How Do I Get A Loan Without Collateral?

Why do you think the bank will give you a loan without collateral? In this global financial recession? Hell no! The banks are soon going to merge and every bank is now trying to recover the loans they have already given out.

Sure you can get a one week loan but you will have to give them papers to your house and any other property you have.

The only way to get a loan is to prove you dont need it by way of collateral in any form. Try a loan shark if you can find one but we all know the downside to that.gdluck

I dont know!

I am becoming very afraid for this Nairaland o!
If the quality of response we get to simple questions, is a testament to the quality of our peoples level of understanding, then we are in real soup!

Imagine, the question was :How do l get a loan without collateral"?

Answers range from, you can get one if you have a job, if you operate a salary account with the bank, if you have landed property, if you have a good business plan or running  business, You must have good credit ratings, e.t.c!

For Christ's sake, are all the above not "COLLATERALS" or how else would one define collateral viz-a-viz something that can be used to minimize the risk, in case of default?
Na wah O, if we no get "reasonable answer" keep quiet or say l dont know! Chikenna.

@poster, the very idea of "a loan" implies a collateral, even if its from your family member - Your family relationship, as a leverage, is a collateral 
Even a loan-shark uses your "good health and family members" as a collateral!

Maybe what you need is a GRANT, and l doubt if that system still operates in Naija otherwise, the likes of our IGP's would not need to borrow #161Million with landed collateral NO ONE WILL GIVE YOU MONEY FOR FREE, except its for burial ceremony!

I would suggest you work hard for the next one year and have some savings, with that, maybe you can convince a few people with money to come-in and party with you on your vision.
Your savings can even then, become the collateral that is barring your moves!
You see why this is the major reason the rich get richer and the poor get poorer!

In your spare time, l recommend this books: 1.) Rich Dad, Poor Dad. 2.)What the Rich teach their kids that Poor people dont teach their kids.

It would lift your spirits but all the same, dont give up on your dreams.

You can not get a loan without collateral 

Even if it is against a property you are only likely to be advanced 75% max 

Banks are very wary these days on who and what they lend money to 

99.9% of the people telling you they can do it without are probably 419 Yahoo boys waiting to take your money to set-up the loan which will not materialise.

Why are you spamming the forum with all those ripp-off multi level marketing links? 

Go an find another forum to spam with this shit 

You are a Con Man looking for a victim here. You should be in Jail.

@ poster,

What is the purpose of the loan you seek?

If you plan to start a business, what you need is equity/long term debt not a commercial bank loan. In that case, you need a venture capitalist firm like GROFIN (Diamond bank) or First Funds (First Bank). These firms will ask you for a detailed business plan, after the evaluation of your plan and identifying an exit strategy, they will advance you the funds you need structured as equity or debt. But they will likely be involved in the running of your business (like a seat on the board).

If you have been in business for a while (say one year or more), then it is very possible to get a loan from a commercial bank in Nigeria where collateral will not be an issue (but your business must be profitable and generating positive cash flows) though CBN frawns as commercial banks that lend without collateral.

If you require more clarification or have more questions, please feel free to post them

@olivetree

Thank O jare

I beg tell them!

looks like u just wasted a few seconds there. 

@ poster,
of course u can get a loan without collateral.
Just walk into any bank of your choice, ie. after u must have arranged 'awon boys' brandishing assault rifles. Borrow as much as u want. Honestly, it is tested and proven, no interest, no refund.

Did Someone not just explain what collateral is? It doesn't have to be a landed prperty, car, share certificates etc. Once the loan is secured, it could be said to have been collaterized. For salary earners enjoying overdraft facilities, their employers secure the facility through the covenant agreeed with the bank that their salaries and terminal benefits must be routed through the bank, and that is some kind of comfort to the bank.

For APGs or Project financing, there is something called domicilliation of account, which means that whatever contract you are executing with the loan from the bank, it must be paid into your account with the bank, and mind you, the bank is expected to be monitoring the extent of workdone and will be aware as soon as the money is paid because you wont be able to withdraw it as the account would have been 'liened' or put on 'post no debit' status until the bank has taken it's charges.

For the man claiming that his friend got N75M uncollaterized loan, i make bold to say it's not true. It's either you dont understand what collateral is or you are just passing a joke. While i agree your friend may not have submitted property documents (if your claim is true) He must have obtained some kind of bank guarantee from a reputable bank covering the loan before a finance house  undertook to disburse that amount, that of course depends on the nature of the facility, but the truth is, it must have been secured somehow. Otherwise, there must have been a breach somewhere along the line, and the bank will be terribly sanctioned should CBN Auditors discover it.

However, i must mention here that Microfinance loans are very friendly in structure and pattern, such that you will only require guarantors whose income would exceed a predetermined amount by the bank to disburse. E.g For N100,000 I know that some MFBs give loans once they have studied your withdrawal patterns and as soon as you provide two guarantors, but for N500,000, you will be required to get atleast one internal guarantor (a staff of the bank) if you dont have an item to collaterize the loan with, in which case the staff becomes responsible should there be a default.

What I know is that nobody wants to part with his money for nothing, talkless of Banks who are always willing to milk you dry.

I have been in banking for over 20 years and I can tell you poster that it is possible to obtain a loan without collater, but since you mentioned that this is a start up business, it is virtually impossible. ,
Business plan is not a collateral

safariman, pls can u educate me on this.

We all believe you Mr. 2 Posts 

LMAO