, repairs, or other personal needs. The top-up loan has a lower interest rate than other unsecured loans, and the repayment period is generally similar to that of the existing home loan. The amount and eligibility of a top-up loan are determined by a number of factors, including the borrowers credit score, income, repayment history, and outstanding home loan balance.
