Microfinance Banks are defined using the term microfinance. Microfinance, also known as microcredit, can be considered as a type of banking service provided to unemployed or low-income individuals or groups who otherwise would have no other access to financial services. The main aim of microfinance is to ultimately give impoverished people an opportunity to become self-sufficient.
In simple terms, Microfinance banks ultimately provide credit to those who for some reason are unable to access the type of capital needed to develop businesses or kick-start their entrepreneurial dreams. According to the Central Bank of Nigeria (CBN), there are 898 Microfinance banks in Nigeria.
1. AB Microfinance Bank
This is one of the best and oldest microfinance banks in Nigeria with branches all over the country. Created in 2008 by foreigners, this financial institution headquarters is located at 11, Oba Akran Avenue, Ikeja Lagos with other branches available.
2. Altitude Microfinance Bank
Altitude is a microfinance bank aimed at helping and supporting the less privileged people in the country by giving them loans that must be paid back.
The bank was founded in 2004 with its headquarters located at JP Plaza, Central Zone C ASPAMDA Trade fair complex, Badagry Expressway, Lagos.
3. Fina Trust Microfinance Bank
Fina Trust was created in 2004. The bank possesses all it takes to be regarded as one of the leading microfinance banks in Nigeria. It has a very conducive banking environment, dedicated staff, good and appropriate management of approach towards clients.
4. Accion MF Bank Limited
One of the best banks in the country when it comes to giving out loans in little amounts. Accion bank was created in 2006 and its headquarters address is located on the 4th floor, Elizade Plaza, 322, Ikorodu Road, Anthony, Lagos State.
5. MFP Microfinance Bank
MFP microfinance bank is located in Sokoto state. It was created in 2005. This microfinance bank is one of the banks in Nigeria that render the best service to its customers, with a relatively low-interest rate, good workers/customers relationship.
6. Addoser Microfinance Bank
Addoser is another financial institution that merits a place on our list. It was established in 2008 and is located in Lagos.
Addoser adds a lesser amount of interest compared to other microfinance banks. Talking about the experience, Addoser has such which has kept it going from strength to strength.
7. Rehoboth Microfinance Bank
It was created by a group of business-minded people in Lagos. Rehoboth has over the years proven to be a bank that can be trusted and relied on.
It is one of the microfinance banks in Nigeria that ensures constant visitation to clients so as to check the progress of the client’s business or work. Their head office address is at 13, Aweh crescent, Onipanu, Lagos.
8. Fortis Microfinance Bank
This is the first microfinance bank in Abuja (the capital state of the country). Fortis was created in 2007 and is one of the best rated in the country.
9. Lapo Microfinance Bank
They are known for their top services, Lapo is one of the best and popular state microfinance banks in Nigeria. It was launched in 2010 and was licensed in 2012.
10. FBN Microfinance Bank
They are located in Lagos, FBN is a bank that deals with customers whose business is on the verge of collapsing. As a subsidiary of First Bank Nigeria, FBN renders help by giving the loan to people.
From the ongoing discussion, it can be deduced that microfinance Banks is considered one of the best options for those looking to start a business. Although there are private firms offering such funding to passionate individuals for free with no interest added. The post above shows a list of the top 10 microfinance Banks in Nigeria, for those that are still in search of solutions.