The Ghana National Association of Teachers (GNAT) has reduced the Interest rate on Loans issued by the Teachers’ Fund of the Association.
The Fund managers in a letter dated October 19, 2020, and issued to the General Secretary of GNAT, indicated that effective November 2, 2020, interest rate on Teachers’ Fund Loans will be reduced from 18% to 16% per annum.
This according to the Fund managers, there will be a 2% reduction in the interest rate on loans issued by the Teachers’ Fund of the Association.
The Fund managers further indicated that all other terms and conditions with regards to thre Funds shall remeain intact.
Speaking at the National Council Meeting of GNAT organised from the 29th September to 3rd October, 2020 at the Kwame Nkrumah University of Science and Technology( KNUST) , the Teachers Fund Board Chairman said the Fund has about 215,003 members and valued at over GHc1.5bn as at December, 2019.
According to him, the board of trustees shall be meeting to consider reduction in the interest rate on Teachers Fund loans.
He added, that the board will study the environment and fix appropriate rate.
He also indicated, that there is an online processing of loans which is being piloted in some Districts.
”All things being equal, after assessment, it will be rolled out fully in December, 2020.” He said.
The fund managers said Teachers Fund is arranging with Vehicle Assembling Companies in Ghana of which interested members of the fund will be given loans for their own cars.
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