Monthly interest rate = 0.18/12 = 0.015 Loan term = 12 months
False – All loans above a certain threshold require credit committee approval as per Vision Fund’s internal control policy. 4. Case Study – Client Assessment Situation: A female client runs a small grain trading business. She requests a 20,000 ETB loan. Her monthly net profit is 3,000 ETB. She has no formal collateral but has been saving 200 ETB/month in a VSLA (Village Savings and Loan Association). Monthly interest rate = 0
Based on Vision Fund’s methodology, list three key factors that would support loan approval. Monthly interest rate = 0