In this article, we will look at the different types of loans that Equity Bank offers to its customers.
Today, it is effortless to secure loans from any Bank. Equity Bank Kenya is not an exception as one can obtain all types of loans without going through a long process.
In addition to discussing the different types, we will look at the interest rates that each loan attracts as well as essential requirements to meet to secure a given loan.
Equity Bank Kenya has the most extensive customer base. It is one of the pioneer banks that revolutionized the banking industry. For instance, before, one had to open a bank account and pay and deposit a minimum balance of not less than KES 1000.
However, with Equity bank, there is no minimum balance required to keep your savings account active.
We have previously written on Equity Bank Loans. You may want to check out the article.
Types of Equity Bank Loans
Over the years, Equity bank has continued to offer world-class services to all its customers regardless of their social rankings. It is only normal that the types of loans it provides to be reflective of their target customers.
All Equity bank loans are subdivided based on targeted individuals. Therefore, the various types of loans offered at Equity bank are as follows.
The personal loans offered by Equity bank to its customers are more than just loans. You get the opportunity to get first-class advice on how to invest your borrowed funds to change your life. Some of the loans offered under this category include:
- EquiLoan – Loan offered to the salaried who want to grow their side hustles. The great news is that as long as your company has a Mou with Equity, you are eligible to borrow. You can borrow as much as you can pay within 72 months. The current interest rate charged is at 13%.
- Salary Advance – There are times that an emergency comes up that needs to be addressed immediately. This type of loan by Equity Bank Kenya can be up to KES 300,000 paid for 12 months. This loan is insured against disability or death and therefore sets itself apart from what other banks offer. Moreover, it is also unsecured.
- Eazzy Loan – this type of loan by equity bank is the most accessible loan to borrow. All you need is your equity line or Eazzy app from google play store, and you will be on your way of borrowing up to KES 3000,000. Just dial *247# to access this instant loan.
- Asset Finance – Here is a loan to help you buy the sweet ride you have meant to acquire. Whether you want the trip to start an uber or just for personal use, Equity Bank Kenya got you.
2. Small and Medium enterprises Loans / Corporate
Small businesses are the cornerstone of Equity Bank operations. As a result, there are various subcategories of loans offered under this type of loan by Equity Bank, Kenya.
- Trade Finance – This loan facility places the World at your fingertips. Enabling you to trade in goods and services from all over the World. Whether you need LPO financing, Pre-shipment financing, invoice discounting, or even import-export collections, you will find all of them under this loan facility.
- Construction Loan – if your business was considering commercial building premises, this loan helps you fulfill your dream. The repayment period is 20 years for residential property and ten years for commercial property.
- Development loans – for small businesses that are considering expansion and growth, then here is a loan for you. All you need to do is demonstrate that you have a source of income to repay the loan.
- Mortgage finance – an Equity Bank Loan to help you purchase a real estate property.
3. Chama/Group Loans
If you are part of a Chama or group and were wondering which banks could lend your group money, Equity Bank Kenya is here for that.
- Micro Business Loans – this loan is targeted to youth groups with members between the age of (18 years and 35 years). This facility offers new markets to the group, savings as well as financing opportunity.
- Water loan – ensure your wells don’t run dry. You can use this loan to construct boreholes as a group, purchase tanks as well as water connection. A group enjoys 100% financing for their water project.
- Asset Financing- If your group needs to purchase an asset or equipment, here is the loan developed just for you.
4. AgriBusiness Loan
Farmers need financing too, and Equity bank Kenya offers the best solutions. This type of Equity Bank Kenya Loans is specifically designed to alleviate the pains that farmers have to go through.
- Kilimo Biashara Loan – Loans for small scale farmers to facilitate them in buying farm inputs such as seeds, fertilizers, chemicals, labor costs, and machines
- Commercial Agricultural Loan – Large scale farmers are the targeted audience for this loan. With this loan, a farmer van purchases additional land, machinery, construction of biogas plant, among other things.
- Farm Input Loan – specially made for farmers with monthly remittance accounts with equity bank. One can borrow between KES 5,000 and KES 200,000.
- Kilimo Maendeleo Loan – This loan is for helping farmers construct farmhouses, biogas plants, or even Zero grazing yards. Its repayment period is 24 months, and a farmer can borrow up to KES 1,000,000.
5. Diaspora Loan
If you are a Kenyan living in another country, Equity Bank has just the right type of loan for you. Diaspora loan will help you secure a mortgage, buy a piece of land, or even purchase an asset. The good news is that you have access to acquire this loan online.
Conclusion on Types of Equity Bank Kenya Loans
Equity Bank Kenya has the most diversified portfolio of loans when compared to other banks such as the Consolidated Bank of Kenya.
Moreover, the repayment periods by Equity Bank are also slightly flexible. However, it is always a good practice to research various banks and the types of loans they offer before settling on one.
Ps. The president announced yesterday that the Central Bank of Kenya’s borrowing rate had been reduced to 7.25%. This directly implies that banks may soon be reviewing their lending rates. It might be a good time to borrow once this happens.