GENERAL TERMS & CONDITIONS

This Association is governed by the Nigerian Cooperative Societies Act and it is of people who voluntarily come together to pursue economic goals for their own benefits.

1. Benefits

Some of the benefits are that:

1.) We mobilize savings and channel them to individuals as loans for explicit improvement ventures at an agreed interest rate.

2.) We help to resolve, in the nearest future, the housing problem of members, by acquiring development land and distributing same to able and capable members.

2. Membership

Any interested person can be a member once you:

A- Fill our Membership information form
B- Submit the form with a minimum of ₦10,000.
C- Pay a mandatory savings Deposit for the next (6) months as savings with the association and this shall attract an interest rate of 20% (subject to economic reality) per annum.

3. Loan Conditions

1.) Fill an application form for loan

2.) He/she must be a member with mandatory savings Deposit for a minimum period of six (6) months.

3.) Obtain an application form with the sum of ₦10,000 and fill the form together with all relevant documents.

4.) Pay a legal/processing fee of 1% of loan request for sales agreement preparation on collateral given.

5.) Provide 1 or 2 Guarantors with undated signed cheque leaf for the principal sum and interest.

6.) Provide a bank statement on his/her your account for 6 months.

7.) For loan able sum applied for, collateral must be provided with a forwarding letter of undertaking.. Changes to the tenor require full payment of initial interest and incur an additional 2% flat rate on the unpaid principal.

4. Collateral

For any car or landed property etc. put down as collateral, the following shall suffice:

i. Application in borrower’s handwriting submitting the items as collateral.
ii. Photograph of the item (front, sides & back) must be provided together with owner standing by it.
iii. Sales agreement must be duly executed between the borrower and RTCCS.

5. Other Conditions

8. Interest Rate shall be between 10–15% flat rate per month calculated for the initial agreed loan tenor period; however, where repayment is spread within a certain period, interest rate shall be on reducing balance basis.

9. Any change of tenor shall be treated as follows:
   1. Full payment of the sum of interest for the initial agreed tenor.
   2. Such change of tenor shall attract additional 2% flat rate increase (i.e. total flat rate on the unpaid principal) from that date until the newly approved tenor.
10. Other details as may be stated and agreed.

6. Termination of Membership

1. The occurrence of the following events shall cause the membership to be terminated.
2. Amount under this facility to become immediately due and payable if the borrower fails to make payment of principal, interest, or other amount in respect of the loan on the date it was due to be paid, the guarantor’s cheque shall be presented.
3. When a member defaults in paying deposits for 3 consecutive months.
4. Where the borrower fails to make payment of principal, interest or other amount in respect of the loan on the date it was due to be repaid.
5. When the cheque issued by the borrower and/or his guarantor bounced on presentation at bank.

FOR: ROYALTY THRIFT & CREDIT COOPERATIVE SOCIETY.