How to Borrow Money from Wema Bank in Nigeria: A Step-by-Step Guide

Learning how to borrow money from Wema Bank in Nigeria is essential for financial emergencies.

Wema Bank is one of the most respected financial institutions in Nigeria, and it offers many loan products suitable for personal and business purposes.

This Bank has several easily available, flexible options, such as personal loans, salary advances, business financing and auto loans.

This article outlines the necessary steps to borrow money from Wema Bank in Nigeria, including checking one’s eligibility status, preparing needed documents within their specifications, and managing repayments effectively.

Why Wema Bank for your Loans?

Borrowing from Wema Bank offers several advantages, including:

1. Flexible Loan Options

Wema Bank provides a variety of loan products to meet different financial needs.

2. Competitive Interest Rates

The bank offers competitive interest rates compared to other financial institutions.

3. Quick Processing

Wema Bank’s loan processing is designed to be efficient, with quick approval and disbursement times.

4. Customer Support

The bank offers robust customer support to assist you throughout the borrowing process.

5. Online and Mobile Banking

This makes for convenience in accessing stress-free loan management

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What Loans Does Wema Bank Provide?

Selecting a loan that meets your specifications and necessities is one of the most important aspects in borrowing.

In general, Wema Bank provides comprehensive information about its products, such as eligibility, interest rates and repayment terms.

There is an overview of various categories of loans offered below:

ALAT Loans

The Alat Loans is a category of loans accessed through Wema Bank’s Alat App.

A fully digital banking platform, ALAT by Wema, enables you to carry out all your banking transactions from home without visiting any bank branch.

The following are examples of loans available at this place:

1. Alat PayDay Loan

An Alat PayDay loan is an option for salaried individuals to quickly access funds using a mobile device or computer. It is designed to meet short-term financial needs.

To be able to get the Alat PayDay, you must have an account with WEMA bank.

The maximum amount that can be obtained from this product is N500,000, and the repayment period for the Alat PayDay loan is 30 days.

You would also need to have the following:

• Your Bank Verification Number(BVN)
• Your Email address and phone number
• A Six months’ salary statement of account, which should be uploaded in PDF format. This is for customers who do not have a Wema bank account as their salary account.
• Captured Residential Address with proof of utility bill
• Picture of recent & valid government-issued Identity card (Driver’s license, National ID, International Passport, or Voter’s card)
• Signature of Applicant
• Selfie of Applicant

The repayment interest for this loan are an Interest rate of 25% per annum, a management fee of 1%, and an Insurance fee of 0.5%.

The key benefits of the Alat Pay Day loan include its disbursement within 48 hours, its accessibility to all salaried individuals irrespective of their company, and the fact that you do not need collateral for this loan.

2. Alat Salary Loans:

An Alat Salary loan is also available for salaried individuals whose companies are enlisted with Wema Bank. This loan allows users to access funds quickly using a mobile device or computer.

Additionally, it encompasses both immediate as well as future expenditures.

N50,000 is the minimum amount of money anybody would benefit from using this loan option, while N4,000,000 is the upper limit. The maximum repayment period for the Alat Salary Loan is 2 years.

The necessary documents required to get this loan include the following:

• BVN Number
• Email address and phone number
• Proof of employment/ Picture of work ID
• Six months’ salary statement of account to be uploaded in PDF format
• Captured Residential Address with proof of utility bill.
• Picture of recent & valid government-issued identity card (National Identity card, voter’s card, international passport). 
• Signature of Applicant
• Selfie of Applicant

The interest rates for the Alat Salary Loan are as listed below:

• For salary-domiciled accounts with less than 12 months – 25%
• For salary-domiciled accounts with more than 12 months – 27%
• For salary not domiciled accounts with less than 12 months – 26%
• For salary not domiciled accounts with more than 12 months – 30%

 Note that a fee of N1000 is also usually charged by a third party for bank statement service.

The key benefits of the Alat Salary Loan include the disbursement of the loan within 48 hours and its accessibility to salaried individuals whose companies are enlisted with the bank, regardless of where they have their salary accounts. Also, it does not require a collateral

3. Device Loans

It involves financial support directed towards people who want to buy and utilize expensive mobile phones, tablets, laptops, inverters, solar panels, inverter batteries, and data bundles.

This type of loan is accessible to individuals working continuously to generate income or have saved enough money, such as Wema Bank employees.

No security is required to obtain it.

Additionally, one needs an account at Wema Bank for such a type of loan. The Amount of time allocated for repaying the Device loan is 2 years. Basically, you can borrow between N50000 and N1500000.

To access the Device loan, you will need the following documents:

• Loan Application Form
• Executed Offer Letter (embedded in
• the loan form)
• Valid means of ID – Staff and Govt issued
• Last six months’ bank statement
• Satisfactory KYC verification report
• Proforma Invoice from pre-approved vendor

This loan kind has an interest rate of 25% per annum, (5% P.A for staff), a management fee of 1% and an insurance fee of 0.75%

4. Goal Based Loans

A goal-based loan is a finance option for individuals who have created and sustained a savings goal on the Alat app.

Nigerians above 18 who have created a savings goal on the Alat App are eligible for this Loan. You get up to 80% of your goal savings.

You pay back this loan at your convenience or when you liquidate your savings.

Other kinds of Loans available from Wema bank are:

5. Wema Asset Acquisition Scheme

The Wema Asset Acquisition Scheme (WAAS) offers options to individuals looking to purchase and use new mid-sized generators, new vehicles, imported used vehicles, and pre-owned cars of their preference.

Eligible for this loan are formally employed staff of companies/employers acceptable to Wema Bank, self-employed individuals with a steady income from their business, and Groups of salary earners under an association.

The repayment period for WAAS is up to 36 months and 48 months for new vehicles.

The following are the documents required for the WAAS scheme:

• Completed Application Form
• Letter of Introduction
• Valid Means of Identification
• Last 3 months’ pay slip
• Last 12 months’ Bank Statement*
• Residential Utility Bill
• Customer Visitation Form
• Pro Forma Invoice in the bank name only

For self-employed individuals:

• Company Profile
• Incorporation Documents

The interest rate and additional charges for the Wema Assets Acquisition Scheme are as follows

• Interest rate: 26% per annum
• Management fee: 1% 
• 27% p.a for tenure above 12 months
• 20% equity where the vehicle is 5 years old and 
• 30% if older than 5 years

6. School Fees Advance

A School Fees Advance is a loan that allows guardians and parents to have money when they are due to pay their fees.

This institution has set an N50,000 minimum loanable amount and an N3 million maximum loanable limit. You must have an account with WEMA to access the school fees advance.

Option and the maximum number of children that can be applied for is 4. The tenure for repayment of this product is 12 months.

The documents required for the school fees advance loan product are:

• Completed School Fees Advance Application Form
• Letter of introduction from the employer: to determine the employment status of the parent/guardian
• An irrevocable letter of domiciliation from the employer(letter indicating that the employee’s salary account would not change). This ensures that the parent/guardian’s salary will remain with Wema Bank until the advance is liquidated.
• Invoice of School Fees of the child to determine the actual amount required
• Proof of identity of Applicant (Driver’s license, National ID, International Passport, or Voter’s card). Employee ID card is not sufficient.
• Proof of address (utility bill)
• Last three month’s pay slips.
• Six months’ salary statement of account (for customers whose salary accounts cannot be or are not with Wema Bank)

7. Pharma Loans

This loan is designed to provide working capital for pharmacy store owners. It is open to retail and commercial pharmacies that have been in operation for at least one year.

Under this Loan scheme, the highest sum that can be accessed is N10,000,000 while the least amount is N100,000.

Below are the charges and rates of interest on this loan:

• Interest rate: 24% per annum
• Advisory fee: 2%
• Management fee: 2%
• Insurance fee: 1%

8. Medi-Support loan

All licensed private hospitals, clinics and diagnostic centers can access the Medi-Support loan.

It is meant to provide short-term working capital requirement for private hospitals, clinics and diagnostic laboratories.

N5 million is available for customers who want to finance their medical business activities. It has a maximum tenor of 12 months. 

The interest rates and additional fees include the following:

• Interest Rate: 22% P.A
• Advisory: 2%
• Management fees: 2%
• Insurance: 1%

9. NYSC Loan

The National Youth Service Corps (NYSC) loan aims to offer capital for businesses undertaken by corps members on national service.

The highest amount that can be borrowed for this loan facility is N100,000 while the lowest amount that can be loaned is N20.000.

Tenure of 10 months is the highest one could receive from this facility. The loan attracts an interest rate of 19% per annum and a management fee of 1%.

A borrower should provide these documents when applying for the NYSC loan:

• NYSC Identification Card
• Copy of call-up letter
• Copy of posting letter

10. Business Loans

Tailored for entrepreneurs and business owners, these loans help in expanding business operations, purchasing equipment, or managing cash flow. Collateral might be required for business loans.

11. Overdraft Facilities

This type of loan provides a temporary extension of credit, allowing account holders to withdraw more than their account balance up to an approved limit.

12. Auto Loans

Designed for individuals looking to purchase a vehicle. The car itself often serves as collateral for the loan.

13. Home Loans:

For purchasing, building, or renovating a home. These loans are secured by the property being financed.

These are just a few of the Kinds of Loan option provided by Wema Bank. For more information on more loan options, their interest rates, tenure, amount and requirements, ensure to visit the Wema website wemabank.com.

Read also: 40 Hidden Business Opportunities Untapped In Nigeria (Low Capital Needed)

What are the Wema Bank Eligibility Criteria for Borrowing Money?

Upon scrutinizing the particulars and conditions of your preferred loan option, you would discover that the following generally qualifies one for a loan.

A. Good Credit Score

To ascertain your repayment ability, Wema Bank will assess your credit history

B. Verified Income

Personal and salary loans require proof of income like recent pay slips or bank statements as well as tax returns among others.

C. Employment Status

Depending on the kind of borrowing arrangement made, Wema Bank might request stable job or business operation proof.

D. Collateral

For those secured loans (Loans that need to be accompanied by collateral) like home or auto loans, collateral has to be provided which will be evaluated by Wema Bank.

E. Age and Residency:

You must be Nigerian citizen or resident with valid identification documents. The age factor depends on the loan type.

F. Debt-to-Income Ratio

Wema Bank assesses your existing debt obligations compared to your income to ensure you can handle additional debt.

What are the documents required to borrow money from Wema Bank in Nigeria?

Here’s a list of commonly required documents to borrow money from Wema bank:

1. Means of Identification

This is an ID card issued by the government like a national passport, driver’s licence or voters card.

2. Proof of Address

Documents like utility bills, bank statements or tenancy agreements that reveal your current location

3. Proof of Income

This can be in the form of recent pay slips, bank statements or tax returns. In case of business loans you will need to bring in financial statements of your enterprise as well

4. Employment Verification

An employment letter or a certificate of employment from your employer.

5. Collateral Documents

To secure the loan, certain documentation related to the security is also required such as car registration for auto loans and title deeds for housing finance.

All these papers must be updated to match with what’s going on in your life financially.

Read also: Where to Get Urgent Cash Loan Without Documents in Nigeria

How to Borrow Money from Wema Bank in Nigeria

Once you have made up your mind on which loan you want to apply for and gathered your document, you may go ahead to start applying for a loan.

Here’s a step-by-step guide:

1. Visit the Bank

Every time someone wants to procure a loan from Wema Bank, he or she has to walk into any branch near him/her. It is at this point that one meets with a loan officer who will explain everything about their loans including the procedures involved when applying for such kind of facility.

2. Online Application

Wema Bank also offers online loan applications through its website. Visit Wema bank’s official website and navigate to the loan application section.

3. Fill Out the Application Form

Personal details must be provided among other things such as loan amount required and purpose of requesting such financial assistance.

4. Submit Your Documents

The essential documentation referred in forms must be attached. If you would prefer applying your loan online, you may need to upload your scanned copies as documents.

5. Wait for Application Review

Wema Bank will review your application and documents. This process includes credit checks and verification of your financial status.

6. Approval and Offer

If Wema bank approves your application, you will get a loan offer which outlines the terms and conditions.

7. Accepting the Loan Offer

After receiving your loan offer, you may take the following steps:

A. Review the Terms

Carefully read through the loan offer, including the interest rate, repayment schedule, fees, and any other terms and conditions.

C. Ask Questions

If you have any questions or concerns about the offer, reach out to your loan officer for clarification.

D. Accept the Offer

If you agree with the terms, formally accept the loan offer by signing the loan agreement. Ensure that you keep a copy of the agreement for your records.

8. Receive Disbursement of the Loan Amount

Once you’ve accepted the loan offer, Wema Bank will process the disbursement.

The loan amount will be credited to your Wema Bank account or transferred to your specified bank account, depending on the loan type.

You will also receive a confirmation of the loan disbursement, including details of the amount and disbursement date.

You may now access the funds as needed for the purpose specified in your loan application.

How to Borrow Money from Wema Bank in Nigeria Via USSD Code

The Wema Bank USSD code for loans in Nigeria is *945*65#.Once you dial this code, you may follow the prompts as seen to apply for your desired loan.

How to Open a Wema Bank Account

To Open a Wema bank account you should first download ALAT by WEMA.

All you need to do is install ALAT from the Apple App Store or the Google Play Store, open the app and sign up or open an account with your Bank Verification Number and a valid phone number.

How to Manage Your Wema Bank Loan Status

Proper handling of your loan is important so that you do not get penalized or ruin your credit score. The following are steps to manage your loan well.

A. Keep Track of Your Loan

Use the online banking platform for Wema Bank or Mobile App to keep track of your loan balance, payment date and transaction history.

B. Set Repayment Alerts

To avoid missing payments, set up reminders or alerts for due dates.

C. Make Payments On Time

Follow the repayment schedule and pay before due dates in order to prevent late charges and negative effects on credit rating.

D. Repayment Channels

You can make loan payments through Wema Bank’s branches, online banking, or mobile banking app.

E. Early Repayment

If you have an option to repay the loan sooner than planned check with Wema Bank for any early repayment options or penalties.

How to Handle Issues Encountered while Borrowing Money from Wema bank

If you encounter any issues or disputes regarding your loan, follow these steps:

1. Contact Customer Service

Contact Wema Bank’s customer service through phone, mail address, or physically at a branch. Provide details of your issue or dispute.

2. Document Your Communication

Document every communication you may have with the bank. These may include emails, letters, and phone call details.

3. Seek Resolution

Work with the bank to resolve the issue. In case it is needed, refer the problem to someone greater in rank within banks.

4. Regulatory Bodies

Should Wema Bank fail in addressing your complaint sufficiently then seek for assistance from regulatory bodies like Central Bank of Nigeria (CBN) or Consumer Protection Council (CPC).

Understanding Wema Bank’s Policies

In order to ensure a smooth borrowing experience, you must familiarize yourself with Wema Bank’s policies:

A. Interest Rates

Understand the interest rates applicable to your loan. Wema Bank provides transparent information about their rates.

B. Charges and Fees

Know about all other extra costs that might come with your loan, including those for processing the application, making late payments, or paying debts in advance.

C. Privacy and Security

Review Wema Bank’s privacy policy to understand how your personal and financial information is protected.

D. Loan Limits

Know the minimum and maximum loan amounts available and the criteria for approval based on your financial profile.

FAQs

Conclusion

Wema Bank in Nigeria processes loan requests in an orderly way, which is also efficient towards addressing different people’s financial needs.

You can apply for loans you want by assessing your eligibility rating, preparing specifically designed documents, and following the step-by-step application guide until your application is officially approved.

It is as important to observe Wema Bank’s policies when handling loans if one wants their borrowing experience to be a good one.

In terms of personal, business, or secured lending options, Wema Bank provides a wide choice and a clear focus on customer satisfaction, making it an all-time preferred financial partner.

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References

• wemabank.com – FAQ for Asset Products
• wemabank.com – FAQ for Alat

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