TERMS AND CONDITION FOR NHF DIASPORA LOAN

1.0 ELIGIBILITY CRITERIA FOR QUALIFICATION

The targeted Nigerians in Diaspora must meet the following;

• Applicant MUST be Nigerian Living abroad.
• Applicant must have registered with the National Housing Fund for a period not less than twelve (12) months with consistent NHF remittances.
• Applicants must be first-time beneficiaries of NHF loan.
• Applicant must be verified by Nigerians in Diaspora Commission (NiDCOM). 
• Applicants must have verifiable means of income.
• Spouse’s income can be considered as part of additional income in establishing the affordability of applicants.

2.0 PRODUCT FEATURES

• The Product will be anchored on the Bank’s robust core banking platform.
• Applicant will register through the Bank website and is required to be verified by NIDCOM.
• Monthly contribution shall be in accordance with declared income of the contributor as indicated below:

• Contributions will be made over a minimum period of twelve (12) months for premium contributors before becoming eligible to access the mortgage loan, 18 months for classic contributors and 24 months for Basic contributors in accordance with the monthly contribution as shown in the table above.
• Contributions will be in dollar denomination, while at the point of refund the cumulative dollar contribution will be converted to Naira at the prevailing Central Bank of Nigeria (CBN) rates and be paid in Naira along with the 2% interest per annum in line with the NHF Act refund policy.
• The proposed retirement age is 70 years.
• 10% Equity contribution is required from the contributor.
• The maximum loan amount will be N100,000,000.00 affordability of which shall be determined by the income limit of the beneficiary.
• The loan tenor will be a maximum of 10 years.  
• The product will attract 9% interest rate per annum, 6% to the Bank  while 3% (inclusive of 1% for Insurance) will be earned by the Primary Mortgage Bank (PMB); if an applicant is applying through a PMB.
• There will be 1% charge Insurance cover on the loan amount. The Insurance shall cover Burglary, Fire, Special perils, Permanent Disability and Death. 
• Management fee of 0.75% of the loan amount.
• Applicants are expected to apply for loans through the Primary Mortgage Banks (PMBs), especially when they are planning to purchase FMBN Non-Funded Housing Units. 
• A list of accredited PMBs by FMBN can be obtained from FMBN’s website.
• All NHF Diaspora Mortgage Loan transactions shall be booked in local currency (Naira). Also, loan repayment is in Naira.
• Advance monthly, quarterly or yearly repayment is permissible and should be indicated by the applicant at the time of application. The earlier the obligors pay, the earlier the property right will be transferred to the mortgagor.
• The obligation to contribute to the scheme remains in effect throughout the duration of the loan, including after the borrower has received the disbursement until retirement or when certified incapable due to ill health or death.

3.0 DOCUMENTATION

•  Submission of online application through FMBN core-banking application. 
• Copy of data page of the applicant’s international passport.
• Uploading of recent pay slip for 3 months and bank statement for 6 months.
• Letter from the employer stating the status of the contract.
• For self- employed a document for small business registration will be required from the country of residence of the Diasporan.
• Satisfactory credit history report from Credit Bureau e.g. credit score, evidence of previous tax payment, consistency of repayment on Credit transaction etc.
• Upload of applicants scanned passport picture.
• Applicants would provide evidence of temporary or permanent resident permit in their country of residence. 
• Confirmation of registration with the Nigerians in Diaspora Commission (NIDCOM).