By Yakubu LAAH InvestAdvocate
Lagos (INVESTADVOCATE)-Nigeria’s top tier lender, First Bank of Nigeria Limited has unveiled FirstEdu Loan to the tune of N10 million in support schools and educational Institutions with their educational requirements to enhance preparations for a new school year.
“The Bank’s support for educational development of the child and the institution is an offshoot of the Bank’s focus on entrepreneurship, financial empowerment and development as well as financial inclusion for the youth,” the lender said in a statement.
According to FirstBank, it has bundled its educational product offerings into four (4) major facilities: The FirstEdu Loan, Operational Vehicle Loan, Commercial Mortgage and Personal Loan against Salary (PLAS) which enhances Parents/Guidance’s capacity to pay their wards’ school fees.
The lender says the FirstEdu loan is targeted at private Nursery, Secondary and A-Levels schools. The product offers opportunity for private schools to access flexible funding to meet urgent cash flow needs, replace old furniture and equipment, as well as refurbish dilapidated buildings and classroom blocks.
“With this product, school owners/proprietors can stay ahead of competition in providing educational services and support to the target population by maintaining acceptable standard infrastructure at all times. This product allows the customer access up to N10 million with no tangible collateral required apart from the domiciliation of school account with the Bank. This reduces the cost of borrowing to the customer and eliminates the challenges posed by the provision of additional demanding collaterals,” the Bank added.
while the operational Vehicle Loan is targeted at registered businesses and allows the entrepreneur to acquire brand new vehicles for the day to day operation of the business.
The Bank added that organisations can take advantage of this facility to purchase school buses in the case of school proprietors and even upscale their staff welfare schemes through provision of staff buses.
While customers can access up to N10 million, for a single transaction, with flexible repayment plan spread over 36 months and the minimum equity contribution is 30 percent and the purchased vehicle doubles as collateral for the loan.
On the commercial mortgage facility, it offers flexible financing options for the acquisition of landed property for commercial purposes. Customers can now own their business premises and even earn rental income on acquired property.
FirstBank says the product enhances wealth creation for customers given the capital appreciation on the property on the long run as well as the additional source of revenue from rentals. Again, the property financed is the only collateral required.
Personal Loan against Salary (PLAS) offers customers in paid employment access to cash to meet immediate financial needs such as payment of school fees, medical treatment, holiday expenses, etc.
According to the Bank, PLAS has a flexible repayment plan spread up to 48 months for our customers’ convenience. “There is no equity contribution or collateral requirement. Only a salary account will qualify you to access PLAS if you work with any of FirstBank’s approved list of employers,” statement from Folake Ani-Mumuney head, Marketing & Corporate Communications said.
FirstBank affirmed that a common factor in accessing the facility is that no collateral is required. “So as the new school session resumes, whether you have teachers’ salaries to pay, new furniture fittings, students’ uniforms and textbooks to purchase, new buses to replace old ones or even an expansion for your school, FirstBank has the right products just for you,” the lender added
Adebimpe Ihekuna, head of Consumer Banking Products at FirstBank said the Bank would constantly provide the platform to support the life styles of its customers. “In developing our products, we would continue to demonstrate an understanding of our customers’ modern lives, change in taste and behaviour to become their trusted partner”, she said.
Shares of FBN Holdings Plc parent company to FirstBank on Thursday grew 0.32 percent to N6.36 from N6.34 recorded the previous session; gaining 0.02 kobo per share.
