Loans
We offer loans to salary earners, entrepreneurs and businesses. Our loans feature competitive rates, fast processing, and flexible repayment structure.
Loan Products
Consumer Loan
VFD MFB for the loan amount required and duration stated. However, the customer retains possession of the asset and continues to use it. Ownership of the asset reverts to the customer, after full repayment of the loan.
Do you need a loan but have no assets as collateral? You can use Bridge Financing to access loans without providing collateral assets. To access this facility, you need to provide a guarantor who will stand in for the approved loan amount. Guarantors are required to be in paid employment and a senior position in a reputable organization. Exceptions may be granted for business owners who wish to stand in as guarantors for the facility.
Asset Finance enables a customer to purchase items (Cars, properties, etc.) and pay in installment. The customer will be required to make a minimum equity contribution of 30% of the total cost of the asset, while the bank finances the balance. Ownership of the asset would be held jointly by the customer and the bank for the duration of the loan. Full ownership is given to the customer after complete repayment of the facility.
Our Corporate Cash Advance offers staff the opportunity to get funds for financial emergencies and pay back when their salaries are paid. The rates are competitive and repayment model encourages responsible lending.
The employee loan facility offers company staff funds to meet financial emergencies. Repayment is over a 12-month period and deducted from salaries at source. The company signs a Memorandum of understanding with VFD MFB and commits to remitting payment to the bank from their staff salaries. Interest rate on the employee loan is lower and the employee’s salary stands as security for the loan.
Overdraft Facilities
This is a temporary loan given to individual and corporate account holders that enables them withdraw funds beyond the balance available in the account. Thus, an overdraft allows the individual to continue withdrawing money even if the account has no funds in it or not enough to cover the withdrawal.
However, there is usually a limit on the amount that can be overdrawn from the account. The overdraft limit is usually set by the bank based on the amount of working capital (the cash available for the company’s day-to-day operations), credit worthiness (the ability of the borrower to honour the agreed debt obligation) of the borrower, and the value of collateral provided.
- Interest is only charged on the amount drawn
- Competitive rate
- Quick approval period
- Flexibility of repayments based on customer’s cashflow.
LPO Financing
This refers to the bank availing banking facilities to a supplier to enable them to meet a supply order that they have from a known buyer. This is available to both individuals and business owners, with a maximum tenor of 180 days.
- Enables suppliers fulfil their orders without provision of security
- Finance of up to 70% of cost of items to be supplied
- Competitive rate
- Quick approval period
- Maximum period of 180 days depending on the term of the LPO
INVOICE Discounting
This is a form of short-term borrowing used to improve a company’s working capital and cash flow position. It allows a business to draw money against its sales invoices before the buyer has actually paid. The maximum tenor is 180 days, and the facility amount will range from 50% – 90% of the invoice amount.
- Immediate access to the proceeds of sales
- Provides additional working capital
- Competitive interest rate
- nFinancing up to 90% of invoice value
