National Bank of Malawi through Vehicle and Asset Finance Section buys the asset chosen by a customer, and allows the customer to possess and use the asset in return for specific rental payments over a specific period.
Sale & Lease Back
National Bank of Malawi buys back assets at an agreed price and leases them back to the original owner. This facility is ideal for converting capital assets into working capital when expanding your business.
This is used as an alternative to a Sale and Lease Back where monies are advanced with security taken over a property by a way of legal mortgage or over assets by a way of a Bill of Sale.
Revolving Credit Facility
Corporate clients can apply for revolving credit facility, which once in place can be used to acquire assets on presentation of invoice. The facility is subject to annual review.
Car ownership Scheme
We have developed an innovative car ownership scheme for those companies wishing to provide their eligible employees with finance to buy vehicles. Corporates only need to undertake monthly repayments to us.
In an operating lease the bank purchases the asset and makes a return or profit by renting it out to different users (Customers). The Customer pays a rental to the Bank (Lessor, owner of the asset) for the hire and use of the asset and never owns the asset outright.
An operating lease is therefore an off balance sheet finance for the Customer (Lessee.)