1. Links Microfinance Bank Limited (hereinafter referred to as “THE BANK” agree to make available to the Borrower the loan amount shown overleaf on the terms and conditions set out in this agreement.
2. The details of the loan are as shown on the schedule over leaf.
3. The Loan amount shall be made available by cash for collection at this office and/or direct payment into borrower’s account with the BANK.
Interest:
The Bank will charge interest on the loan amount at the rate of 3.5% per month for any amount and interest rate will be fixed for the period of the loan. If the borrower fails to pay any amount which he owes, The Bank in terms of this agreement on the due date of such repayment, shall be entitled to charge interest on the amount the Borrower failed to pay at the same rate as sold in this clause. The Bank will further charge upfront interest of 3% on the loan amount and this will be a one-off charge in the 1st month of the loan.
Payment:
1. The Borrower must repay the loan as shown overleaf.
2. The Borrower agrees that the BANK shall have the rights to deduct the monthly instalments in full as set out in the overleaf directly from the borrower’s salary as a deduction from his or her employers payroll.
3. The Borrower hereby gives the BANK the right to deduct monies owing to it from any unpaid wages or any other remuneration credits payable to the borrower if the Borrower leaves the service of his/her employer for any reason before the total amount repayable under this agreement has been paid.
4. The BANK can use the money paid by the Borrower to pay first legal and other costs, the interest and then the actual loan amount.
5. Penal Charges may be applied on pre-liquidated loan: 5% Flat on amount to be liquidated or enhanced plus the accrued interest for the period irrespective of the loan tenor.
6. Any request for extension of the loan (top-up request) shall be granted at the discretion of the Bank and shall be subject to additional renewal fee of as may become applicable for the newly approved tenor.
7. The charges created in favor of the Bank are all enforceable, and the Borrower shall not take any step to restrain, restrict, or delay the Bank from taking proper steps to realize the security, in the event of default.
8. The Bank will send notifications and reminders to the Borrower via SMS for repayments and recovery at the cost of N5 per SMS which shall be borne by you.
9. Without prejudice to the foregoing, the Bank reserves the right at its discretion to vary, alter, or amend any of the terms and conditions of the loan whenever the need arises.
10. In the event of the Borrower’s death or permanent disability, the guarantor shall be liable for the repayment of any outstanding amount.
Costs and Charge:
The Borrower agrees that, if the BANK has to use lawyers, Debt Recovery Agents and/or other consultants because the borrower has not carried out any part of this agreement, the Borrower will pay to the BANK all the cost incurred by the BANK.
Breach:
1. In the event of any failure by the Borrower to pay any amount which is owing of this agreement in full and on the date he or she has to, or any other breach by the borrower of the terms of this agreement; then the full balance due under this agreement, together with any penalty interest and all other charges and expenses owing to the BANK by the borrower shall become immediately due and payable to the BANK ho shall be entitled to terminate this agreement and claim and/or recover from the Borrower any damages/losses it may have suffered as a consequence.
2. In the event of any missed monthly repayment occasioned, a default fee of 7% of outstanding principal loss sum shall apply.
3. The amount owing by the borrower to the BANK at any time may be shown by a certificate in which the BANK officer has worked out and stated that amount owing. An officer of the BANK must sign the certificate in which has been worked and the certificate can be used in any legal proceedings and will be accepted by the Court on its own as correct unless the Borrower proves that it is wrong.
Other Obligations:
I undertake that should I require any form of clarification on my loan obligation to the Bank, my first recourse shall be solely to the Bank or any of its authorized representatives. I shall not have recourse to any other person or means until the Bank might have exhausted all means for such clarification.
I hereby undertake that in the event of missed or non-deduction of monthly repayment albeit occasioned by an error of omission or commission, I shall within a maximum of 12hours or the next business day (whichever is earlier), pay the said missed monthly repayment sum into the UBA Plc bank account as specified below or into any nominated bank account of Links Microfinance Bank Limited.
Account details: First Bank of Nigeria – 2033024479 – Links Microfinance Bank Limited
I further undertake that the Bank reserves the right of set-off at any time without notice or demand to combine or consolidate all or any existing accounts belonging or traceable to you in other to liquidate any or all of your obligation regarding this facility.
I hereby declare that I do not have pending loan obligation to any other financial institution; and undertake that, under no condition shall I obtain any payroll deductible loan without a written consent of the BANK for the duration of this loan.
I declare/affirm that I have not charged, hypothecated or pledged either partly or in full, the net amount/salary as indicated on my monthly Payslips dated ……………….,…………….. and ……………….. in favour of any bank or financial institution towards satisfying any loan obligation whatsoever to such bank or financial institution and further affirm that the said net amount/salary is free from any charge(s) whatsoever.
I therefore agree and undertake to be held liable in contempt if found to have acted contrarily to this affirmation and undertaking which I make under Oath and in good faith in accordance with the Oath and Affirmation Law of Nigeria.
General:
1. This agreement is the whole agreement between the BANK and the borrower. It cannot be changed unless the change is put into writing and signed by both the BANK and the Borrower.
2. The borrower agrees that for the period of this agreement, he or she will not close his or her specified bank account.
3. The BANK will give to any borrower requesting a statement setting out all deductions from his/her salary, the outstanding balance and any amount payable in arrears.
4. The Borrower authorises the BANK to access any information available to his or her application, and also gives the BANK permission to register details of the conduct of the borrower’s account with any credit bureau, and the Borrower waives any claims he or she may have against the BANK in respect of each disclosures.
5. Disbursement is subject to the availability of fund as well as CBN Regulations
I confirm that I have read, understood and agreed to the above terms and conditions. I also authorise my employer to deduct monthly instalment as per the agreement shown over leaf from my salary until the loan has been fully paid and to recover my outstanding instalment against my terminal dues in the event of termination of employment before the loan is fully recovered.
ILLITRATE JURAT
The foregoing having been first read and interpreted to me……………………………………………………… in …………………………… language and I perfectly understand the contents before affixing my thumb impression or mark.”