GNAT Mutual Fund Interest Rate Vrs CCT Loan
Taking loans is more or less a necessity that people can do without. Most worker unions in Ghana also set up various mutual funds for the purposes of cushioning the worker during retirement as well as providing workers cheaper source of loans to the workers. The various teacher unions also have mutual fund schemes. The various mutual funds have different criteria for accessing loans and even qualifying to take the loan. An important part of comparing the various mutual funds is the interest rates on the funds. We therefore present GNAT mutual fund interest rate versus CCT-GH interest rates.
We must emphasize that our team does not believe in comparing interest rates that are quoted by financial institutions since it includes charges like insurance premiums on loans and even processing fees. We therefore focus on comparing the repayment deductions that are made during the same loan duration.
From the loan charts available at educativenewsroom, we present various loan amounts and their deductions.
Loan amount and repayment deductions
1. a. GNAT mutual fund:
For the Ghc1,000 loan for one (1) year, the monthly deduction is Ghc96.17
b. CCT-GH Mutual Fund
For the Ghc1,000 loan for one (1) year, the monthly deduction is Ghc91.83
2. a. GNAT mutual fund
For the Ghc5,000 loan for one (1) year, the monthly deduction is Ghc480.87
b. CCT-GH
For the Ghc5,000 loan for one (1) year, the monthly deduction is Ghc459.17
3. a. GNAT mutual fund
For the Ghc10,000 loan for one (1) year, the monthly deduction is Ghc961.75
b. CCT-GH
For the Ghc10,000 loan for one (1) year, the monthly deduction is Ghc918.33
Therefore, it could be seen that the interest being charged by the Coalition of Concerned Teachers, Ghana (CCT-GH) is far better than that of the mutualfund by Ghana National Association of Teachers (GNAT)
See also: Best Interest Rates On Loans In Ghana
Even though the interest being charged by the CCT-GH is better, the Ghana National Association of Teachers provides other benefits for teachers that the CCT-GH does not. An example is the current staff bundle initiative by GNAT for its members.
