Personal Loans

Personal Loans
Salary Based Loans

These are loans available to individuals who receive their salaries through POSB.

 

Minimum Requirements

• Customer to receive salary through their Individual Account of at least 3 months

• Guarantor who is permanently employed and earns a salary sufcient to cover loan repayments.

Benefits/Key Selling Points

• Long repayment period

• Direct deduction from salary

• Affordability and shorter turnaround time for loan applications.

Salary Based Loans Conditions

Civil servants Cleared private companies
Loanable Amount (Up to 6 x gross monthly salary ) Minimum amount of $200 Upto 7 x Gross monthly salary min
Application Fee (Non-Refundable) $5 $5
Establishment Fee 3% 3%
Lending Rate Up to 12% p.a Up to 12% p.a
Loan clearance fee (Non-Refundable) $5 new application $3 repeat loan/td> $5 new application $3 repeat loan/td>
Repayment Period Up to 36 months Up to 24 months
Frequency of Repayment Installments Monthly Monthly
Credit Insurance 2.5% 2.5%
Salary Based Overdrafts

These are available to individuals who receive their salaries through POSB. Requirements

• Customer to receive salary through their Individual Account for at least 3 months

• Latest pay slip

• Proof of permanent employment

• Proof of residence

• Applicant must have a minimum net salary of $120.00 after considering all deductions

Benefts/Key Selling Points

• Short turnaround time

• No application fees

• Low interest rates

Maximum Amount $100.00
Insurance Fee (1% paid once off
Lending Rate 5% per month
Loan Tenure 6 Months
Minimum Net Salary $120.00
Company Guaranteed Loans

These are loans available to salaried individuals who do not bank with POSB.

Requirements (

• Submission of application letter by employer

• Current fnancial statements from employer (If they are not a listed company)

• Submission of schedule of eligible employees

• Original and photocopy of ID (National ID, Passport or Driver’s license)

• Proof of residence (Utility Bills, Letter from Employer, Village Chief, District Council, Headmaster)

Benefits/ Key Selling Points

• Long repayment periods

• Affordable loans

Company Guaranteed loans Conditions

Application Fees $15.00
Establishment Fees 5%
Interest Up to 12 % p.a
Repayment Period Up to 18 months
Maximum loanable amount Up to 5 times Gross Salary
Company guarantee On behalf of employees
Credit Insurance 2.5%
Mutually Guaranteed Loans – Civil Service

Civil Service Employees who are paid through Salary Services Bureau (SSB) and do not receive salaries through POSB are eligible for Mutually Guaranteed Loans. In groups of 3 who all cross guarantee each other, the group will collectively apply for individual loans.

Requirements

• Be employed in the civil service and paid through SSB

• Arrange themselves into groups of 3 who cross guarantee each other

• Original and photocopy of ID (National ID, Passport or Driver’s license) of members

• Proof of residence (Utility Bills, Letter from Employer, Village Chief, District Council, Headmaster) of members

• Pay slips for the last 3 months

• Bank Statement for the last 3 months

• Recommendation letter from employer

Benefits/ Key Selling Points

• Long loan repayment period

• Low interest rates

• Affordable loans

Loan Conditions

Pre-requisite Individual POSB account
Age Limit 18 to 68 years
Loanable Amount (5 x gross monthly salary )
Application Fee $5
Establishment Fee Up to 3%
Lending Rate Up to 12% p.a
Repayment Period Up to 24 months
Frequency of Repayment Installments Monthly
Credit Insurance 2.5%
Special Conditions Mutually Guarantees
University Education Loan Support Facility

The University Education Loan Support Facility is designed to assist current and prospective students who do not have the requisite fnancial resources to support their University education

Requirements

• Completed loan application form

• Letter from the university confrming benefciary is an enrolled student, level of completion and certifed fees invoices

• Original and photocopy of IDs for student, parent/ guardian and guarantor

• National ID, (Passport or Driver’s license) of members

• Current proof of residence (Utility Bills, council bills, copies of title deeds/lodgers card, current account statements.

• Proof of income (payslip /income statement for parent or guardian/guarantor)

• Confrmation letter from employer for parent or guardian/guarantor

• Trade references for farmers (proof of 2 previous seasonal sales and agents that were involved e.g. TIMB or GMB and ownership of land, i.e. A1 or A2 lease agreement.)

Benefits/ Key Selling Points

• Long loan repayment period

• Low interest rates

• Affordable loans

Loan Conditions

Lending Rate 7% p.a
Insurance 3% p.a (once off)
Tenure Up to 60 months
Maximum loanable amount In line with university invoice but overall client monthly loan commitments should not exceed 40% of net income
Frequency of loan repayments Depends on income cycles of the borrower e.g weekly, monthly, quarterly, semi quarterly, annually, etc
Penalty Interest rate 8% p.a
Establishment fees Nil
Application fees Nil
Collateral Direct payroll deductions Gainfully employed guarantor Immovable property TIMB, GMB and other stop orders Cession on valuable movable assets

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