INDECO HOUSE, 4TH FLOOR
ROOM 408, CAIRO ROAD LUSAKA, ZAMBIA.
EMAIL: halupbusinessventures@gmail.com
Cell: +26095274256
PERSONAL LOAN OFFER LETTER
LOAN CONTRACT NO………………..
DEFINITIONS AND INTERPRETATIONS
1.1 ‘’PART A’’ means the details of applicant.credit provider and loan details
1.2 ‘’PART B’’ means the General terms and conditions
1.3 ‘’PART C’’ means the section of the document that is identified as part C below
being the payroll deduction instruction to employer
1.4 ‘’PART D’’ means the section of this document that is identified as part D below.
Being the payment
1.5 ‘’borrower’’ means the person or party named in part A as the borrower (the client k.
1.6 ‘’Credit provider’’ means the person or party named in part A as the lender being
Constitute a loan agreement between the borrower and the credit provider upon the
terms and conditions set out in these documents.
PART A:
2.0 DETAILS OF THE APPLICANT, CREDIT PROVIDER AND LOAN DETAILS
2.1 NAME OF CREDIT PROVIDER: LUWISHA MWEBELA MONEY LENDERS
2.2 BORROWER’S DETAILS
NAME: ……………………
2.3 LOAN DETAILS:
2.4 PRODUCT NAME:
LOAN AMOUNT BORROWED……………………
TEN 10 (DAYS)
RATE OF INTEREST: 4 % PER MONTH………………….
MONTHLY REPAYMENT AMOUNT:
TOTAL REPAYMENT DATE: ……………………………..
LOAN MATURITY DATE…
DISBURSEMENT DATE:………………………………….
FULL NAME OF BORROWER:…………………………..
SIGNATURE OF BORROWER…
PART B GENERAL TERMS AND CONDITIONS
3. DECLARATION AND AUTHORISATION BY THE BORROWER
3.1The borrower declares, agrees and confirms that:
3.1.1 all information provided by the borrower to the credit provider in connection with the
agreement is true and correct and is sufficient for the credit provider to conduct a financial needs
analysis of the borrower’s financial situation
3.1.2 the borrower has seen the schedule of information in part A, setting out the full details of
everything that the borrower has to pay if the loan is granted, and this information is the same
information that was shown and or discussed with the borrower before the borrower signed the
agreement.
3.1.3 The borrower understands the terms of this agreement as explained to the borrower in
English
3.1.4 The borrower has read the agreement prior to signature of the agreement.
3.1.5 Where the agreement provides for repayment instalments to be deducted from the
borrower’s salary the borrower agrees that the borrower may not unliterary cancel any order or
consent given pursuant to part C until the loan has been repaid in full:
3.1.6 The borrower is in apposition both financially and legally to enter into this agreement.
3.1.7 The borrower has disclosed to the Credit provider all relevant facts regarding the borrowers
current and expected future financial position:
3.1.8 The credit provider has made all required statutory disclosers to the borrower in connection
with this agreement as are required under Zambian law which includes key fact statement,
amortization schedule etc.
3.2 The borrower agrees that by signing Parts A and B the borrower gives the credit provider
permission to:
3.2.1 contact Their employer, next of keen or referees to check that the information which the
borrower has given in part A is correct.
3.2.2 Transmit to credit bureaus, data about the borrower’s application for and the granting of
credit to the borrower pursuant to this agreement.
3.2.3 Transmit to credit bureaus notice of any non-compliance by the borrower and data about
the borrower’s application for and the granting of credit with the terms and conditions of this
agreement;
3.2.4 Enquire with the credit bureaus to which the credit provider transmits information to
provide a credit profile and possibly a credit score on the creditworthiness of the borrower to
third parties;
3.2.5 Obtain details from employer, next of keen and referees about the borrower’s financial
status and banking details including a credit record and payment history;
3.2.6 Assign the credit provider’s rights, title and interest herein to any third party;
3.2.7 Disclose any fraudulent information and/or activity by the borrower to the Zambia police
and/or other law enforcement agency;
3.2.8 Forward marketing material and offerings of other products offered by the credit provider
to the borrower even after this agreement has been terminated however, the borrower has the
right at any point to elect not to receive any further marketing materials and offerings.
3.2.9 The borrower agrees that signing part A and B the borrower consents to the credit provider
contacting the borrower’s employer in order to obtain or confirm any details relating to the
borrower’s employment which it deems relevant in protecting its rights in terms of this
agreement. Among other things, the credit provider may confirm the status of the borrower’s
employment, remuneration, date on which the borrower gets paid, and the bank account into
which the borrower’s salary is paid.
4. Application, approval and disbursement of loan
4.1 The borrower applies for a loan by completing and signing part A, B, C and D of this
agreement. The borrower’s signature will constitute an offer by the borrower to the credit
provider to enter into such an agreement which may be accepted or declined by the credit
provider at its sole discretion. The credit provider is under no obligation or duty to approve the
borrower’s application for the said loan and may decline or reject the borrower’s application for
any reason whatsoever.
4.2 Once the credit provider has approved the borrower’s application by counter signing this
agreement and making payment of the capital to the borrower on the disbursement date, by way
of cash or electronic fund transfer into the borrower’s bank account as indicated in part D, the
borrower’s offer as set out in parts A, B, C and D is accepted and a loan agreement on such terms
comes into force and effect between the borrower and the credit provider.
5. COOLING OFF PERIOD
5.1 once the agreement comes into effect, the borrower will have twenty – four (24) hours within
which to cancel the agreement.
5.2 in the event of the borrower cancelling his agreement, the borrower shall immediately repay
back the entire loan amount advanced including all relevant fees to the credit provider.
6. INTEREST RATE
6.1 Interest at the rate shown in part A will accrue on a daily basis on a reducing balance method
irrespective of the date of disbursement within the period. each calendar year consists of twelve
periods
6.2 Any capital provided to the borrower by the credit provider will be repayable to the credit
provider together with the fees, charges and interest reflected in part A of this agreement.
6.3 if the borrower is late in paying the whole or part of an instalment, the borrower will pay the
credit provider interest on the outstanding principal from when it was due at the contractual
interest rate on this agreement, weather before or after any judgement until its actual payment.
7. LOAN RESHEDULING
7.1 The borrower acknowledges that in the event of any instalment, or other payment, not being
made on its due date, the credit provider shall be entitled (without prejudice to any other rights
which the credit provider may have) to either demand repayment of the loan (inclusive of capital,
interest and other charges then outstanding) or to reschedule the loan repayments, in which event
a new schedule (part A) will be deemed to have been executed by the borrower in favor of the
credit provider.
7.2 without detracting from, and without prejudice to, the provisions of 7.1, the borrower
acknowledges that in the event of his/her loan repayments falling into arrears, the credit provider
shall be entitled (but not obliged) to cancel the existing loan and reschedule the loan repayments
due by the borrower, in which event;
7.3 The balance of the existing loan inclusive of capital, interest and any and all other amounts or
charges then owed by the borrower to the credit provider (‘’The rescheduled capital’’) will be
calculated by the credit provider.
7.4 The rescheduled capital will be deemed to have been executed by the borrower;
7.5 The rescheduled capital together with interest thereon, insurance premiums and other charges,
will be determined by the credit provider;
7.6 A schedule (part A) in accordance with the terms of this agreement will be deemed to have
been executed by the borrower;
7.7 The borrower shall repay the rescheduled capital together with interest, insurance and other
charges in accordance with the provisions of the aforesaid schedule and the terms hereof.
8. REPAYMENT
8.1 The borrower agrees to repay the amount of the loan, interest and other charges on the terms
of this agreement via a monthly instalment as shown in part A.
8.2 The first instalment payable under this agreement shall be as stipulated in part A of this
contract.
8.3 Payments received from the borrower by the lender will be applied firstly to reduce/clear
default interest, if any. Should a surplus remain thereafter, it will to reduce/clear default interest,
if any. Any surplus remaining thereafter will be applied to reduce/clear capital.
8.4 Without prejudice to the provisions of clauses 8.1 and 8.2 the credit provider may at its sole
discretion collect each instalment due under this agreement on the borrower’s salary day
(“collection day”) or at any time when funds are available in the borrower’s bank account
provided always that such collection by the credit provider does not constitute a waiver of its
rights to enforce payment of any instalment under the provisions of clauses 10.1 and 10.2 and is
an indulgence granted to the borrower by the credit provider.
9. DIRECT DEBT MANDATE (refer to ddacc form)
9.1 By signing the direct mandate, the borrower authorizes the credit provider to satisfy the
borrower’s obligations by making charge against a bank account held by the borrower. The
borrower acknowledges that the credit provider is under no obligation to obtain payment of the
borrower’s obligations solely by making a charge against a bank account held by the borrower,
and it has a right at any time to call for payment by other methods. Including without limitations
by way of deductions, from the borrower’s salary or directly from the borrower and to issue and
deliver payment instructionsto the borrower’s bank in addition to the number of payments as
stipulated above in respect of any amount that may be in arears, under the agreement including
but not limited to any arrears interest and charges that may be accrued as a result of me not
having made regular or punctual; payments of my obligations as contained in the agreement
concluded with the credit provider.
9.2 The borrower agrees that should funds not be available at the time that the direct debit is
presented to the borrower’s bank. The credit provider may continue presenting the unpaid debit
instruction for as long as it chooses to do so.
9.3 In the event of there being insufficient funds available in my bank account and to fully satisfy
my obligation to the credit provider, require my bank to collect a portion of repayment that is due,
owing and payable by me to the credit provider. The credit provider, at its discretion may
continue to represent the payment instruction to my bank until such time that my outstanding
obligation in terms of the payment instruction to my bank until such time that my outstanding
obligation in terms of the payment instruction is fully satisfied;
9.4 The borrower remains fully liable and responsible for payment of all amounts due and
payable under this agreement not withstanding any failure by the credit provider or any other
person to effect payment thereof by way of making a charge against a bank account held by the
borrower.
9.5 The borrower is responsible for all bank charges, charged by the borrower’s bank to the
borrower, for all attempts to effect this payment.
9.6 The borrower will immediately notify the credit provider if the borrower changes the bank
account, as indicated in part D, into which the borrower’s salary is paid.
9.7 The credit provider and my bank will treat the payment instruction(s) to my bank myself;
9.8 I may cancel this authority by giving the credit provider thirty (30) days’ notice, in writing,
sent by prepaid and I will remain responsible for ensuring that the instalment is paid to the credit
provider on each instalment becoming due and payable, as per authority.
9.9 I shall not be entitled to any refund of amounts, which the credit provider has deducted in
terms of this authority that was still in force and an outstanding balance owed by me to the credit
provider still existed;
10.0 I will be responsible for ensuring that the bank account nominated above does not become
inaccessible for any reason and undertake to immediately notify the credit provider in the event
of my salary not being paid into my bank account, as set out in this authority.
10.1 I indemnify my bank and hold it harmless against all costs, charge, expenses, losses and
damages, which I may suffer as a result of my bank acting in accordance with this authority. I
further indemnify my bank against any claim by a third party from the performance or non-
performance, as the case may be, in terms of this authority.
Signed at ………………………………on this ……… day of ……………. 20…….
Full name of borrower: ……………………………………………………………….
Signature of borrower: ……………………………………………………………….
Signed at ………………………… on this day of ……………. 20 …………………
Full name of credit provider representative: ………………………………………….
Signature of credit provider representative: …………………………………………….
11. EARLY SETTLEMENT
11.1 The borrower has an option of making an early statement of the loan prior to the loan
maturity date. The settlement amount is the total of the following amounts:
11.1.1 the unpaid balance of the loan at the time of termination, the unpaid interest accrued to
date and all other fees and charges payable by the borrower to the credit provider up to the
settlement date:
11.1.2 the credit provider will credit each payment made under the agreement to the borrower as
of the date of receipt of payment, as follows:
11.1.3 First, to satisfy any due or unpaid interest accrued;
11.1.4 Secondly, to satisfy any due or unpaid fees or charges; and
11.1.5 thirdly, to reduce the amount of the principal debt
12 CREDIT PROVIDER’S RIGHTS TO TERMINATE THE AGREEMENT
12.1 Where the borrower is in default, the credit provider may accelerate payment of all
outstanding payments due or payable under the agreement and / or terminate the agreement.
12.2 if an event of default occurs the credit provider may commence legal proceedings to enforce
this agreement.
12.3 An event of default will have occurred where;
12.4 The borrower fails to make payment of any amount payable under this agreement on the
due date thereof;
12.5 The borrower’s employment;
12.6 The borrower breaches any of the provisions of this agreement;
12.7 The borrower commits any act of insolvency;
12.8 The borrower dies;
12.9 The borrower provides incorrect information; or the borrower does anything to prejudice the
credit provider’s rights in terms of this agreement.
12.10 No relaxation or indulgence which the credit provider may show to the borrower shall in
any way prejudice or be deemed to be a waiver of its rights and, in particular, no acceptance by
the credit provider shall preclude or stop it from exercising any rights enjoyed by it hereunder by
reason of any subsequent payment not being made strictly on due date or by reason of any
subsequent breach by the borrower.
13. LEGAL COSTS
13.1 So far as permitted by law, the borrower agrees to repay all expenses and legal costs
incurred by the credit provider or incurred on its behalf in the recovery of any overdue payment.
13.2 In the event of default, recovery charges will be imposed and be recovered from the
borrower. Any tracing fees will be recovered from the borrower. All attorneys or debt collectors’
costs will also be recovered from the borrower as applicable on the attorney and client scale or
the tariff agreed with the debt collector.
13.3 The borrower will be liable for all collection costs including collection commission incurred
by the credit provider in respect of the enforcement of the borrower’s monetary obligation under
this agreement.
14. NON-VARIATION
No change to the agreement or any waiver of rights contained therein or any cancellation thereof
will be of force or effect unless recorded in writing and signed by or on behalf of both the credit
provider and the borrower.
15. CESSION
The credit provider has the right to transfer all its rights in terms of this agreement to third party.
Where such transfer is effected, unless instructed otherwise, the borrower must continue to pay
the original credit provider in its capacity as agent for the third party.
16. ALLOWANCES
Should the credit provider not take action against the borrower when the borrower fails to make a
payment on a due date or when the borrower fails to do anything else required by this agreement,
this does not mean that the credit provider has given up its right to take legal action or to exercise
any other right.
17 JURISDICTIONS
This agreement is governed by the laws of Zambia and the borrower agrees that the courts of
Zambia have exclusive jurisdiction to hear or deal with the any dispute that arises in connection
with this agreement.
18 ADDRESSESS (DOMICIALIA CITANDI ET EXECUTANDI) – ALL NOTICES
All notices by either party to the other must be in writing and sent by registered post or delivered
by hand to;
18.1 The credit provider is reflected in part A of this agreement:
18.2 The borrower at the borrowers chosen address as reflected in the loan application form.
Where notices are delivered by the borrower to the credit provider, a signature acknowledging
the date and fact of receipt must be obtained. The credit provider and the borrower choose the
borrower’s respective addresses.
Receipt must be obtained. The credit provider and the borrower choose the borrower’s respective
addresses.
19. WHOLE AGREEMENT
19.1 The agreement sets out the entire agreement between the borrower and the credit provider
concerning the loan and supersedes any representations, warranties, course of dealing or
agreements (written or oral) previously made between the borrower and the credit provider.
19.2 The borrower confirms and acknowledges that in entering this agreement the borrower has
not relied on any representation or statement other than those set out in this agreement.
Signed at ……………………… on this day of …………………. 20 ………….
Full name of borrower: ………………………………………………………….
Signature of borrower: ……………………………………………………………
Signed at …………………………on this ………day of………… 20 …………….
Full name of credit provider representative: ………………………………………..
Signature of credit provider Representative: ………………………………………..
Part C: payroll instruction- staff loan
10. COLLECTION FROM EMPLOYER
10.1 By signing the salary deduction consent which the credit provider has included in part C of
this agreement. The borrower has authorized the credit provider to satisfy the borrower’s
obligations by way of deductions directly.
From the borrower’s salary. The borrower acknowledges that the credit provider is under no
obligation to seek payment solely by way of deductions from the borrower’s salary and that it
has a right at any time to call for payment by other methods including without limitation by way
of making a charge against the borrower’s ban k account or directly from the borrower.
10.2 The borrower remains fully liable and responsible for payment of all amounts due and
payable under this agreement not withstandingany failure by the credit provider or any other
person to effect payment thereof by way of deduction from the borrower’s salary.
10.3 The borrower will immediately notify the credit provider if the borrower changes employer.
10.4 The credit provider may deduct all amounts outstanding from the borrower’s employment
benefits at termination resulting from, but not limited to, desertion, early retirement, normal
retirement, dismissal or medical reasons.
10.5 In pursuance of the conditions on which the loan, as reflected in part A, was granted, I
hereby irrevocably instruct the payroll department of my employer at the date of signing this
agreement, to deduct the instalment as reflected in part A of this agreement from my
remuneration until the contractual amount has been repaid in full. The instalment amount may be
varied at the request of the credit provider in the event of a general increase or decrease in the
rates applicable to the loan, or where the instalments are rescheduled as a result of default or
other arrangements. A variation as aforementioned will result in the total contractual amount
being adjusted accordingly.
10.6 I acknowledge that the loan would not have been granted to me had my employer not
concluded an agreement with the credit provider in terms whereof my employer is contractually
bound to make the aforementioned deductions. Having regard to this I further acknowledge that
the deductions made in accordance with this payroll instruction may only be discontinued when I
leave the employment or once the loan has been repaid in full or where the credit provider in
writing consents to the discontinuation thereof.
10.7 Should my employment be terminated before the loan has been repaid in full I hereby
authorize my employer to deduct the then outstanding balance of the loan from all amounts that
become payable to me as a result of the termination of my employment.
Signed at ……………………………. On this ………… day of ………………20 …….
Full name of borrower: ……………………………………………………………………..
Signature of borrower: ……………………………………………………………………..
PART D: PAYMENT INSTRUCTIONS-STAFF LOAN
Payment instruction in respect of the agreement entered into between myself “the borrower”
being the party named in part A as the Borrower and the credit provider being the party named
part A as the credit provider.
AUTHORITY AND MANDATE FOR PAYMENT INSTRUCTIONS GIVEN BY “THE
BORROWER”
THE BORROWER’S BANKING DETAILS
BANK NAME ………………………………………………………………………
BRANCH CODE …………………………………………………………………….
BRANCH NAME …………………………………………………………………….
BANK ACCOUNT NAME ……………………………………………………………
BANK ACCOUNT NUMBER ………………………………………………………..
ACCOUNT TYPE (cheque or saving or other……………………………………………………
Signed at ……………………….. on this …………. day of …………….20 ………….
Full name of borrower: …………………………………………………………………..
Signature of borrower: …………………………………………………………………..
