LAPO Microfinance Bank offers a variety of loan products tailored to different financial needs, each with varying interest rates and terms. The interest rates for LAPO loans range from 5% to 25% per annum, depending on the type of loan and the borrower’s profile.
Advertisements
Types of Loans and Interest Rates
- SME Loan: Designed to support small and medium enterprises (SMEs) in Nigeria, with a facility amounting to up to NGN 5,000,000. The interest rate typically falls within the higher end of the LAPO range but offers flexibility and no collateral requirements.
- Agric Loan: Aimed at financing agricultural activities, this loan ranges from NGN 50,000 to NGN 500,000. It has a flexible repayment structure and is accessible to individual, group, and corporate borrowers. The interest rate for this loan is relatively low.
- Education Loan: This loan helps cover school-related expenses for children or improve school infrastructure. The interest rate is approximately 4% per month on a reduced balance, which translates to around 48% per annum.
- Asset Loan: Facilitates the purchase of business assets such as equipment. The loan amount ranges from NGN 20,000 to NGN 400,000 with flexible repayment terms and a low interest rate (MakeMoney.ng).
- Public Sector Loan (Salary Loan): Available to Nigerian civil servants, this loan does not require a personal guarantor. The interest rate is 2.95% flat monthly, making it a viable option for government employees looking for quick access to funds.
Features and Benefits
- Flexible Repayment Structures: LAPO loans offer flexible repayment plans tailored to the borrower’s cash flow, ensuring that repayments are manageable.
- No Collateral Required: Most LAPO loans do not require collateral, making them accessible to a broader audience, particularly those who may not have substantial assets.
- Quick Disbursement: Once approved, loan funds are typically disbursed quickly, often within minutes to a few days, depending on the loan type.
Eligibility and Documentation
To apply for a LAPO loan, the following documents are generally required:
- Completed application form
- Valid identification (national ID, driver’s license, voter’s card, or international passport)
- Recent utility bill
- Passport-size photographs
- Guarantors (typically two)
Advertisements
LAPO Microfinance Bank aims to empower low-income individuals and businesses by providing accessible financial services that foster economic growth and social development(LAPO Microfinance).
Frequently Asked Questions (FAQ)
1. What is the interest rate for LAPO loans?
The interest rates for LAPO loans range from 5% to 25% per annum, depending on the type of loan and the borrower’s profile
2. What types of loans does LAPO Microfinance Bank offer?
LAPO offers various loans, including SME loans, Agric loans, Education loans, Asset loans, Public Sector (Salary) loans, and Special loans.
3. Do LAPO loans require collateral?
Most LAPO loans do not require collateral. Instead, they often require guarantors to stand for the borrower in case of default.
4. How can I apply for a LAPO loan?
To apply for a LAPO loan, you need to fill out a loan application form and provide the required documents, which typically include a valid ID, utility bill, passport-size photographs, and guarantors. The specific requirements can vary by loan type (LAPO Microfinance).
5. How long does it take to get a LAPO loan approved?
The approval process for a LAPO loan can take from a few hours to a few weeks, depending on the loan type and the completeness of the application. For instance, the Public Sector Loan can be approved within 24 hours.
6. What is the repayment structure for LAPO loans?
LAPO loans offer flexible repayment structures tailored to the borrower’s cash flow, which helps ensure manageable repayments
For more information on LAPO Microfinance Bank’s offerings and how to apply, you can visit their official websites or contact their customer service.
Advertisements