Service Level Agreement for Provision of Debt Recovery Services

1. Introduction

1.1. Parties to the agreement

This Service Level Agreement (“SLA”) is made this __________ day of __________________, 20___ between
___________Of____________________________________. Lagos State of Nigeria (hereinafter called
“Recovery Agent” or “the Agent”) and Access Bank Plc of Plot 14/15, Prince Alaba Abiodun, Oniru Road,
Victoria Island, Lagos, Nigeria (hereinafter called “Access Bank Plc” or “the Bank”).

1.2. Purpose and Objective

The Recovery Agent has held out to Access bank Plc that it has the capacity to provide the following services:
Recovery of outstanding debts on credit card and other retail credit products from defaulting customers of
Access Bank in various locations in Nigeria.
Access Bank has contracted the Recovery Agent to provide the said services from time to time as may be
requested by the Bank.
The SLA provides for the mode of conduct, handling of monies recovered, submission of reports and other
matters relating to the services provided by the Recovery Agent.

1.3. Commencement Date

The SLA shall commence from the date stated in the agreement and shall subsist for a period of one (1) year
renewable at the option of the parties. The parties may renew the agreement on terms mutually agreed by
the parties. The term of this SLA is however subject to the rights of the parties to terminate the SLA as
stated herein.

2. Scope of Work

2.1. Debt collection

The Recovery Agent undertakes to be active in making recoveries of all accounts assigned to them, with
consideration to the following:
• Assignment of accounts to the Agent for recovery does not preclude the Bank from making efforts
towards recovery of the debts. Where the Bank makes any recovery by their own efforts the agent shall
not be entitled to any commission.
• Accounts not recovered after 90 days may be re-assigned or withdrawn.
• Where the parties are of the view that the stated deliverables are not achievable by the Recovery
Agent, the parties may mutually modify the scope of the recoveries assigned to the Recovery Agent
without any extra cost accruing to the Bank.
• The Recovery Agent agrees that in the event that it is unable to recover debts or render reports to a
standard that the Bank considers adequate as per the SLA, the Bank may at its discretion retrieve
allocated accounts or terminate its contract with the Recovery Agent and the Bank shall be entitled to a
reimbursement of any sum paid to the agent by the Bank’s customer.

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Access Bank shall, through its Retail Collection Unit, make available to the Recovery Agents all information
and customer updates necessary for the performance of their duties. Agents must check balances or
reconfirm customers’ current positions with only the Retail Collection Unit of the Bank.
The Agent is required to issue demand letters to delinquent customers only in a format approved by Access
Bank.
• Allocated accounts will be forwarded to Recovery agents through their emails with the unit.

2.2. Payment of cash / cheques collected

The Agent shall promptly, diligently and professionally handle all cash and near cash instruments collected
on behalf of the Bank by paying directly to the Bank or customer’s account. The Agent must:
• Deposit all cash collected directly into the accounts of defaulting customers at Access Bank.
• Ensure that cheques are issued in favour of “Access Bank Plc / <Customer’s full name>” and deposited
at the Bank into the customer’s account.
The Agent must issue the customer a signed notice or receipt stating the date and either the amounts paid
by the customer or an itemization of the assets received from the customer.

2.3. Report submission

The Agent shall submit a monthly report in the format approved by the Bank.
Reports for the period up to the last day of each month should be emailed no later than the 10th day of the
following month to the Retail Collections unit of Access Bank.
For both successful and unsuccessful recovery attempts, reports should be filled out as completely and
accurately as possible with information known to the Agent.

2.4. Service Review Meetings

The parties shall in each quarter of the period allowed for the recovery, meet to discuss performance of the
Recovery Agent for the preceding quarter. The meeting shall analyse the recovery level performance as well
as challenges encountered in the field and any other issues which the parties may raise at the meeting.

2.5. Contact information of the parties

The Recovery Agent shall provide a list of its key personnel with contact phone numbers, and email
addresses.
Access Bank shall also provide a list of its key Retail Collection personnel with relevant Contact Phone
numbers and email addresses.
Where the Agent or Access Bank changes its key personnel, it shall notify the other party immediately.
The Recovery Agent shall provide a functioning email address, including the email addresses for its key
personnel to Access Bank. Requests and complaints from Access Bank shall be logged through the relevant
email addresses. The Agent is expected to acknowledge Access Bank’s emails within 30 minutes of such
emails.

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3. Compensation

3.1. Service Fees

The commission payable to the Agent shall be as follows:
An agreed percentage will be paid as commission to the agent, this percentage would have been agreed and
advised to the agent before the commencement of the recovery. The Bank reserves the right to reduce the
percentage payable but the agent would be duly advised.

3.2. Payment Terms

The Agent must submit requests for commission not later than the 10th day of the month following
recovery to the Retail Collections unit of Access Bank.
Commissions will not be paid until the receipt of the previous month’s performance report.
Access Bank shall ensure that commissions are paid within one week after submission. The Bank may
however deduct any amount not traceable or related to recoveries made by the Agent before arriving at
total commission payable.

3.3. Taxes
All payments made to the Agent pursuant to this agreement shall be made net of VAT.

4. Warranties and Remedies

4.1. Quality of service

The Recovery Agent undertakes that recoveries will be performed in a professional and honest manner
consistent with best practice standards applicable to such services.

4.2. Confidentiality
Except to the extent that such information is public knowledge, acquired from another source other than as
a result of any breach of this agreement or disclosed in compliance with any statutory provisions or order of
court, the Parties undertake to not divulge any confidential information or information regarding the
implementation or operation of this SLA, or information regarding the business practices or the customers
of the other party to any third party other than to its staff or members of the corporate groups to which
either party belong.

4.3. Force Majeure

Neither party shall be liable for the breach of its obligations under this agreement where such failure to
perform its obligations is caused as a result of war, accidents, fires, explosions, floods, earthquakes, civil or
military authority, civil unrest, acts of God or any other causes beyond the reasonable control of either
party. Each party shall notify the other not later than three days of the occurrence of an event of force
majeure.
The party affected by the Force Majeure shall do what is reasonable in the circumstances to reduce or abate
the effect of the Force Majeure in order to continue the performance of its obligations under this
agreement.

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 Either party shall be at liberty to terminate this agreement forthwith, where the event of Force Majeure
continues for more than two weeks.

4.4. Indemnities
The Recovery Agent hereby indemnifies the Bank against any losses which it may incur due to its negligence
in carrying out its responsibilities under this SLA.
The Bank shall not be liable whatsoever to any person in respect of any action, suit or claim against the
Agent arising from the performance of the Agent’s duties in recovering any money or monies owed to the
Bank.
The Agent hereby indemnifies the Bank in the event of loss or misdirection of money collected from
customers due to the Bank, that such monies shall be refunded to the Bank by the Agent.

5. Legal Compliance and Resolution of Disputes

5.1. Governing Law

This agreement shall be covered by the Laws of Federal Republic of Nigeria.

5.2. Dispute Resolution

In the event of a dispute, the parties agree that they will use all reasonable means to solve the disputes
through negotiation and conciliation.
In the event that the parties are unable to reach an amicable settlement of their disputes, the dispute shall
be referred to arbitration in accordance with the provisions of the Arbitration and Conciliation Act (Cap A 18
Laws of the Federation of Nigeria, 2004).
The Parties hereby agree that the arbitrator shall be appointed jointly by both parties.
The arbitral award shall be final and binding on the parties and shall not be subject to appeal to the Courts
by any of the parties.

6. Termination

6.1. Termination for convenience

Either party to this SLA may terminate this SLA by a one month written notice of termination to the other
party.

6.2. Termination for cause

Where the Recovery Agent fails to perform its obligations to Access Bank as stipulated in the SLA, Access
Bank may give the Contractor a one week notice of its intention to terminate the agreement. Upon
discovery of any act of dishonesty, poor performance and lack of commitment by the Recovery Agent, the
Bank may within one week of such discovery terminate the Agent’s contract with the Bank.

6.3. Termination for insolvency

The parties may terminate this SLA where the other party goes into liquidation or becomes insolvent and is
unable to pay its debts in accordance with the terms of the Companies and Allied Matters Act, Cap C20,
Laws of the Federation of Nigeria, 2004.

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 6.4. Payment on Termination
On termination, Access Bank shall settle the outstanding commission due to the Agent. The Agent shall
refund to Access Bank, any money collected by the Agent from any customer not yet handed over to it in
pursuant to this agreement.

7. General

7.1. Notices
All notices required to be sent under this agreement shall be hand delivered to the party’s place of business
stated at the inception of the agreement. Access Bank may also give Notice to the Agent by the email
provided by the agent at the inception of this SLA.

7.2. Entire Agreement

This agreement represents the intention of the parties and supersedes all other prior agreements between
the parties for the provision of the services mentioned in this agreement and the schedule thereof.

7.3. Changes to the Agreement

All changes to this agreement shall be approved in writing by the parties.
Where the parties wish to amend the scope of items covered under the schedule, a letter of offer written by
Access Bank to the agent and duly acknowledged by the agent is sufficient evidence of the amendment of
the item in the relevant Schedule.

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The Common Seal of the within named ……………………………………….. is hereby affixed in the
presence of

________________________________________ ________________________________________
Director Secretary
Name: Name:

Or
Signed, Sealed and Delivered on behalf of the within named ……………………….……………………….

________________________________________
Designation:
Name:

The Common Seal of the within named Access Bank Plc is hereby affixed in the presence of

________________________________________ ________________________________________
Director Secretary
Name: Name:

Or
Signed, Sealed and Delivered on behalf of the within named Access Bank Plc

________________________________________
Designation:
Name:

In the Presence of

________________________________________
Designation:
Name:

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