1. Q. What are the benefits of the NHF scheme? Ans: 1. Housing loan of up to 90% of the cost of the house 2. Interest on loans remains fixed throughout the life of the mortgage at 6% p.a. 3. Long period of repayment of up to 30 years. 4. Contributions can serve as additional old age security.

2. 4. Up to N15 million can be borrowed. 5. Refunds with 2% interest on retirement. 6. Loan repayment is about the same as a typical monthly rent. 7. Every contributor has: ◦ A lifetime registration number; ◦ A passbook for personal recording of contributions; and ◦ An account statement

3.  Ans:  It is compulsory.  Registration onto the scheme is by organizations and self employed  Employers are not given the choice to make the scheme voluntary for some staff

4.  Ans:  Yes, you still need to contribute to the scheme because just like a cooperative scheme it is not all members who may want to take a loan.  Secondly, the person who is not taking the loan today may change his mind tomorrow.  The compulsory savings is an additional security to a retiring staff.

5.  Ans:  The act establishing the scheme provides that the contributing organization shall appoint a desk officer whose duty it shall be to send schedule of deductions to us and also update the passbooks on monthly basis.  What we have today is that organizations load their desk officers with other assignments and this function is not done.  On our part, we are already migrating to e- collection platform to totally remove this problem.

6.  Ans:  A contributor to the scheme has a life time account number.  On transfer we merge whatever he has contributed in the other organizations with his contribution now under that single account.  People who have this problem should come to our office.

7.  Ans:  No withdrawal is allowed from the savings until retirement and the attainment of 60 years old or after 35 years in service.  A refund is paid to a retired officer upon the attainment of 60 years old or 35 years in service.

8.  Ans:  The scheme is doing well in this state.  The fund was used to finance the following estates:  1. Mandate III Estate, Yidi Road, Ilorin.  2. Royal Valley Phases I & II. Kulende, Ilorin  3. Harmony Estate, Sobi Road, Ilorin  4. Kam-Abioye Estate, Eiyenkorin, Ilorin  Processed Estate Development Loan at the verge of disbursement  1. Legacy Estate, Tanke Ilorin  2. Tranquility Estate, Oke-Ose, adjacent UITH, Ilorin.

9.  Estate Development Loans still under MOU  1. NMA/ SAFEFORTE NIG LTD for Doctors Mega City  2. SSA/ QH Multi-Concepts Ltd for SSA estate

10.  Ans:  No. The scheme is to promote the acquisition of houses by the contributors.

11.  Ans:  The fund is pooled from monthly contributions  The monthly repayments from loans also increase the fund  Government housing intervention funds also increase the scheme.  The scheme is a revolving fund.

12.  Ans:  No relationship. That programme was a political program that went with the NPN government of the President Shehu Shagari regime.  As the scheme was anchored by the Federal Housing Authority (FHA), all questions can be directed to that organization.

13.  Ans:  The old FMBN which was mobilizing savings from the public, was deconsolidated and Federal Mortgage Finance Ltd (FMFL) took over the savings portfolio.  At the moment the FMFL is under liquidation as FGN is divesting from retail mortgage operations.  Anybody who has savings with this organization can reach them at their office at Abuja.

14.  Ans:  Unlike Insurance Companies, we do not operate under risk.  We manage a revolving fund and the loans we give are collateralized by the houses upon which we create mortgages.  We are interested in social profitability and not commercial profitability.  Our activities are therefore subsidized by the Federal Government of Nigeria.

15.  Ans:  FMBN is the Manager of the fund and we give the fund to Primary Mortgage Banks who operate at the retail level.  The act that established the fund recognizes that the retailers would have outlets nationwide to package retail loans and facilitate repayments of the loans granted.  This arrangement accordingly ensures check and balances.

16.  Ans:  On the presentation of letter of administration from a court or a notary person, the full refund is processed and paid to the next -of- kin of the deceased.

17.  Ans:  The timing depends on the seriousness to provide the documents upon which a mortgage is to be created.  The timing depends on the applicant, the PMI and very little on us.  This is because all our loan requirements are disclosed even before a decision is taken to take a loan.

18.  Ans:  We at Federal Mortgage Bank of Nigeria Complex, Adjacent Global Soaps & Industries, Asa-Dam Road, Ilorin.  Our website is: www.fmbnigeria.org