Description
Finca Microfinance Bank
Finca Microfinance Bank is a CBN licensed institution offering loans for multiple purposes in Imo State, Nigeria.
Products
- Micro loans – This is for entrepreneurs, traders and students to access up to N1m for existing businesses. The interest rate charged by Finca is a minimum of 5% with the total dependent on the tenor of the loan. Micro lending is the provision of financial services for people who don’t have access to traditional financial services such as banks. The loans are aimed at individuals who were previously considered “unbankable” by larger banking institutions. These are borrowers who are possibly dealing in small amounts of money each day, living in hard-to-access areas, without credit histories or who don’t meet “traditional requirements” within the banking sector.
- Salary Advance – This product is targeted at salary earners at large blue chip companies and enables them to access up to 75% of their monthly salary in advance.
- Group Loan – The group loan is a form of rotating credit (Esusu/Ajo). A rotating credit scheme is where a group of individuals fill the role of an informal financial institution through repeated contributions and withdrawals to and from a common fund
Pros
- Low collateral requirement
- No upfront savings required
- Interest is accrued on a declining rate
- Early payment of loan attracts interest rebate
Cons
- Geographic restrictions to Imo
- 10% of loan amount is required in savings account
- Guarantor required
- Low Maximum loan amount
Requirements
- You should be between 22 and 58 years old.
- You must run an account (Current or Savings) for 3 months with Finca microfinance Bank in Nigeria.
- Applicant must live and or work in Imo State.
- Two recent passport photograph (within the last 6 months)
- Two credible guarantors
- Two duly completed signature cards
- Completed application form
- Utility bill – last 3 months PHCN/NITEL
