#yakocares
Term and Corporate Term Loan
It can either be a personal loan or business loan
A Term Loan is a personal or business loan with a limit of UGX 50,000,000; whereas
A Corporate Term Loan is a personal or business loan of any amount beyond UGX 50,000,000.
PURPOSE.
PERSONAL LOAN: For flexible use. It may involve a mixture of private and business expenses. Deployment of the loan is subjective.
BUSINESS LOAN: To cater for business expenses only. Deployment of the loan is objective.
REQUIREMENTS: (Individual)
- 2 Passport size photographs.
- National ID (for Ugandans) or Valid Passport, Visa and Work permit (for foreigners).
- Pay slips from work or receipts (business) for the last 3 months.
- Appointment letter from work and work ID (for employees).
- Bank statement or Mobile Money Statement for the last 6 months.
- Financial Card.
- Savings Account with Yako Bank.
- Security; Land title or Car logbook with Comprehensive insurance.
- Valuation Report of the security done by Yako Bank.
- Proof of Permanent Residence (Water or Electricity bill in the borrower’s names).
- Cheques (6).
- 2 Guarantors (Guarantor requirements)
- Cheques (in case the borrower does not have cheques).
- Proof or Permanent Residence (Water or Electricity bill in the borrower’s names) Only if the borrower has a temporary residence.
- National ID (for Ugandans) or Valid Passport, Visa and Work permit (for foreigners).
- 1 passport photo each
REQUIREMENTS: (Company)
- Certificate of Incorporation or Registration.
- Memorandum and Articles of Association.
- Form 7, 18 and 20.
- Partnership deed in case of a partnership.
- Board resolution (account opening and loan with Yako Bank) registered with URSB.
- Trading license (valid).
- Tax Certificate.
- Audited Books of Accounts.
- Bank statement or financial statements for the last 6 months.
- Proof of works done and current works e.g. contacts.
- Company Debenture Form.
- Financial Cards (for the company and its directors).
- Company Cheques (6).
- National IDs of directors (for nationals), or valid passport, visa and work permit (for foreigners).
- Passport size photos (2 each) for the directors/signatories to the account.
- Security; Land title or Car logbook with Comprehensive insurance.
- Valuation Report of the security done by Yako Bank.
- 2 Guarantors (Guarantor requirements)
- Cheques (in case the borrower does not have cheques).
- National ID (for Ugandans) or Valid Passport, Visa and Work permit (for foreigners).
- 1 passport photo each
- Company Savings Account with Yako Bank
LOAN CHARGES.
- Loan application fees = UGX 10,000.
- Loan processing fees = 4% of loan amount.
- Margin = 10% of the loan amount.
- Comprehensive Insurance (for vehicle securities that do not have comprehensive insurance) = Amount depends on the Vehicle valuation (forced sale value).
- Valuation fees for the security:
- Land in Kampala = UGX 500,000 / Land Outside Kampala = UGX 600,000.
- Vehicle = UGX 150,000
- Financial Card = UGX 30,000 (for first-time borrowers in any money lending institution).
- CRB Fees for each financial card = UGX 20,000 (for non-first-time borrowers who already have financial cards).
- URSB Charges = UGX 20,500.
- Caveat fees (for vehicle security) = 1% of the loan amount + UGX 81,600.
- Mortgage fees (for land security) = 1% of the loan amount + UGX 240,000.
- Land search = UGX 100,000.
- Tracking Device for vehicle = UGX 250,000 for 1 year.
- Yako Savings Account for borrower
- Individual = UGX 10,000.
- Company = UGX 50,000
DOWN PAYMENT.
Nil
LOAN TENURE.
- Minimum: Subject to client capacity.
- Maximum: 3 years for Term Loan and 4 years for Corporate Term Loan.
INTEREST RATES.
Term Loan (below UGX 50,000,000)
- Flat Rate = 3% per month / 36% per annum.
- Reducing Balance = 5% per month / 60% per annum.
Corporate Term Loan
Flat Rate = 2.5% per month / 30% per annum EMI.
DISBURSEMENT MODE.
Cash Transfer to any other account in any other bank (by cheque) as requested by the customer.
REPAYMENT.
Monthly installment deposits into the borrower’s Yako Savings Account.