OUR LENDING METHODOLOGY

SOCIAL APPRAISAL

Case officers carry out a SOCIAL APPRAISAL of the applicant (market and reference check). That case officer pays several visits to borrower’s neighborhood and place of work to verify the information provided in the application form and inquire about his/her reputation and credibility.

FIRST MEETING

The FIRST MEETING is held at the applicant’s home along with his/her peers. We verify their application information a second time and obtain additional information to complete the case.

BUSINESS ANALYSIS

The case officer Analyzes the Business model and the borrower’s assumptions for Return-On-Investment to assess whether the model is accurate or if there is any further room for improvement. He or she will provide necessary guidance to the applicant in their next meeting. 

SECOND MEETING

Conducted by Branch Manager with 3 borrowers, along with their families. The branch manager conveys the borrowers’ moral obligation to pay off the loan so that this cycle of helping the needy doesn’t stop. This meeting usually takes place in a religious center to reinforce the sense of responsibility of taking the borrower’s word as collateral in such a scared setting.

LOAN RECOMMENDATION COMMITTEE

A team of branch and case managers review and assess cases from different regions to avoid any notion of favoritism or discrimination.

LOAN APPROVAL COMMITTEE

Area managers discuss the fundamentals of a case with its respective officer and grant loan approval accordingly.

INSURANCE

After approval, the borrower is offered Islamic insurance on the total loan. This is optional for the borrower and, if selected, lifts the loan liability from the borrower or, in case of their death, their family.

DISBURSEMENT

Loans are usually disbursed collectively to a batch of borrowers. We again provide borrowers with social guidance and remind them of their moral obligation to pay the loan back so that we can continue to help others.​

MONITORING

Case officers monitor that the loan is utilized as stated

RECOVERY

In the event that a borrower fails to pay an installment, we give them reminders, follow-up’s and visits. We provide moral and social guidance and discuss the borrower’s rationale in order to recover the loan.

DONATION POOL

Proceed from recovered loans are added in the donation pool to utilize these funds for financing new loans

ALL PRODUCTS ARE 100% INTEREST FREE

FILLING OF FORMS

Loan officers provide INFORMATION and assist borrowers in filling out loan APPLICATIONS
ABOUT US

Akhuwat provides collateral and interest-free loans to help underprivileged members of society. With one of the highest loan return rates in the world, Akhuwat continues to transform lives one loan at a time. 

 

ADDRESS

Phone No: 0734022898 

email: info@akhuwat.se

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