Applying for a Prudent Women loan
Procedure for applying for and obtaining a loan from the Prudent Women Multi-Purpose Cooperative Society Limited.
Flexible, and built on your savings record
Our loan facility is the most flexible. Various beneficiaries have testified to the ease of accessing our loans and the convenient payment plans provided to them. To access our loan facility, members must demonstrate their dedication and consistency in saving, which shows their capacity to repay.
A member must have saved 30% of the amount she needs as a loan before she is qualified to apply. Only 10% of the overall loan amount is deducted as interest. Payment plans range from six months to one year or more, depending on the amount granted. Emergency loans for smaller amounts carry a repayment period of one to three months, with interest rates between 5% and 10% depending on the time of year.
Before you apply
- 1An applicant must have been a member for a period of not less than 6 months, with a good savings history.
- 2Payment of a ₦1,500 non-refundable application fee is required.
- 3An applicant must have saved up to 30% of the amount she intends to obtain as a loan.
- 4An applicant is expected to produce a guarantor on grade level 12 or above in the Federal or State Civil Service. A member of the cooperative can also stand as a guarantor, but only if she is in good financial standing.
- 510% interest is deducted at source.
- 6One month's moratorium is given before repayment starts — repayment begins the month after disbursement.
- 7Loan application and disbursement commences every January and stops every August, in preparation for savings disbursement.
Loan categories and durations
| Category | Amount | Duration | Repayment |
|---|---|---|---|
| Emergency Loan | ₦10,000 – ₦100,000 | 1 – 3 months | Monthly |
| Special Loan | ₦100,000 – ₦1,000,000 | 3 – 6 months | Monthly |
| Maxi Loan | ₦1,000,000 and above | 9 – 12 months | Monthly |
All Prudent Women loans are granted at 10% interest only, deducted at source.
Defaulting on repayment
Members are advised to ensure prompt payment of loans as and when due. Defaulters face serious consequences, including:
- Blacklisting from future loans and transactions with the cooperative.
- Legal recovery of the loan.
- Debt recovery from the guarantor of the loan.
- Disciplinary action and expulsion from the cooperative.
- Any other legal action required to recover the loan in full.
M. A. Iyo (Esq.)
Chairperson, Prudent Women Loan Review Committee