This article outlines the Faulu Microfinance Bank loan products. It is one of Kenya’s licensed microfinance banks that has been in business for 3 decades.
The bank, a part of The UAP Old Mutual Group, was recently named one of the country’s fastest-growing financial institutions. Its headquarters are located on Ngong Lane, off Ngong Road in Nairobi. They have about 55 branches in Kenya.
Faulu Microfinance Bank Loan Products
Retail/Consumer Loans, Micro & Group Loans, SME/Business Loans, and Agribusiness Loans are the four types of Faulu Microfinance Bank loan products.
Here is a detailed list and description of Faulu Microfinance loan products with the features and benefits of each loan.
a) Retail/Consumer Loans
1. Check-Off Loans
These are check-off loans for salaried employees, TSC, civil servants, disciplined forces, county governments, parastatals, and other designated corporates.
Features and Benefits
- Minimum of Ksh 10,000; maximum of Ksh 3,000,000
- Loan terms of up to 84 months are available.
- Interest rates that are competitive
- Quick loan approval after application
- There is a top-up feature available.
2. Corporate Check-Off Loans
This product is intended for salaried customers whose conditions of engagement are governed by a Memorandum of Understanding (MOU) between Faulu Microfinance Bank and the respective institutions.
Features and Benefits
- Minimum of Ksh 10,000; maximum of Ksh 3,000,000
- Loan terms of up to 84 months are available.
- Quick loan approval after application
- There is a top-up feature available.
3. Tamba Imara Check-Off Loan
This product is aimed at salaried individuals who work with institutions with which Faulu does not have an MOU, such as NGOs, local and international agencies, and so on.
4. Faulu Unsecured Salary Advance
This is a short-term emergency loan for Faulu Salary Account clients.
Features and Benefits
- A maximum of four times your net wage, up to a maximum of Ksh 100,000.
- Automated Standing Orders from Faulu Salary Account to Loan Account on a monthly basis
- Flexible repayment terms
- Quick turnaround time
Read also, List of SMEP Microfinance Loan Products and Contacts
b) Micro & Group Loans
1. Faulu Micro Loan
This product is aimed at small enterprises and entrepreneurs. It is appropriate for working capital, LPO financing, and commercial emergencies.
Features and Benefits
- When the existing loan is 75% paid off from the second loan cycle, refinancing is permitted subject to appraisal.
- Minimum loan amount: Ksh 1 million Maximum: Sh3 million
- An 18-36 month tenure
2. Group Business Loan
This product is aimed at self-help organizations that want to expand and enhance their enterprises.
Features and Benefits
- Options for flexible collateral
- Access to various loans contingent on ability
- Loan amount Minimum: Ksh 5,000 Maximum: Ksh 500,000
- Minimum tenure: 3 – 24 months
3. Faulu Chama Loan
It operates a Faulu Chama account and targets both formal and informal groups such as investing clubs, merry-go-rounds, and welfare groups.
4. Pesa Chap Chap
This is a mobile emergency loan for a brief period of time.
Benefits and Features