GTBANK Plc has stated that its MaxAdvance is created to facilitate personal loans to corporate organisations.
According to the bank, MaxAdvance is designed to facilitate personal loans to staff of select corporate and government organisations whose staff salary accounts reside with the bank.
As such, the purpose is to make sure that it provides finance for the personal needs of staff of corporate organisations which can be used for the purchase of assets or investments as determined by the borrower.
The features and terms concerning the product include facility amount: minimum of N100, 000.00, maximum - N5, 000,000.00; as well as tenor of 3 - 36 months.
On repayment, the product enables domiciliation of staff salary payments from employer; equal monthly installments comprising of both principal and interest; monthly principal plus interest repayment shall not exceed 35 per cent of monthly salary; competitive interest rates; competitive fees while credit insurance premium is one per cent (for civil servants only).
On security/support, domiciliation of staff’s terminal benefits to be applied to liquidate any outstanding exposure in the event that staff disengages from his employment for whatsoever reason or that corporate guarantee from the corporate organisation covering each loan amount for the tenor of each loan granted to its staff.
Additional comfort entails credit insurance from Guaranty Trust Assurance or any other approved insurance company.
As regards GT Bank’s salary advance product, the bank stated that its main goal is to satisfy customers and their business and “We offer numerous banking products in order to fulfil their needs. Salary advance is a salary based overdraft facility which enables staff of private companies and government agencies access 50 per cent of their net monthly salary in advance.
The features and terms are that the product description offers 50 per cent of customer’s net monthly salary as overdraft.
On disbursement, the facility is disbursed monthly as temporary overdraft; facility amount (maximum) is 50 per cent of customer’s net monthly salary; tenor is 365 days (maximum) with monthly liquidation; target market is that it is for individuals in paid employment whose salaries are domiciled with the bank while interest rate entails that it is competitive.