Designing a Housing Microfinance Loan Product. Features of the Housing Microfinance Loan Product (in Generic Manual). Outline. A Review – Best Practices & Principles Objective Framework in Lending Assessment of Policies & Procedures Loan Terms and Conditions Eligibility Criteria
Features of the Housing Microfinance Loan Product
(in Generic Manual)
4. Reduce costs of small loans
3. Facilitate enterprising poor people access to credit
When assessing whether a policy or procedure is appropriate or not, ask the following questions:
“Will the policy or procedure…..
The amount of the first loan is not necessarily tailored around what the client needs, but around what the institution is willing to risk with a borrower who offers no collateral, no reliable information, no credit history.
LOAN TERMS AND CONDITIONS
First time Borrowers:
Fees and other charges can function like interest rates in providing revenue to the banks.
Savings as a feature to attract clients to get a HMF loan.