ahiboilandgas:
Please what the vision ,mission,and objectives of big brother Nigeria .....for the company i understand income but for the voters?i seems not to undeestand abi abi old school

mindtricks:


be like we dey same school.
While company makes profit, audience get entertained. That's about it. I really don't see value in it.

ojesymsym:
Please I need some clarification.
A friend wants to take a loan of 1 million from a microfinance bank and they told him 5% per month to be paid back on the 6th month. He is telling me that, that means 30% but I am telling him that irrespective of the 6 months term that the rate is actually 60%, if it is 60% then this loan is a terrible loan if you ask me.
What are your thoughts?

ojesymsym:
Please I need some clarification.
A friend wants to take a loan of 1 million from a microfinance bank and they told him 5% per month to be paid back on the 6th month. He is telling me that, that means 30% but I am telling him that irrespective of the 6 months term that the rate is actually 60%, if it is 60% then this loan is a terrible loan if you ask me.
What are your thoughts?

emmanuelewumi:



That is about the rate from microfinance bank. It depends on what he wants to do with the fund.

Not bad if he can convert the N1 million to N2 million in 6 months, and the interest will be on a reducing balance basis

ahiboilandgas:
why will u do that when ..conventional bank are hustling clients for 1.33 permonths....this not loan but armrobbery 60 percent per anum...

emmanuelewumi:



That is about the rate from microfinance bank. It depends on what he wants to do with the fund.

Not bad if he can convert the N1 million to N2 million in 6 months, and the interest will be on a reducing balance basis

NL1960:


Microfinance banks do not operate reducing balance basis. It is strictly flat. That is why they state their rates as per month.

ahiboilandgas:
why will u do that when ..conventional bank are hustling clients for 1.33 permonths....this not loan but armrobbery 60 percent per anum...

ojesymsym:
Thanks for your response.
He is investing it in his business.
What about those Fintech loans, do they offer similar or better rates?

What do you mean by reducing balance?

emmanuelewumi:


They do. You got a loan of N1 million You paid interest of N5000 on the loan and then used 200k to service the loan.

Nest month you will pay interest of 5% on 800k

emmanuelewumi:



They do. You got a loan of N1 million You paid interest of N5000 on the loan and then used 200k to service the loan.


Nest month you will pay interest of 5% on 800k

ojesymsym:
Please I need some clarification.
A friend wants to take a loan of 1 million from a microfinance bank and they told him 5% per month to be paid back on the 6th month. He is telling me that, that means 30% but I am telling him that irrespective of the 6 months term that the rate is actually 60%, if it is 60% then this loan is a terrible loan if you ask me.
What are your thoughts?

einsteine:


Maybe that's for some. Every single microfinance loan I have seen has been flat rate. You even pay a fee for early repayment for some.

einsteine:
Even GTB's 1.3 percent per month is flat, not reducing balance.

Iogobenz:
How are Nigerian brands not doing same?
Why do you think they are leaving?Don't tell me you bought thesame sales girl story
You should checkout How good NEXT,SUNDRY,EBEANO and co are doing when it comes to pricing.
Peter Obi is one of the cheapest shop I know in Nigeria for groceries.
Now remember these FDI retailers can't sell as cheap as theur indigenous counterparts cos they have a lot of dollar expenses and profits to be paid in dollars.
Now competition has gotten stiff and they are running away.
So how is that not local brands doing the same?
Why are they running?

Ghost01:
Nigerian Fintechs are into predatory lending. By the time you annualise the monthly interest rate they are offering, it may exceed 100%. Let your friend try NIRSAL MFB.

Nezzjnr:
Anyone that brings up issues relating to Nigeria politics should be banned

There's a reason Seun created the Politics section... You can go there and relate with your fellow mad Men

mindtricks:


be like we dey same school.
While company makes profit, audience get entertained. That's about it. I really don't see value in it.

NL1960:


That is reducing balance. MFBs do not do that. They do strictly flat.

A loan of 1m on monthly basis will be:

Monthly Principal = Loan Amount / Tenor = 1,000,000 /6 = 166, 666.67

Monthly Interest = Loan Amount * (Rate / 100) = 1,000,000 * 0.05 = 50,000.00

Total Monthly Repayment = Monthly Principal + Monthly Interest = 166, 666.67 + 50,000.00 = 215,666.67

Total Amount repaid at 6 months = Total Principal + Total Interest = 1,000,000.00 + 300,000.00 = 1,300,000.00

mickky22:



You didn't administrative fee.

ojesymsym:
Is NIRSAL not just for agric related loans?

mickky22:

That is reducing balance. MFBs do not do that. They do strictly flat.

A loan of 1m on monthly basis will be:

Monthly Principal = Loan Amount / Te

You didn't add administrative fee.

ojesymsym:
How do business people survive with such loans?

ojesymsym:
Please I need some clarification.
A friend wants to take a loan of 1 million from a microfinance bank and they told him 5% per month to be paid back on the 6th month. He is telling me that, that means 30% but I am telling him that irrespective of the 6 months term that the rate is actually 60%, if it is 60% then this loan is a terrible loan if you ask me.
What are your thoughts?

ahiboilandgas:
DMO resumes FGN SAVINGS BOND Offers

ojesymsym:
How do business people survive with such loans?

ahiboilandgas:
Predict the next user name and win 1k recharge card ...healthserve-conglomet-benzboy-logo benz ..................fill in the blank space correctly and win recharge card....

healthserve:



Bro. Logged in after months and flood of mentions. What's up?