How To Apply For Loan In Providus Bank: Requirements, Procedures – Providus Bank, a leading commercial bank in Nigeria, provides a range of loan products to individual businesses. Aspiring borrowers seeking loans from this Bank must adhere to specific requirements and procedures that will enable them to access these loans with ease. In this comprehensive guide, we provide all the information you need to successfully apply for and get a loan approved from Providus Bank.
Many customers apply for loan but end up getting a disapproval from the bank, these may be occasioned by several factors which will be discussed in this read. However, the major factor for loan disapproval is supply of false information for by the applicant, which when discovered by provides bank, it automatically disqualified the applicant. Read more for full information.
Requirements for Getting a Loan from Providus Bank
Before applying for a loan from Providus Bank, you need to meet certain requirements and ability to meet these requirements form a large basis in deciding whether the loan will be granted or not. Such requirements include:
- You must be an Adult: Providus Bank provides loan opportunities to individuals who have reached the age of 18 years or above. This is the proper age with which adulthood is measured. Kindly note that in case an individual is under the age limit mentioned before, they are not qualified to apply for a loan independently. In other words, minus are not eligible for loans and these has a legal backing.
- Have a valid means of identification: before you entertain the idea of applying for a loan, you should set on sight your valid means of identification, e.g. national ID card, a driver’s license, an international passport, or a voter’s card. Which would be needed for verification.
- Have a steady source of income: Providus Bank seeks to establish your capacity to reimburse the loan. Your eligibility hinges on a sustained influx of funds, sourced from your daily, weekly or monthly earnings, entrepreneurial exploits, or rental revenue. Your loan principal should correspond with your revenue.
- Have a functional bank account: You need an active bank account with Providus Bank or any other commercial bank. This account will be used for salary or income flow which shows your ability to repay the loan. It is also used for loan disbursement and repayment.
- Provide collateral: For most loans, Providus Bank would require you to provide acceptable collateral to secure the loan. This depends on the loan type but commonly used collaterals include landed properties, treasury bills, shares etc. The collateral value must cover the loan amount.
- Have a good credit score: Before giving out loans, banks would assess your creditworthiness by checking your credit history and score. Ensure you have a good credit rating by repaying loans promptly and avoiding too many loan applications within a short period.
- Meet loan type requirements: Each loan product from Providus Bank has its own specific requirements apart from the general ones. Examine the prerequisites of the specific loan which you intend to submit an application for. Therefore, you need to meet the requirement to be granted the desired loan principal.
Types of Loans Offered by Providus Bank
For several reasons, Providus Bank offers a wide range of loan products for individuals and businesses and other purposes. The major loan types include:
- Personal Loans: These are general-purpose loans given to individuals to meet personal needs like paying for a vacation, home improvements, school fees, weddings etc. No collateral is required but the interest rate is high.
- Salary Loans: These are loans given to salaried individuals and repaid directly from their monthly salaries. Up to 60% of your monthly salary can be availed based on length of service. No collateral is required.
- Mortgage Loans: Long-term loans for up to 20 years given for purchasing or building a residential property. Requires collateral in the form of the property you want to buy or build.
- Car Loans: Loans for purchasing new or used cars. Usually repaid within 3-5 years. The car bought serves as collateral for the loan.
- Business Loans: Loans to support business needs like expansion, purchasing inventory, assets, working capital etc. Collateral required and business registration documents.
- Agricultural Loans: Loans to support farming and agribusiness activities like purchasing seeds, fertilizers, equipment etc. Collateral might be required.
- Asset Finance: Loans for acquiring assets like heavy machinery, generators, medical equipment, computers etc for businesses. Asset financed serves as collateral.
- Overdrafts: A flexible loan facility connected to your Providus account allowing you to withdraw above your account balance up to a set limit. Requires stable income flow into account.
Loan Application Procedures in Providus Bank
If you meet the requirements, here is a step-by-step process to successfully apply for a loan from Providus Bank:
- Determine Loan Type and Amount Required
The first step is to determine the right loan product that aligns with your needs and the loan amount you need. Providus Bank has financial experts who can guide you appropriately on this.
- Check Loan Requirements
Each product has its own specific requirements, so ensure you check and meet the requirements for the particular loan you are applying for. Gather the needed documents and information ahead of time.
- Visit Your Closest Branch
Then visit your closest Providus Bank branch and request to see a loan officer regarding getting a loan. If you have an existing account with them, go to your home branch.
- Discuss Requirements with the Loans Officer
The loans officer will take you through the loan products available, their requirements, terms and conditions. Discuss the loan you want and your eligibility as well as chances with the officer.
- Fill Loan Application Form
If eligible, you will be given a loan application form to fill out. Provide accurate personal, employment and financial details as requested in the form. Ensure all required documents are attached.
- Submit Completed Application
Submit your completed loan application form and required documents to the loan officer for processing. This includes things like ID, pay slips, account statements, collateral documents etc.
- Application Review and Approval
The bank will then review your application and verify all the details and requirements provided. This may involve contacting your employer, doing credit checks, valuing collateral etc. If satisfied, the bank will approve your loan application.
- Offer Letter and Acceptance
Once approved, Providus Bank will present you with a loan offer letter stipulating the approved loan amount, interest rate, repayment period, collateral required and other terms and conditions. Go through this carefully and sign acceptance if you agree to the terms.
- Documentation and Disbursement
The final step is signing the loan agreement and perfecting of any collateral required. Disbursement of the approved loan amount minus any applicable fees will then be made into your Providus bank account.
Be sure to repay your loan instalments promptly as scheduled to avoid late fees, penalties, extra interest and the risk of damaging your credit profile.
In summary, Getting a loan from Providus Bank in Nigeria to support your needs is made seamless if you follow the outlined loan application processes given above. Just ensure you determine the right loan type for your needs, meet the given requirements, fill out the forms accurately and provide the necessary documents to increase your chances of approval. With good repayment plan, you can enjoy a good relationship with Providus Bank and get even bigger loans in future when the need arises.