Loans above $50,000 may be secured by the following collateral security.
Please Note: Land or property can only be held if there are no existing mortgages or loans against them.
Assets To Be Held
Land - 90% of Value
Property - 90% of Value
Government Savings Bonds
Cash Surrender Value (CSV) of Life Insurance policies - - 90% of CSV
Please note that once the loan is over $50 000. security has to be used, security can also be used to cover loans under $50 000. two sureties plus security can be used to cover loans in excess of $50 000.
(a) The proposed surety cannot have an existing loan with the SRLF.
(b) The proposed surety must be at least twenty-one (21) years of age and no older than fifty-four (54) years of age at the time of signing the contract.
(c) Where only one surety is applicable, i.e. loans for $30,000 or less the following shall apply:
(d) In instances where two (2) sureties are applicable, i.e. loans greater than $30,000 up to a maximum of $50,000 the following shall apply:
(e) The surety or sureties must have been gainfully employed continuous basis for a minimum period of a year or on a cumulative basis for at least two years.
(f) Sureties must be citizens of Barbados, residing and employed in the island.
(g) Have a credit rating that meets the SRLF credit rating guidelines.
(h) Evidence of income must be provided. (Payslip & Job letter or financial statements)
(i) Provide to the SRLF on the prescribed form, a statement of income and expenses along with a statement of net worth.
(j) Both parents living in the same household shall not be permitted to act as surety for the said loan.
(k) Spouses of borrowers are not allowed to act as sureties.
(l) A Photo of all Sureties will be taken at the time of signing the contract.
Before an existing surety can be replaced, the loan must be current and all new contracts executed before the existing surety is released.
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