TERMS AND CONDITIONS
1. A loan is considered in default if the borrower does not settle it on the due date. Where a default occurs under this agreement the Lender shall extend to the Borrower, a 7 day grace period within which to settle their obligation in full. Failure to pay the loan in full during the grace period shall attract a penalty of K500. In the event that the borrower still fails to settle their loan and the penalty, the lender shall be at liberty to commence legal proceedings against the borrower for the penalty, the loan amount(s) plus interest and legal costs as shall be determined by the Courts.
2. Alternatively, the Borrower shall transfer title of pledged movable or immovable property, as shall be agreed by the parties, equivalent to the value of the loaned amount, plus interest and any other incidental costs, provided that the collateral pledged is acceptable to the lender.
3. By signing this loan agreement an Employee agrees that to the best of their knowledge and belief they are not under disciplinary proceedings with their employer that may cause their contract to be terminated before they complete repaying the loan.
4. Where an employee’s contract is terminated whilst they have a loan with MKAM Services, the principle loan together with agreed interest will become due at once and will be repaid from their separation package.
5. Loan recipients are to produce their contracts of employment for scrutiny as they are applying for a loan.