Chiperegano Loans

A Chiperegano Loan is a credit facility given to a group of business women who contribute to one Chiperegano investment account, to boost their communal business ventures . The name "Chiperegano" reflects the spirit of contributing together. This facility is specifically designed for micro and small business women in groups who want to save collectively and leverage their combined savings for greater financial benefits than they would achieve as individual applicants

The Chiperegano Loan allows your group to borrow up to 200 percent of your deposit . For example, if your group has saved MK100,000 in your Chiperegano investment account, you can access a loan of up to MK200,000. This generous borrowing ratio means your savings work harder for you, effectively doubling your group's access to capital for business expansion.

The interest rate for the Chiperegano Loan is calculated as the Base Rate plus a Risk-Based margin . The specific margin is determined based on your group's risk profile as assessed by the Bank. For current Base Rate information, customers are advised to contact NBS Bank directly or visit any NBS Bank Service Centre.

The primary security for the Chiperegano Loan is the Chiperegano investment account itself, with members offering mutual guarantees to support each other . This means that your group's pooled savings serve as collateral, and each member guarantees the loan obligations of fellow members. This mutual guarantee structure ensures that the group's collective savings back the loan, reducing risk for the Bank while providing members with access to credit without requiring individual property or cash collateral.

To access a Chiperegano Loan, your group must first open and maintain a Chiperegano Investment Account. This investment account requires a minimum balance of MK50,000 and has no monthly fees . Once your group has established the investment account with consistent savings, you become eligible to apply for the loan facility using your deposits as security . The loan is available at all NBS Bank Service Centres across Malawi .

The Chiperegano Loan is uniquely designed for women who save as a group, unlike standard SME loans which are available to individual business owners, partnerships, or limited companies . While the SME Loan requires marketable collateral such as real property, the Chiperegano Loan uses the group's pooled savings and mutual guarantees as security. Additionally, the borrowing limit of 200% of deposits is unique to this product, whereas other SME loans have fixed maximum amounts based on business turnover or collateral value. This structure makes the Chiperegano Loan particularly accessible to micro and small business women who may not own property or other traditional forms of collateral .