Your dream car might be out of stock before you are able to save up for it. Your school fees portal has a deadline for payment, with an extra charge for late payment. Your business might not be able to wait till you drum up the money to invest in it. If you’ve been in any of the above situations, then you most likely have needed to get a loan. In this article, we’ll provide an all-encompassing rundown of getting loans from Wema bank, including an explanation of the types of loan you have access to and how.
- What is a loan?
- Why are loans important?
- Kinds of Loans at Wema bank
- Why get loans from WEMA bank?
- Types of loans available from Wema bank
- School Fees Advance Loan
- Car Loan
- Business Loan
- Personal loan
What is a loan?
To begin with, a loan is a sum of money that an individual, group, or other legal entity borrows from another individual, group, or legal entity (the latter often being a financial institution) with the condition that it be returned or repaid at a later date (sometimes with interest).
Why are loans important?
Certain situations or emergencies crop up in the life of an individual that requires urgent cash which may not be readily available at the time of need. Loans provide solutions to such needs, which are usually emergencies, such as a school fees payment deadline, a stock in the market, medical bills, and so on.
Loans do more than just saving the day in emergencies. They also help in actualizing dreams in less time. A luxurious trip, wedding, a dream car, and so on, are desires loans can satisfy; there’s no need to wait till the long years until payment of pension.
Kinds of Loans
There are different kinds of loans that range from personal loans to student loans, to mortgage loans. But for the purpose of the organization, we’ll address the following:
1. Personal loan
These are loans taken for any kind of personal expense, which includes expenses for honeymoon, medical bills, emergency expenses, vacation, and so on.
A personal loan may be secure, needing collateral to back it up, or insecure, which does not make use of collateral. Instead, credit scores are used to determine your eligibility for the loan. Unsecured personal loans generally have higher interest rates, due to their higher risk for the lending financial institution.
2. Business Loan
These are loans for financing the growth of businesses. A business proposal is required by the financial institution to determine the business’s eligibility for a loan, as well as the amount that can be loaned.
3. Student loan
These loans are designed to assist students and/or parents in prompt payment of school fees and associated fees like stationery and living expenses, usually at the post-secondary education level.
4. Mortgage loan
A mortgage loan is a secured loan and makes use of fixed property or real estate as collateral. Typically, the house. The borrower is registered as the legal owner of the asset and ceases to be if the loan is not fully repaid.
Why get a loan from WEMA bank?
WEMA bank has a bouquet of loans you could choose from to suit your needs. WEMA bank reduces the hassle of securing a loan and makes it easier with its simple requirements and straightforward processes.
Types of Loan available at WEMA Bank
1. School Fees Advance Loan
With this loan, WEMA Bank lends a helping hand to parents in payment of their children’s school fees, up to ₦3 million Naira. This includes nursery school, primary and secondary. You may or may not have a WEMA Bank account to qualify for this loan.
School Fees Advance Loan Requirements
- Completed school fees advance form.
- Letter of introduction (to determine the employment status of the parent).
- An irrevocable letter of domiciliation from your employer.
- Invoice of school/ tuition fees.
- Valid proof of identity (Driver’s License, National ID, International Passport, or Voter’s Card).
- Proof of address, i.e. utility bill.
- Last three months’ payslip.
- Six month’s salary statement of account for customers whose account is not domicile or cannot be with Wema bank.
Click here to get School fees advance loan or visit the nearest WEMA Bank branch.
2. Car Loan
Whether for convenience, the freedom a personal car brings, or for pleasure, securing a loan to get that car just got easier
Car Loan Requirements
- Own a WEMA Bank account
Click here to read more about Wema bank’s car loan
3. Business Loan
Running a small or medium scale business has its challenges and that’s where Wema bank comes in to save the day. Wema Bank helps to expand businesses, purchase new tools and meet crucial business needs.
Click here to read about Wema bank’s business loan
4. Personal loan
WEMA Bank offers personal loans for salary earners
Personal Loan Requirements
- Must be a salary earner
- Savings or current account with WEMA Bank
- Completed loan application form.
- Letter of introduction (from employer).
- An irrevocable letter of salary domiciliation.
- 3 months’ payslip as proof of income.
- Proof of address supported by a recent utility bill.
- Proof of identity with staff ID (National ID, international passport, or driver’s license may be required).