BANDASBURG SERVICES

SOFT LOANS
‘’YOUR BACKUP IN TIMES OF FINANCIAL CONSTRAINTS’’
LENDER’S NAME_____________________________________________
CLIENT’S NAME______________________________________________
CLIENT’S I.D AND CONTACT _____________________________________
DATE OF LOAN_______________________________________________
AMOUNT OF LOAN (K)_________________________________________
INTEREST RATE@_____________________________________________
TOTAL AMOUNT TO BE REPAID__________________________________
DATE OF REPAYMENT__________________________________________
DETAILS OF COLLATERAL
ISSUED________________________________________________________________________
______________________________________________________________________________

I_________________________(BORROWER) has gotten a quick loan from

____________________________(LENDER), Amounting to (k)_______________ which is to be
repaid within the agreed period of _______________at an interest rate of___________ as
prescribed under the terms and conditions of this contract for the said period. I also hereby
declare to the best of my knowledge that the surety attached this contract is genuine,
serviceable and in good working condition and has no fault or is in the exact condition as I have
stated it to be. In the situation where I fail to pay back the money as per agreement, ownership
of the said collateral is seized and the lender has the right to take possession of the collateral so
that he/she recovers the money and I therefore agree to lose all rights over it.
Signature of Borrower_________________________________________________
(If desired)
Details of witness of Borrower___________________________________________
Signature of Lender or Authorized representative ____________________________
(If desired)
Details of witness of Lender______________________________________________
TERMS AND CONDITIONS
 Every client should attach a copy of their I.D upon signing of this form
 Our loans are surety based and the amount that can be given to a client is dependent on
the assessed market value of the collateral, where one defaults and putting into
consideration depreciation of the item with time lapse.
 Interest rates vary according to loan duration, 15% for a period of 7days and below, 20%
for above 7 days to 14 days, 25% for more than 14Days to 21 days and 35% for above 21
days but not exceeding 30 days.
 Maximum validity for which a loan can be granted is 30 days. This therefore means that
if one defaults by failing to repay the loan in full by the due date according the signed
agreement, the loan interest rate will rise according to the percentages above
depending on the period, but this is for loans that are signed below 21 days only. e.g for
a loan given for a period of 7 days and below @ the rate of 15%, if the client defaults,
he/she will repay the full amount with an interest rate of 20% by the second week
instead of the signed 15% because he/she has defaulted. If he/she pays in the third
week it will be at 25%. If paid in the fourth week it will be at 35% and no extension will
be made beyond 30 days. If the loan is signed for above 21 days and at the interest rate
of 35%, if the client fails to pay the full amount by the due date the collateral is
automatically forfeited. The client will lose all rights over the item regardless of its value
and the collateral shall be disposed of to cover the loan. Further, the client cannot make
any claims as he/she has agreed to these terms by signing the form
 For any item to be accepted as collateral, it should be inspected to the best knowledge
of the lender. This is to ascertain whether it is in the exact condition as informed by the
borrower and only items that are sole owned by the borrower will be accepted. In a
situation where the borrower gives false information to the lender over ownership, the
borrower shall bear the costs of damages if the true owner claims after the collateral
has been disposed of.

BANDASBURG SOFT LOANS