AB Microfinance Bank Loan: Requirements, Interest Rates, How to Apply

The AB Microfinance Bank loan is a loan programme of the AB microfinance bank which provides Nigerians with fast loans at decent interest rates. According to the bank, they have a structure that has made it easy for people to get fast loans with convenient repayment conditions.

This post provides you with the requirements, interest rates, pros and cons and everything you need to know about the AB Microfinance bank loan.

AB Microfinance Bank

AB Microfinance Bank loan

AB Microfinance Bank is a renowned microfinance bank in Nigeria that was established by foreign finance experts in Lagos, Nigeria. They are been successful in helping SMEs and individuals with quick loans at good interest rates.

If you are looking to get business loans in Nigeria, you can consider checking the AB Microfinance bank to get access to money for your business venture.

You can contact them via their head office address which is at No 11, Oba Akran Avenue, Ikeja, Lagos State.

AB Microfinance Bank Loan

AB Microfinance Bank Loan

Typically, AB Microfinance Bank provides loans up to 30 million naira. If you intend to acquire loans from this bank, it is equally important that you collect loans that you can pay back within the window period.

The least amount that you can get from the from AB Microfinance Bank is ₦15,000, while the highest loan you can get is ₦30,000,000. This is not to say that you will get any amount you wish to get from this bank.

AB Microfinance Bank Nigeria gives loans to its clients and customers depending on their ability to fully pay back the loan when the time is due for repayment.

Also, they do not just provide loans for any purpose. AB Microfinance Bank borrows money to entrepreneurs and SMEs who has been floating their businesses for some time.

If you must acquire the AB Microfinance bank loan, you must be ready to give account on how you intend to spend the loan – should in case it gets to you.

Next, when you get the AB Microfinance loan, you’ll need to state how you will spend the money on the purpose for which it is meant for.

CONSIDER READING: How To Get Quick Loans From Microfinance Banks In Nigeria

AB Microfinance Bank Loan Requirements

There are certain requirements for getting the AB Microfinance loan. Well, the loan requirements and conditions are kinda strict. The following are the AB Microfinance Bank Loan Requirements:

  • You will need to provide a valid document which confirms your identity. (An international passport, a drivers license and an ID card can serve as a means of identification).
  • You must have a business of your own. (This business will be used to scale you and measure if you can be able to repay the loan as at when due).
  • Your business must be genuine, legitimate and must have been in operation for a time period which would be specified by the bank.
  • You need to prove that you are the owner of the business.
  • If your business is registered, you will prove its status by providing the certificate of Incorporation. However, if your business is not registered, you can prove its existence by providing other documents such as your goods/product receipts, shop rent receipt, invoice and other valid documents.
  • In case you operate an online business, you’ll also need to produce the physical proofs of your ownership and its existence. For instance, if you run an eCommerce business in Nigeria, you will need to show how you conduct your business, your domain/hosting and internet registration on the web, along with other pieces of tangible evidence that show that you have a valid business which is running.
  • The loanee (the borrower) must be based in states or places where AB Microfinance Bank is located. Currently, the AB Microfinance Bank operates in the Lagos, Ogun and Oyo States.
  • You will need to provide a valid document which confirms your identity. (An international passport, a drivers license and an ID card can serve as a means of identification).
  • You will have a guarantor(s). A guarantor is a person who stands in for you when you are unable to pay back the loan.
  • You can still receive the AB Microfinance bank loan if you are not a customer or client of the bank. Hence, you will not be forced to open an account if you don’t wish to.
  • Collaterals and deposit are not compulsory to get the AB Microfinance loan.
  • You get to have access to special loan conditions, however, this depends on the size and purpose of your loan.
  • Much paperwork isn’t needed to get this loan.
  • You will be provided with better interest rates if you are a loyal/active client of the AB Microfinance Bank. Again, you will be provided with better interest rates if you accurate in paying your loans.
  • During repayment, you are only paying back your own loan as there are no borrowing groups

In addition, AB Microfinance bank offers with free monthly notifications regarding payment schedule.

Other matters, questions and issues concerning the interest rate, loan application, repayment can be discussed with any representative, staff and loan officer of the AB Microfinance Bank.

Interest Rates

Typically, the AB Microfinance loan interest rates depend on the loan size. At times, the personality of the loanee could significantly influence the amount. Consequently, this can possibly change the interest rate plan.

To know more about the AB Microfinance loan interest rates, take a careful look at the table below.

LOAN TYPE AMOUNT INTEREST RATE
Business Flexi Loan ₦15,000 to ₦100,000 6.6%
Business Plus Loan ₦100,001 and ₦500,000 6.1%
Business Max Loan ₦500,001 and ₦1,000,000 5.7%
Business Max Plus Loan ₦1,000,000 and ₦2,000,000 5.2%
SME Loan ₦2,000,001 and ₦3,000,000 4.3%
SME Comfort loans ₦3,000,001 and ₦20,000,000 3% to 3.9%
  • Loans above ₦20,000,000 (twenty million naira) are given at 1% to 1.5% interest.

How To Apply

AB Microfinance Loan

The AB Microfinance loan application procedure is very easy and simple. When you visit their website, you will find steps on how to apply for a loan online.

The system will request you to submit certain information about your business.

Next, you proceed to the next phase of the loan application when you submit this information to them.

Here, your loan application will be reviewed and after approval, it can either be accepted/approved or declined/rejected.

The second stage of the AB Microfinance bank loan application second stage begins immediately you submit the required information and documents of your business.

You will receive a notification message within 48 hours regarding your loan application. You will be informed if your loan is verified and approved and if you are rejected, you’ll be told.

Furthermore, they will inform you of the loan repayment schedule. Again, when you want to obtain a business loan from Nigerian banks, you’ll be prompted to provide a credit history of the previous loans you must have acquired from any credit facility.

You are advised to keep this date (loan repayment schedule) and pay back the loan within the time frame because it is crucial for your credit history.

How To Repay

The AB Microfinance Bank has different methods for you to repay your loans. You can pay back your AB Microfinance loan through the following methods;

  • Mobile App.
  • Internet banking.
  • Cash Deposit.

RECOMMENDED: How To Get Business Loans From Any Bank In Nigeria

Pros and Cons

PROS CONS
No collateral needed. Guarantor needed.
Offers quick loans. You must own a business.
Good interest rate Not students loan.

Head Office

Their head office is in Lagos state and is it located at No 28, Akintoye Shogunle Street (Opposite No 2 John Olugbo Street), Ikeja.

Telephone: 0902 496 9999

Conclusion

AB Microfinance Bank Loan is a good choice for those looking for where to get business loans in Nigeria. We hope that this post has provided you with everything you needed to know about the AB Microfinance loan.

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