First bank Has unveiled Salary Loans for account holder with First Bank. The personal Loan is designed Against Salary.This comprises of FirstAdvance loan, Agent Credit and Personal Loan Against Salary.
This post will through more light on various loan package offer by first bank to enable you choose the best credit facility.
1. FirstAdvance Salary loan
The FirstAdvance loan is a digital lending solution designed to offer convenient and easy access to cash for payroll customers awaiting payment of their salaries. Customers whose salary accounts are domiciled with FirstBank and have received regular salaries in the last six months or more can apply for the loan facility.
Borrower can get Maximum amount accessible up to N500,000.00 subject to 50% of net average three months salary, whichever is lower. The eligible amount is calculated after deducting all other loan obligations to the Bank. This product can be accessed via digital channels: FirstMobile and USSD.
The fund will be available for utilization only upon satisfactory compliance with the conditions precedent to drawdown as may be prescribed by the Bank.
Requirements to apply for First bank FirstAdvance Salary loan
To qualify for First bank FirstAdvance Salary loan you must meet the following criteria
1. Borrower Salary account must be domiciled with FirstBank for a minimum of Two (2) months, or salary earners willing to move their salary account to the Bank
The interest rate of FirstAdvance is 2.5% flat, per month, which shall be subject to review from time to time in line with the prevailing money market condition. It has Management Fee of 1% flat and Credit Life Insurance of 0.5% flat on facility amount ad to be collected upfront.
The Value Added Tax (VAT) of First bank FirstAdvance Salary loan is 7.5% flat of Management fee. It also come with monthly penal charge of 1% flat on overdue amount, when you fail to pay before your due date.
The Borrower shall maintain a credit life insurance policy against loss of life and such other risks as the Bank may from time to time consider necessary in an Insurance Company approved by the Bank. The Borrower shall duly pay all premiums for keeping such insurance. The Bank’s interest as first loss payee must be duly endorsed on the insurance policy.
The term Loan is payable in 30 days or date of next salary payment, whichever comes first.
First bank FirstAdvance Salary loan has the following features:
1.Salary account must be domiciled with FirstBank
2.Loan amount of up to 50% of net monthly income.
3. Tenor is 30 days or next pay day [whichever comes first]
4.Maximum single obligor limit of N500,000.00
5. The loan can be accessed up to three times a day subject to maximum eligible amount
6. The Risk Acceptance Criteria for FirstAdvance is automated.
7. Repayment is taken immediately salary is received, while a lien is placed on unfunded account.
8. All fees, including Interest rate are collected upfront upon disbursement of the loan.
9.Interest rate @ 2.5%flat collected upfront
10.Management fee @ 1.0% flat
11.Credit Life Insurance @ 0.50%
How to apply
Borrowers can apply for the FirstAdvance through FirstMobile App Or USSD CODE-*894*11# or *894#
2. Personal Loan Against Salary
The first bank Personal Loan Against Salary is designed to tackle pressing financial needs before payday. Borrower can get up to 36 months repayment option, subject to retirement age of 60 years and the repayment structure is flexible.
However, credit insurance premium is mandatory for this product and your salary account must be with FirstBank.
First bank Personal Loan Against Salary has the following loan features
1. A guarantor is not required.
2. The processing time is quick.
3. Equity contribution is not required.
4. Minimum documentation is required.
5. Your Salary Account must be domiciled with FirstBank for the period the facility is in place flexible repayment structure.
How to Apply?
To apply for the Personal Loan Against Salary, you will need the following documents:
1. Application letter
2. Personal Loan Application form
4. Statement of accounts.
5. Applicant’s letter of total emolument.
6. Confirmation of applicant’s employer on FBN approved list.
7. Letter of irrevocable domiciliation of salary for the duration of the facility.
8. Complete the form and submit at the nearest FirstBank branch
3. First bank Agent Credit
First bank Agent Credit is a digital lending solution designed to provide cash for Firstmonie agents who have been active on the Bank’s Agent Network for a minimum of three months to solve liquidity challenges resulting from depleted account balances, even when the Agents have physical cash at hand.
The Agent can access this fund, pending cash lodgment at nearest Branch. Agent can Get up to N1 million to fund more transactions.
Howeve, there is Insurance fee of N1000 per annum which covers death and permanent disability. You can access the loan multiple times subject to your eligibility amount within 24hours for the selected Store.
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1. The Firstmonie Agent Credit Loan amount is 25% of average daily credit turnover for a period of three months subject to Maximum loan amount of N1Million.
2. Tenor is 24hours during the Weekdays and maximum of 72hours or next working day during the Weekends and Public Holidays.
3. Agent must have been in account relationship with FirstBank for a minimum of 3 months.
4. Interest rate @ 0.3% flat on disbursed amount.
4. Keyman Insurance of N1,000 per annum.
5. Minimum loan amount is N20,000.
6. Positive Credit Check.
7. Satisfactory KYC Report
What are the Benefits of Agent Credit?
1. Get up to N1Million to fund more Transactions.
2. Access to fund before Cash lodgment at the Branch.
3. Available for use every day including Peak Period (Weekdays, Weekend and Public Holiday).
4. Business Expansion and Increase in Income.
How to Apply?
Agent Credit borrower can apply through the Firstmonie App by clicking the link and follow the prompts message.