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Churches CU has loans for new businesses

Published:Monday | May 21, 2012 | 12:00 AM

Over the years, many persons have grown frustrated with the prolonged negative economic situation in spite of having several business ideas for improving their situation. These might have resulted from a fear of taking the plunge into financial freedom because of the risks involved.

Despite the challenges, Churches Co-operative Credit Union Limited is now inviting customers to take the bold step of starting their own business. Once armed with the idea, the loan application process is quite easy and accounts can be opened at Churches with only J$1,000, the completion of all the requirements and then they can apply for a loan.

According to Sophia Richardson, manager of micro and small business loans at Churches Co-operative Credit Union Limited, the process to starting a small business can be frustrating but they can help you to eliminate the tedious process.

"The requirements are: a taxpayer registration number (TRN), a reference, an identification card and proof of address. If you don't have a business plan, we will help you to put it on paper. We even send out field officers to help make a better assessment that can help you to make a more uniformed decision on your loan requirement," Richardson said.

Richardson said first-time borrowers can qualify for a loan of up to $100,000. However, this is also dependent on the business and financial turnover. Once the loan is approved, an interest rate of four per cent on the reducing balance is charged. The turn-around time for the microloan is five to seven working days.


"You just have to be confident in what you are doing. We have put aside a tranche for small business loans and we need more people to access these funds. Persons need to empower themselves and get out of this economic situation. All we ask is that you stick to the business and repay the loans," Richardson said.

There are three types of micro and small business loans offered at Churches Co-operative Credit Union Limited including the Unsecured Express Business Loans for individuals, Secured Quick Line Business Loans for individuals and the Combo Business Loans for groups. These loans are covered by two insurance policies to reduce the risk in lending.