Public Sector Loan
CONDITION PRECEDENT DOCUMENT
The credit facility request will not be granted until Old Shoreham Microfinance Bank Limited (OSMFB) has received all of the documents and evidence (the condition precedent documents) in a form and substance satisfactory to it. The following documents are required to be submitted by each loan customer in addition to other specific requirements as may be required by OSMFB from time to time depending on the loan product.
--  Duly completed loan application form
--  Duly acknowledge and execute the offer letter.
--  Payslips covering the 3-month period preceding the loan request
--  One passport photograph
--  Government-issued identification card

General Terms and Conditions
1. Advances and repayments
a. OSMFB agrees to advance the loan, and the obligor agrees to take the loan subject to the terms and conditions as set out in the loan application form and also herein in the offer letter.
b. The obligor agrees to pay the loan (principal plus accrued interest) in accordance with the terms and conditions of this letter.
2. Interest
1.1 OSMFB will charge interest on the loan amount at the rate of 3.5% monthly for the period of the loan.
1.2 A commission fee of 3% is applicable to any amount requested, including 2,500 naira for the loan form and transfer charge. If OSMFB has to appoint a lawyer for debt recovery, an agent, and/or other consultants because the borrower has not carried out any part of this agreement, the borrower will pay for the advances and repayments to OSMFB and all the costs incurred by OSMFB.
a. The repayment installations as calculated in the dedicated repayment schedule are done on the basis of regular agreed intervals, if the due date for

repayment installments fall on a non‑business day, then the repayment installment may be paid on the next succeeding business day; adding interest may accrue in such cases.
b. OSMFB will calculate interest on the daily balance outstanding (after adjustment is made for checks in course collection).
c. OSMFB shall compound interest on the loan at such intervals as it shall solely in its discretion determine.
d. Where the obligor fails to pay OSMFB a repayment installment by the due date, OSMFB will charge an additional default interest rate at 24% per annum on the unpaid sum.
e. OSMFB will apply the default interest rate from the date on which the obligor was due to pay the sum.
f. The default interest rate:

i. Is charged by OSMFB in addition to the normal interest rate, which it charges the obligor in the same manner as that normal interest
ii. Accrues before and after any court judgement obtained against the obligor
iii. It's liquidated damages to compensate OSMFB for the additional risk and other administrative costs and expenses associated with the obligor's failure to pay the outstanding sum.
3.
Representation
and
warrants
The obligor represents and warrants that:
a. He/she has the right to accept this facility and has taken all the necessary actions to authorize the same upon the terms and conditions herein.
b. He/she is not in default under any obligations in respect of any borrowed money, and the acceptance of this facility will be or result in a breach of or default under any provision of any other agreements to which the obligor is a party.
c. The information given to OSMFB verbally or written in the formal loan application form is true and accurate.
d. He/she will use the loan for the purpose(s) he/she (her) has informed OSMFB in his/her application for the loan.
4. Events of default
The occurrence of any of the following events shall cause all outstanding amounts under this facility to become immediately due and payable:
a. The obligor fails to make a repayment or payment of principal, interest, or other amount in respect of the loan on the date it was due to be paid; or
b. The obligor breaches any of the terms and conditions of the loan, including any representation or confirmation given by the obligor in this loan.

agreement.
c. A bankruptcy petition is filed against the obligor.
d. Where the obligor is unable to pay any other party within the meaning of section 1 of the Bankruptcy Act (Cap 30), Laws of the Federation of Nigeria.
e. Where a situation arises which, in the opinion of OSMFB, makes it inappropriate for OSMFB to continue to extend the facility to the obligor.
f. Where the obligor defaults in the performance or observance of any other term, condition, or covenant herein, and such breach or default shall continue without remedy after 10 days' notice shall have been given to the obligor.
5. Costs and expenses
Public Sector Loan
a. The Obligor hereby agrees to pay all administrative costs, charges, and expenses (including legal fees) incurred by OSMFB in connection with the processing, administration, and recovery of this loan request.

b. The obligor hereby agrees to pay all costs and expenses (including legal fees) incurred by OSMFB in connection with proceedings instituted by or against OSMFB as a consequence of entering into this loan agreement.
6. Assignment and disclosure of information
a. The obligor consents irrevocably to any future transfer and assignment, however arising, of the loan, whether as part of a loan transfer scheme or otherwise.
b. The obligor authorizes OSMFB to disclose any information or documentation relating to the loan to 3rd parties, including credit reference agencies.
collection agencies, as well as the obligor's employers (where the obligor is in salaried employment) in the event the loan has ceased to be serviced by the obligor.
7.
Variation
of
Conditions
a. OSMFB Any such variation will become effective upon notice to the obligor by any means OSMFB considers reasonable in the circumstance.
8. Set off
a. OSMFB may at any time with or without notice (a) combine or consolidate some or all of the obligor accounts with it without any liability to OSMFB and

(b) set off and transfer any sum outstanding to the credit of any such account in full or partial payment of any amount the obligor owes to it.
b. This clause is in addition to and does not amend or qualify any other representation or future right of OSMFB to combine or set off any of the obligor's accounts with it.
9. Governing law
a. This loan agreement is governed by the laws, and the courts of the Federation of Nigeria have jurisdiction in any matter arising from it. 
10. Repayments
a. The obligor hereby authorized OSMFB to debit my salary from the source for my monthly repayment in accordance with repayment schedules.
b. In the event that two consecutive rentals remain unpaid, the bank reserves the right to call in the facility, and the outstanding balance on the facility shall become payable immediately.
If the above terms and conditions are acceptable to you, kindly indicate your acceptance by accepting these terms and conditions.