Salary Loan

Salary Loan

These are loans extended to FIC members who are employees of reputable organizations, approved by the Board, whose employers are willing to commit to an irrevocable standing payment order to FIC, affecting payments of monthly loan installments.

The facility is expected to enable members to bridge their cash flows, in asset formation and acquisitions, starting income-generating activities, career development and advancement, home improvement, and asset acquisition to enhance development, prosperity, and income growth as well as boost members’ entrepreneurship and business income by enhancing growth and diversification.

Eligibility Criteria for a Salary Loan

  1. Must be an employee of an acceptable and reputable Organization.
  2. Must be employed on permanent or contract terms with evidence of consistent salary payment for at least 6 months.
  • If on contract, they must have been confirmed in service with an employment contract that covers the applied loan period.
  1. Must provide a letter from the employer confirming the above information.

Terms and conditions

1. Maximum Loan amount 5 times total savings and share capital/IUS.

NB: not less than a third of the minimum amount shall be in shares.

2. Maximum Loan period 48 months; or duration of contract whichever is shorter
3 Monthly installment Not more than 50% of net salary


4. Grace period Not more than 5 working days
5. Repayment frequency Monthly
6. Loan Interest As approved by the AGM
7. Interest calculation method Reducing balance
8. Loan processing fee 2% of the approved loan amount
9. Penalty fees 1% of the amount in arrears 30 days and above accrued monthly
10. Other fees Loan application fee of 10,000/= and Insurance fees according to insurance policy rates.
11 Security Savings/IUS/guarantors/employer’s letter of undertaking/tangible collateral/ any other acceptable collateral.