@pharuk,
PLEASE dont misinform people. Your maths doesnt support your claim of 19% monthly at all! Even though i havent being to the bank myself, no one will charge 19% interest monthly, use your head that will be 228% per annum!!!!!
Haba, even if the banks are demons and blood sucking vampires, they can never do that. Do you realise that if the charge 19% monthly in just over 6months you would have completely paid off the prinicipal and every other payment on top of that na extra!!!

The payments can be monthly no doubt, but interest calculated monthly at 19% is not possible!!!!

very simple maths

its 19% annually which will be remitted monthly for 42 months max
thats what i heard.

weigh your options
if it fits ur personality, then go for it. if it doesnt, run till ur legs cannot carry u

PS: why will the radio jingles say 10% tuition and be silent on the main stuffs?
9ja banks and mago mago

why ar u guys talking like kids, first and formost u hv not verify frm the banks. which bank will give u loan and ask u 2 pay annually. repayment for all banks in Nigeria is monthly. I think we are matured, so if we want 2 talk lets have i rethink first. If u hv what it takes and u feel u can with stand it GO if not RUN thats Naija 4 u cos no body is questioning dem. untill our looter (sorry i mean money bag rulers) do some tin. its not effecting them cos they can afford it 4 their ward.

Heyyyyyyyyyyyy Nairalanders, some of you just post rubbish , the intrest rate is 19.5% per annual, it will be spread over the period of repayment, for example if you are taking a loan of 1.3M the intrest rate is 19.5% for the duration of payment, if its a year loan or 4 years loan repayment is still thesame. i have the repayment method on my system, if you want it get in touch with me i will forward it to your box

****deleted****

Definately cant be N19 19%per month, 19x12=228%. Haha even Armed robbers better pass this now, 19% of 5M = 950000.
If i fit pay this kind money every month I go just wait till next season b4 starting my studies now. by then 6month go done do and i would have made extra N700,000. So case close on wether na monthly or annual pls. It is definately annual, and it seems fairly reasonable because the duration is 4years, but as som1 said do what pleases u.

We just need to confirm stuff before we start posting untrue stories.

i was given a print-out when i visited bank phb branch at adeola odeku, and it is 19%/annum. and there are diff. repayments methods.
1. interest + capital monthly over 42 mnths
2 interest over 42mths + capital bulk payment after studies
3 Monthly servicing of interest throughout the period of study and a moratorium of 6 months after the conclusion of study (during this moratorium, the security deposit in the education savings account would be used to service the monthly interest), then an additional 12 month tenor is given to service both accrued interest and the principal. In effect the tenor of the facility is extended by additional 18 months after the period of study.

Personally, it is outrageous, but in Nigeria, you can't get anything better and this is applicable everywhere all over the world.

I have been in contact with the Bank Via, Email and also visited 3 of its branches to get a good understanding of this product on offer, personally I think, except a better deal comes up from other banks, NGO ,co-operatives, Communities and good willed people who are willing to bank roll peoples studies in the UK or any other Country where we all seek education of a better quality, then the Bank PHB UK education loan is it.

Here are a few answers to Queries i sent to the Bank via Email. And there answers



1.I will like to know the interest rates on this loan? ----The interest rate is 19%



2. What’s the difference b/w a sponsor and a guarantor?----A sponsor can also be your guarantor



3. If my guarantor provides acceptable collateral, is he still required to service the debt over the tenor of the facility? -----Your sponsor or guarantor must be servicing the interest monthly or both the interest and principal. The collateral is just an addition comfort to the bank.



4. Provided I have met all the required payments (the 20% equity contribution and down payment 10% of the tuition fees) in the UK education loan account, how long will it take to process the loan facility? -----To a large extent depends on your collateral. For shares -3 days, legal mortgage- 3 weeks, fixed deposit 2 days etc



5. Must my sponsors or guarantor be residing in Nigeria ? Yes



Other info, I got from my visit to there branches are you have to open the account, make a deposit of 10% of the tuition fee. Then get the loan application form, apply for the Loan, provide all the required documentations, if or when your loan is processed you will have to make a 20% equity contribution of virtually the total sum you will require i.e. (tuition fees, accommodation, air tickets and sustenance)


Hope this help clear the air,If you have to, then do it, nobody said life was going to be easy, weigh the risk, with the future advantages and make a decision, and what’s more banks are not charity they are profit driven.

wills:

I have been in contact with the Bank Via, Email and also visited 3 of its branches to get a good understanding of this product on offer, personally I think, except a better deal comes up from other banks, NGO ,co-operatives, Communities and good willed people who are willing to bank roll peoples studies in the UK or any other Country where we all seek education of a better quality, then the Bank PHB UK education loan is it.

Here are a few answers to Queries i sent to the Bank via Email. And there answers



1.I will like to know the interest rates on this loan? ----The interest rate is 19%



2. What’s the difference b/w a sponsor and a guarantor?----A sponsor can also be your guarantor



3. If my guarantor provides acceptable collateral, is he still required to service the debt over the tenor of the facility? -----Your sponsor or guarantor must be servicing the interest monthly or both the interest and principal. The collateral is just an addition comfort to the bank.



4. Provided I have met all the required payments (the 20% equity contribution and down payment 10% of the tuition fees) in the UK education loan account, how long will it take to process the loan facility? -----To a large extent depends on your collateral. For shares -3 days, legal mortgage- 3 weeks, fixed deposit 2 days etc



5. Must my sponsors or guarantor be residing in Nigeria ? Yes



Other info, I got from my visit to there branches are you have to open the account, make a deposit of 10% of the tuition fee. Then get the loan application form, apply for the Loan, provide all the required documentations, if or when your loan is processed you will have to make a 20% equity contribution of virtually the total sum you will require i.e. (tuition fees, accommodation, air tickets and sustenance)


Hope this help clear the air,If you have to, then do it, nobody said life was going to be easy, weigh the risk, with the future advantages and make a decision, and what’s more banks are not charity they are profit driven.

Please elaborate on the bold part. Thanx

Equity contribution of 20% is, lets say you need a loan of 3M, you will have to make a contribution of 20% of that amount  1st,which amounts to 600,000K.

so Now the actual loan amount is 2.4M and that i want to believe is the amount you have to base your repayment on using the 19% intrest rate.

Hope this Helps.

Also i will try to forward a link of this page to the customers service email of bankPHB, so that they can throw more light on this tread.

I thought that is what the 10% is suppose to do?
Thanx for the swift response.

No, the 10% is based on the tuition only and that’s what u pay 1st, on opening the account. That money they say will be invested on your behalf while you are out of the country. Also if you chose the repayment option where you are given a 6 month moratorium i.e., a stay on your repayment, Then the repayment will be serviced during this period, from this amount in your account that’s the 10%.

go to

www.bankphb.com

Ok, well understood now. I guess its not that terrible sha, some people collect a one year term loan based on similar conditions. Another question is, will they just handover all the money to me at once and dont bother what I actually do with the money?

@Ess
yes now
b4 the money will be handed to u, u would have satisfied their terms. meaning, you have a sponsor with a bankable colateral in case of default.

so, do whatever you like with the money and pls pay back as stipulated.
LOL!!!

@wills
how will the loan be disbursed?
into the account opened or what?

guys, if your looking for help, then its sad news that I will break to u. Nobody is going to issue help to you. U need to sit down, think, and make up what u need to succeed. Don't think crime, cos it will not pay either. Bend down, think and bring out the you in you.

align yourself with the successful, think like them, bend down study hard to dicover the secrets behind their success.

there is no way a discovery is found and u remain the same way u were before.

Even the Holy Book, the Bible says ', when thou has found it, there shall be a a reward and your expectation will not be cut off"

@prizeless
how totally inapt!!!!!!
chei!! must u post

I tire for him me sef tkb417. Anyways I want to believe he is trying to teach us some form of lesson in his ways, geez! No one is seeking for help/assistance but for info which u must do in order to achieve ur goals.

You guys has made a wonderfull contribution to this topic,i will not lay blame on anybody for the controvercy on th interest rate,but will state categorically here that is the fault of CUSTOMER SERVICE STAFF of all this banks who cant differentiate between their left from right.

I have gone there personally on my own at one of Bank PHB branch and they told me that the interest rate is 17% monthly!

This is a fraud ,im trying to remember how many years jail term to this crime be perputuated by our so called banks

Assuming u borrow N3,000,000 at the rate of 19% and to repay over 42months

Your estimated monthly payments are N98,335.48 and you will pay N1,130,090 in interest over the life of the loan.
Loan Information
Loan amount 3000000
Annual interest rate 19%
Term of loan: (months) 42
chart
Period Beginning Balance Interest Rate Payment Ending Balance
1 $3,000,000 $47,500 $98,335 $2,949,165
2 2,949,165 46,695 98,335 2,897,524
3 2,897,524 45,877 98,335 2,845,066
4 2,845,066 45,047 98,335 2,791,778
5 2,791,778 44,203 98,335 2,737,645
6 2,737,645 43,346 98,335 2,682,656
7 2,682,656 42,475 98,335 2,626,796
8 2,626,796 41,591 98,335 2,570,051
9 2,570,051 40,692 98,335 2,512,408
10 2,512,408 39,780 98,335 2,453,852
11 2,453,852 38,853 98,335 2,394,370
12 2,394,370 37,911 98,335 2,333,945
13 2,333,945 36,954 98,335 2,272,564
14 2,272,564 35,982 98,335 2,210,210
15 2,210,210 34,995 98,335 2,146,870
16 2,146,870 33,992 98,335 2,082,527
17 2,082,527 32,973 98,335 2,017,164
18 2,017,164 31,938 98,335 1,950,767
19 1,950,767 30,887 98,335 1,883,319
20 1,883,319 29,819 98,335 1,814,803
21 1,814,803 28,734 98,335 1,745,202
22 1,745,202 27,632 98,335 1,674,498
23 1,674,498 26,513 98,335 1,602,676
24 1,602,676 25,376 98,335 1,529,716
25 1,529,716 24,221 98,335 1,455,601
26 1,455,601 23,047 98,335 1,380,313
27 1,380,313 21,855 98,335 1,303,832
28 1,303,832 20,644 98,335 1,226,141
29 1,226,141 19,414 98,335 1,147,219
30 1,147,219 18,164 98,335 1,067,048
31 1,067,048 16,895 98,335 985,607
32 985,607 15,605 98,335 902,877
33 902,877 14,296 98,335 818,837
34 818,837 12,965 98,335 733,467
35 733,467 11,613 98,335 646,745
36 646,745 10,240 98,335 558,649
37 558,649 8,845 98,335 469,159
38 469,159 7,428 98,335 378,252
39 378,252 5,989 98,335 285,905
40 285,905 4,527 98,335 192,097
41 192,097 3,042 98,335 96,803
42 96,803 1,533 98,335 0


U can use this calculator to check the payment terms base on term of loan

http://finance.yahoo.com/calculator/college-education/det-03;_ylt=AkTUrj.E9WclakHjJnY2JW0omNIF

I believe 17% - 25% is what you pay for credit card bills - Monthly. That can even be reduced if you have good credit in USA.

So if a bank is charging you the same rate on a educational loan as you would on a credit card, there is no incentive to take the loan. The best bet is to borrow from a corporative (lol), if they still exist and you belong to one.

The government needs to regulate the interest on educational loan if they are looking out for the people, because the BANKS ARE LOOKING OUT FOR THEMSELVES. ITS THE RESPONSIBILITY OF THE GOV'T TO LOOK OUT FOR THE PEOPLE

On a side note:
Anybody knows what would happen in Nigeria if you take out the loan and then you can't afford to pay back? In the US, it f**ks up your credit and you cannot do anything until you file for bankrupty and stuff. Whats the deal in Naija?

Hi guys,

Since we can all now agree(according to members research),that the interest is abt 19% annually,what should be stated in the student's application form as one's sponsor.

I mean is it going to be the sponsor(dad,uncle,etc) that helped you get the loan or the bank itself,having it at the back of our minds that you need to show your sponsor bank statement & ability to see ur tru ur studies etc.

What if your sponsor has abt 2m & collects the remaining sch fees as loan?And has paid 50% of your fees & has paid 4000pounds(1m) remaining 1m in his acct. ??

Is that acct. good enough for the ECO boys to grant ur visa?In short what documents do u submit for visa concerning sponsorship when granted loan for fees?

Pls anyone??

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Hello are you in need for loan inquiry and yes i can help you and i give out loans at an interest rate of 3% and the requirement for the loan are the following details below which will enable me prepare the loan repayment schedule and you will be required to send us a scanned copy of your identity card before the loan will be insured and approved,can as well Email us,omega_lenders@hotmail.co.uk ORDER BY.Skye Bank Education Loan

Should the students be the ones to finance Nigerian universities? When our big pplp are there lootin n enriching their families. Lookin at tins, are we nt suppose to be receiving some benefits? In uk, the system is so organized that there is room for benefits for job seekers. Tell me, WHAT DO THEY HAVE? Our pplp are so greedy and wicked. What happens to the state educational loan system? Most Nigerians dont know that most of their states, sponsor pplp to go to UK to study. Those bloody, greedy bastards use the opportunity to send there pplp abroad with it. In ways making the poor go down by the day and themselves richer. Na God go punish all of una, most Nigerians because we are use to the way tins run in this country will say “na government go do everything for una?” yes! They have to , What is democracy? Government for the pplp, yet tins are going wrong.

Should the students be the ones to finance Nigerian universities? When our big pplp are there lootin n enriching their families. Lookin at tins, are we nt suppose to be receiving some benefits? In uk, the system is so organized that there is room for benefits for job seekers. Tell me, WHAT DO THEY HAVE? Our pplp are so greedy and wicked. What happens to the state educational loan system? Most Nigerians dont know that most of their states, sponsor pplp to go to UK to study. Those bloody, greedy bastards use the opportunity to send there pplp abroad with it. In ways making the poor go down by the day and themselves richer. Na God go punish all of una, most Nigerians because we are use to the way tins run in this country will say “na government go do everything for una?” yes! They have to , What is democracy? Government for the pplp, yet tins are going wrong.