The “Borrow Wisely” campaign is an international campaign that is directed to actual and potential clients of Agro & Social Fund. The campaign is organized by Microfinance Centre – an international organization that promotes international standards in the field of client protection and financial education. The campaign is held at 14 states including: Albania, Armenia, Azerbaijan, Bosnia & Herzegovina, Georgia, Kosovo, Bulgaria, Moldova, North Macedonia, Montenegro, Serbia, Romania, Greece and Tajikistan.
How much can I afford to borrow?
Learn to calculate accurately your monthly savings.
Monthly loan repayments should not exceed 70% of your monthly savings.
E.g. If Income = 1000 and Expenses = 800 then Savings = 200. Monthly repayments = 140 max
Take a loan in the same currency as your income.
[MFI company] will also assess your capacity to pay to ensure you can afford the loan.
Do I know how much I will pay?
Learn how to compare different offers to make an informed choice.
It is a legal requirement in [country] to provide APR/EIR to help you compare the costs of loans (optional depending on the country).
Remember, a lower interest rate does not guarantee a cheaper loan.
Ensure you include all costs and charges when calculating your monthly repayments, not just interest payments.
Beware of aggressive lenders – special offers are seldom special.
Carefully analyze the length of the loan – lower payments over a longer period may not work out cheaper.
Agro & Social Fund discloses all charges including arrangement fees and penalties – not all loan providers do.
Do I fully understand the contract?
Read the contract from beginning to end/ Your loan officer should give you enough time for this. Understand the costs, penalties, timings and mechanics of payments
Ask your loan officer for help to understand every point. Always ask for clarification of professional/financial jargon used in the contracts (e.g. ask for explanation of terms like: APR, annuity method, nominal rate, prepayment commission etc.)
Take your time – take it home and consider - don’t be rushed into signing something you don’t understand
What should I do if I need to complain?
Please tell us if you are not satisfied.
Always execute your right to complain.
Please contact [person, email, telephone at MFC member] or [address for local ombudsman/national organization]*
Your opinion helps us provide a better service for our customers!
Control debt - don’t let it control you!
Too much debt can lead to problems with repayment.
Avoid multiple loans: with several loans you are at greater risk of over indebtedness.
Take loans for investments, avoid taking loans for things you desire but don’t need.
Care about your credit history the records are there forever. Don’t take out a loan for someone else.
Be careful about being a guarantor for someone else’s loan.
Talk to your [MFI company] loan officer if you are in trouble we are here to help.
Check out your financial welfare filling out the following questionnaire.
By filling out this simple questionnaire online,
you are more aware with the good management of your incomes and expenses.
Due to ASF’s daily activity regarding financial education and client’s awareness in order to stop debt overload and in continuance of our mission, we are involved in the international educational campaign “Borrow Wisely” #2019BWC. Find below the video for “Borrow Wisely”