Nigeria - Apply or Get Conventional Term Loans and Overdrafts

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Procedure

Apply In-Person:

1. To apply for getting Conventional Term Loans and Overdrafts in person, the applicant should approach any commercial bank or Central Bank branch office in Nigeria.
2. The address and contact details of the Central Bank branch offices can be found in the following link: Link
3. Click on the link, use the drop-down to select a branch name and get the address of that branch.
4. Visit the respective branch of CBN and enquire the relevant official about the commercial banks that provide Conventional Term Loans and Overdrafts or find a commercial bank that provides Conventional Term Loans and Overdrafts, on your own.
5. You will have to first open an account with that particular commercial bank by following a procedure prescribed.
6. Then, proceed to apply for Conventional Term Loans and Overdrafts by getting a relevant application form from the relevant department. Or click here to download: Link
7. Complete the application form with required details and necessary information under respective sections.
8. Attest the completed form and attach the documents listed in the “Required documents” section of this page.
9. Submit the application package to the relevant authority at the office.
10. In case if you require an amount higher than N20,000.00, you will be required to provide security for the loan amount required as applicable.
11. After submission, internal processing of the application and verification of the attached documents by the relevant officials will commence.
12. If all the documents are found in order, the applicant will get a response about the approval or denial of the loan.
13. And if your loan has been approved, your bank account should be credited with the money within the stipulated time from the date of approval.
    

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Required Documents

• Completed credit Facility form
• Incorporation Certificate
• Memorandum and Article of Association
• Board Resolution for the request of loan
• Plan of Business
• Feasibility report
• Particulars of all Directors
• Cash Security
• Guarantor’s form
• Past Three financial year Audited/management account
• Relevant property’s Title documents
• Any supporting document (as instructed)
  

Office Locations & Contacts

Central Bank of Nigeria - Head Office,
Plot 33, Abubakar Tafawa Balewa Way
Central Business District,
Cadastral Zone,
Abuja, Federal Capital Territory, Nigeria
P.M.B. 0187, Garki Abuja.
Nigeria
Phone: +234 700 225 5226
Toll free line: +234 800 225 5226
Email: [email protected]
Website: Link

Eligibility

• The applicant can be individuals or medium semi-structured or structured corporate customers large scale semi-structured or structured corporate customers.
• The annual sales turn-over of individuals or medium semi-structured or structured corporate customers should be N20 million to N100 million.
• The annual sales turn-over of large scale semi-structured or structured corporate customers should be in excess of N100 million.
  

Fees

The service is usually done free of charge.

Validity

Explain the time until which the certificate/document is valid.
e.g. Birth Certificate Valid Forever

Documents to Use

Application form: Link

Sample Documents

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Processing Time

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Related Videos

Videos explaining the procedure or to fill the applications.
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Please remove the '&' inside the tags during implementation.
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sevenload, viddler, vimeo, youku, youtube
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e.gIn the following url 'http://www.youtube.com/watch?v=Y0US7oR_t3M' Video ID is 'Y0US7oR_t3M'.

Instructions

• The application form should be completed in duplicate and attached with two passport size photographs.
• The application should be forwarded to the branch of the lending bank from ethic facility is sought.
• The business plan should contain cash flow projection with predictions, marketing plan, repayment plan, draw down schedule, Profit & Loss and Balance Sheet projections.
• The security can be landed property with EFSV of 130% of facility limit, property that is liable to a legal claim, all assets debenture on assets and Guarantee of Promoters/Directors for the bank’s exposure.
  

Required Information

• Applicant’s name
• Age and Date of birth
• Address of farmer’s residence
• Contact number and email address
• Address of the business
• Occupation
• Banker’s name and address
• Details of the security offered
• Dimensions of the farm
• Other particulars of the farm
• Income/Expenditure details
• Banking particulars
  

Need for the Document

• These are credit facilities for agricultural businesses in medium and large scale whose business structure does not come under retail or special government intervention fund product specification.
• Agricultural Term Loans and Overdrafts are facilities that provide credit for the high end customers that may be individuals or medium semi-structured or structured corporate customers with annual sales turn-over of N20 million to N100 million, and to large scale semi-structured or structured corporate customers with annual sales turn-over in excess of N100 million.
  

Information which might help

• Start-ups are not eligible for the credit facility and the minimum limit of the debtor is N10 million.
• The maximum lapse period of the loan is 5 years after which the payment due will begin.
• The rate of interest is not fixed and depends on the commercial rate of usage done by each business entity.
  

Other uses of the Document/Certificate

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e.g. Birth Certificate can be used as proof of identity.

External Links

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Others

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