FMBN step up loan recovery drive from PMIs

The Federal Mortgage Bank of Nigeria, FMBN, has disclosed that it has step up its drive to recover loans from its clients including Primary Mortgage Institutions, PMIs.

The Chairman of the Bank’s Board of Directors, Chief Bisi Ogunjobi, made this disclosure after a retreat organised by the bank saying this was part of its commitment to its shareholders.

Ogunjobi declared that the bank was determined more than ever to get back all its outstanding loans.

According to him, the bank would review the estate development loan window to remove the observed gap, adding that the National Housing Scheme would also be reviewed to ensure better collection of contributions from the PMIs.

He noted that the FMBN was reforming its operations to enforce discipline and transparency.

Ogunjobi said, “The management has resolved to strengthen and monitor our offices at close range and we have also adopted drastic and pro-active loan recovery measures from clients and PMIs owing FMBN”.

“It is important that those owing us should honour their obligations to us”, he also added.

The Board Chairman disclosed further that the management decided at the retreat to computerise the E-collection platform, adding that E-collection cards would soon be issued to contributors to be used on ATM machines to enable them know the level of their contributions and ensure transparency.

He stated that the bank had held a dialogue with the Real Estate Developers Association of Nigeria, Mortgage Bankers Association of Nigeria and other critical stakeholders to make sure houses under the National Housing Scheme, NHS, reached contributors.

Ogunjobi explained that contributors who did not take loans could now get refund without stress on retiring from service, noting that the number of those getting refund had increased by tenfold.

The Chairman lamented the challenges facing PMIs among which is the issue of property titles, which he noted has been hindering mortgage business.

He said, “We discussed the challenges facing PMIs, particularly the issue of title to property because without a title, you can’t get mortgage, the FMBN will use its own internal measure to assist clients get titles”.