SME Overdraft

Overdraft


Product Description

An overdraft loan is a lending arrangement on a current account that permit the customer to over withdraw on current account up to the specific limit with a specific expiry date.


Features
  • Tenor of 3moths at maximum.
  • Repayment period 3 months at maximum.
  • TAT is 3 days.
  • Interests rate is 2% monthly.
  • Flexible overdraft limit depending on the customer need.

Benefits
  • Financial facility to overcome the liquidity issues.
  • TAT of 3 days.
  • Repayable in three months.
  • Competitive interest rates charged only on the overdrawn amount.
  • Interest is only charged when the overdraft is utilized.
  • To meet short term need.

Requirements
  • Application letter.
  • Project description (customer needs statement).
  • Company Registration Certificate/ID copy of the applicant and his guarantor.
  • Legal status certificate.
  • RRA Tax Clearance Certificate.
  • Valuation report of collateral (done by a valuer which has a partnership with UNGUKA Bank Ltd).
  • Collateral title (land, factory, car etc) and movable security documents.
  • Act of lending property if the collateral doesn’t belong to the borrower.
  • Notified Board resolution for companies.