SALARY ADVANCE LOAN

Definitions

Salary Advance Loan refers to a short-term loan issued by Phiri, typically repaid from the borrower's next salary or wages.
Borrower refers to the employee applying for the salary advance loan.
Employer refers to the company wherewith the borrower is employed by.
Lender refers to Phiri or any of its authorized representatives.
Salary refers to the borrower's regular income from employment.
Loan Amount refers to the specific sum borrowed by the borrower.
Repayment Date refers to the date on which the loan, along with any applicable fees and interest, must be fully repaid.
Tenure refers to the duration of the loan also referred to as the number of pay days.

Eligibility Criteria

The borrower must be an employee with a valid employment contract.
The borrower must have a net monthly income above a threshold of K833 as net pay.
The borrower must be over 18 years of age and hold a valid Zambian National ID or work permit if a foreigner.
The borrower must have been employed with their current employer for a minimum of 4 months.
Salary must be paid directly into the borrower's designated bank account, and this account must be used for loan disbursement and repayment.

Loan Application Process

Loan applications are to be made via Phiri's online platform, mobile app, or in person at any authorized office.
Applicants must submit proof of employment, salary slips for the past three months, and a valid ID.
Approval or rejection of the loan application is at the sole discretion of Phiri. The decision will be communicated within 24 hours of application.
Phiri reserves the right to verify all information provided during the application process.

Loan Amount

The minimum approvable loan amount is K500 and the maximum is K4,000.
The loan amount granted will be a percentage of the borrower's net salary, typically up to 60% of their net salary if it is found that 60% of their net salary is less than K4,000.

Interest Rate and Fees

The base interest rate for the salary advance loan is 25%.
A processing fee of 5% of the loan amount will be deducted before disbursement.
In the event of early repayment, no prepayment penalty will be applied.

Repayment Terms

The minimum tenure is one (1) month and the maximum is three (4) months.
Repayment of the loan will be automatically deducted from the borrower's salary on the repayment date.
The loan is to be repaid in full within one month or on the borrower’s next salary payment date, whichever comes first.
If the borrower leaves their employment or does not receive their salary on the expected repayment date, they must notify Phiri immediately and agree on alternative repayment arrangements.

Late Repayment Penalties

In the event that the borrower’s salary is insufcient to cover the loan repayment or if repayment is not made on the due date, a late payment fee of 3% daily of the principle amount will be charged for 2 days after the grace period.
The grace period will be 2 days after pay day due to inter-banking policies.
Failing to settle your outstanding balance within 3 days after the grace period will be considered a default and may result in legal action and adverse credit reporting.

Borrower’s Responsibilities

The borrower is responsible for ensuring that sufficient funds are available in their account for repayment on the due date.
The borrower and their employer must inform Phiri immediately if there are any changes to the borrower’s employment status, salary, or other circumstances that may affect their ability to repay the loan.
The borrower must repay the loan regardless of any other financial obligations.

Early Repayment

The borrower can repay the loan early without incurring any additional fees.
Any early repayments will increase the credit score with Phiri.

Loan Disbursement

Upon approval, the loan will be disbursed into the borrower’s bank account within 48 business hours.
Phiri reserves the right to delay disbursement in case of incomplete documentation or if further verification is required.

Data Privacy

Phiri will collect and use the borrower’s personal information only for the purposes of processing the loan application and managing the loan account.
All personal data will be stored securely and will not be shared with third parties without the borrower’s consent, except as required by law.

Amendments

Phiri reserves the right to amend these terms and conditions at any time, with changes being communicated via email, SMS, or any other agreed method.

Governing Law

These terms and conditions are governed by and construed in accordance with the laws of Zambia.
Any disputes arising out of or in connection with these terms and conditions shall be subject to the jurisdiction of the Zambian courts.

PERSONAL LOAN

Loan Agreement Overview

These terms and conditions outline the agreement between Phiri (hereinafter referred to as "the Lender") and the applicant (hereinafter referred to as "the Borrower") concerning the provision of personal loans.

Loan Agreement

Loan Amount: The amount approved and disbursed to the Borrower will be as per the application, subject to the Lender's approval process.
Purpose of Loan: This personal loan is intended for personal, education, medical, home improvement, etc. purposes. The Borrower warrants that the loan will not be used for illegal or speculative activities.
Loan Tenure: The loan must be repaid within the tenure indicated on the loan application form, starting from the disbursement date.
Disbursement: The loan will be disbursed to the Borrower's designated account indicated on the loan application form upon approval.

Interest and Fees

Interest Rate: The loan shall bear a base interest rate of 25%, calculated on a monthly/reducing balance basis.
Processing Fees: A non-refundable processing fee of 5% of the loan amount will be deducted from the loan at disbursement.
Late Payment Fees: A late payment penalty of 3% of the overdue amount will be applied for each day for 3 days of delayed repayment.
Other Fees: Additional charges, including administrative fees, insurance fees, etc., may apply as specified at the time of loan approval.

Repayment Terms

Repayment Schedule: The Borrower agrees to repay the loan in monthly installments as per the repayment schedule provided by the Borrower in the loan application form according to the loan tenure.
Mode of Payment: Repayments will be made through bank transfer, mobile money, etc. to the designated account provided by the Lender.
Early Repayment: The Borrower may repay the loan in full before the due date without any prepayment penalties.
Missed Payments: If the Borrower fails to make payments within the stipulated timeframe, penalties as outlined in clause 2.3 will apply.

Loan Default

Default Definition: The Borrower is considered in default if any payment remains unpaid for 3 days after the due date.
Consequences of Default: In the event of default:
- The Lender may demand full repayment of the outstanding loan balance, interest, and penalties.
- The Borrower’s credit rating may be negatively affected.
- The Lender reserves the right to take legal action or engage a third-party debt collection agency.

Collateral

Secured/Unsecured Loan: This loan is secured by the collateral provided by the Borrower.
Collateral Terms: The Borrower agrees to pledge the specified collateral. In the event of default, the Lender reserves the right to seize the collateral.

Borrower Obligations

The Borrower must provide accurate and complete information in the loan application.
The Borrower agrees to use the loan for the specified purpose only.
The Borrower must notify the Lender of any changes in their financial situation that may affect their ability to repay the loan.

Lender Rights and Obligations

The Lender reserves the right to approve, reject, or modify loan applications based on its credit assessment policies.
The Lender will provide the Borrower with a clear repayment schedule, including details of the principal, interest, and total repayment amounts.
The Lender will ensure that all Borrower data is handled according to applicable data privacy laws.

Data Protection and Privacy

Collection of Data: The Borrower agrees that personal data, including financial information, may be collected for the purposes of evaluating and processing the loan application.
Usage of Data: The Lender will only use Borrower data for loan processing, management, and regulatory reporting.
Data Sharing: The Borrower consents to the sharing of their personal and loan data with credit reference bureaus, regulatory authorities, or third-party service providers as necessary.

Amendments and Variations

The Lender reserves the right to amend these Ts & Cs from time to time, and such amendments will be communicated to the Borrower via email/SMS/etc.
Any changes to the Ts & Cs will not apply retroactively to existing loans unless legally required.

Governing Law and Jurisdiction

These Ts & Cs shall be governed by the laws of Zambia.
In the event of a dispute, both parties agree to submit to the exclusive jurisdiction of the courts of Zambia.

WOMEN ENTREPRENEURS & BUSINESS LOANS

Loan Agreement Overview

These terms and conditions outline the agreement between Phiri (hereinafter referred to as "the Lender") and the applicant business or entity (hereinafter referred to as "the Borrower") concerning the provision of business loans.

Loan Eligibility

Borrowers must be registered businesses operating within Zambia.
Minimum operating period: The Borrower must have been operational for a minimum of twelve months prior to application.
Documentation required:
- Certificate of Incorporation
- ZRA Tax Clearance
- Bank Statements (Latest 6 -12 Months)
- Copies of NRCs for Directors
- Company Profile
- Sales Records
- Profit & Loss Statements

Loan Amounts and Purpose

Loan amounts: Minimum loan amount is ZMW 500; maximum loan amount is subject to the Borrower's repayment capacity as assessed by the Lender but does not exceed K50,000.
Loan usage: Loan funds must be used solely for business-related purposes, including but not limited to working capital, asset purchase, expansion, and operational expenses.
The Lender reserves the right to request additional documentation or information to verify the loan’s intended use.

Loan Tenure and Repayment Terms

Loan tenure: Business loans are offered with flexible repayment terms ranging from 1 month to 12 months, depending on the loan amount and the Borrower’s financial capacity.
Repayment frequency: Repayment can be structured as weekly, biweekly, or monthly installments, based on the agreement.
Prepayment: The Borrower may repay the loan in full or in part before the due date without any penalty.

Interest Rates and Fees

Interest rates: Interest rates will be determined based on the Borrower's creditworthiness, loan amount, and market conditions. The base rates are 17% and 20% for Women Entreprenuers and Business Loans respectively on a reducing balance basis.
Processing fees: A non-refundable processing fee of 5% of the loan amount will be charged upfront and deducted from the loan disbursement.
Late payment fees: A late payment fee of 3% of the missed installment will be charged for every day the payment is delayed beyond the due date for three (3) days.
Early settlement fees: No penalties are applied for early settlement.

Loan Disbursement

Loan disbursement will be made within 72 hours after all documentation is verified, and the loan agreement is signed.
Funds will be disbursed directly into the Borrower's designated business account.
The Lender reserves the right to withhold or delay disbursement if there are issues with compliance, verification, or documentation.

Collateral and Security

Loans exceeding ZMW 500 may require collateral in the form of assets (property, vehicles, or equipment), which must be clearly identified and valued.
Phiri will carry out independent valuation of the collateral, and the Borrower is responsible for all associated costs.
Collateral may be liquidated by the Lender in the event of nonpayment or default, after the Borrower has been given notice in accordance with the law.

Loan Monitoring and Usage Reporting

Phiri reserves the right to monitor the usage of the loan and request periodic financial statements or business performance updates.
The Borrower is required to notify the Lender of any significant changes in business operations, ownership, or financial status during the loan term.

Default and Recovery

A loan is considered in default if any installment remains unpaid for more than 7 days after the due date.
In the event of default, the following actions may be taken by the Lender:
- Immediate demand for full repayment of the outstanding loan amount.
- Initiation of legal proceedings or asset recovery processes to claim collateral (if applicable).
- Reporting the default to credit reference bureaus, impacting the Borrower's credit rating.

Rights and Obligations of the Borrower

The Borrower must provide accurate and up-to-date information at all times.
The Borrower is obligated to use the loan for its stated purpose and make timely payments as per the agreed repayment schedule.
The Borrower must notify Phiri immediately in case of any difficulty in making repayments or changes in financial status.

Rights and Obligations of the Lender

The Lender reserves the right to review and change the interest rate based on market conditions, with notice given to the Borrower.
The Lender may request additional documentation or information throughout the loan period.
The Lender is obligated to treat all Borrower information confidentially and in accordance with applicable data protection laws.

Termination of Agreement

The loan agreement may be terminated under the following circumstances:
- Full repayment of the loan amount.
- The Lender exercising its right to demand full repayment upon default by the Borrower.
- By mutual agreement between the Borrower and the Lender, provided all terms are met.

Governing Law

This agreement is governed by the laws of Zambia. Any disputes arising from this agreement shall be subject to the jurisdiction of Zambian courts.

Amendments to Terms and Conditions

Phiri reserves the right to amend these terms and conditions at any time. Notice of any changes will be communicated to the Borrower, and the revised terms will take effect 30 days from the notice date.


Loan Fee:	K25.00
Disbursed Amount:	K475.00
Monthly Payment:	K600.00
Repayment Date:	21 September 2025

Loan Fee:

K25.00

Disbursed Amount:

K475.00

Monthly Payment:

K600.00

Repayment Date:

21 September 2025

why trust phiri for business?

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Upto 12 months repayments.

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Loan approved within 72 hours.

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what you need know to qualify for phiri's business loans.

Business must have been in existance for at least 1 years

Worthy asset or cash held in a fixed deposit can be used as security.

Upto K100,0000 with 12 months repayment period

At least K200,000 in annual sales

Phiri is devoted to upholding the highest standards of business integrity, ethical values, and governance. We invite our customers to share feedback and report any complaints or instances of fraud. PLEASE NOTE: Phiri will never issue loan that you have not applied for. If you receive such an offer, report the fraud here.

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