Commercial Credit Products
First Nations Bank of Canada offers financing to those First Nation’s Governments, Aboriginal businesses and non-Aboriginal businesses financing option in the form of Operating Lines of Credit, Term Loans, Mortgages and Letters of Credit to meet their required needs.
Operating Lines of Credit
Interest is paid monthly on the utilized amounts along with the associated administration fee. Competitive floating interest rates that fluctuate with prime are offered.
Term Loans and Mortgages
Variable and fixed rate options are available up to a 5 year term and generally amortized over a 5 to 15 year period. On an exception basis, an amortization period of 15-25 years may be considered based on the useful life of the asset, added security and/or equity provided.
A First Nations Bank of Canada Term Loan or Mortgage may also be useful to finance outside investment interests, commercial enterprises or economic development opportunities.
First Nations Bank is an approved lender in the First Nations Market Housing Fund.
First Nations Bank of Canada offers a variety of mortgage solutions for on reserve housing. This includes options for individual financing for construction, purchase or renovations of single family homes or multiple residential properties.
Letter of Credit
A First Nations Bank of Canada Letter of Credit is a convenient way to provide the various vendors and suppliers your First Nation or business entity may deal with who require written assurance of your credit worthiness.
Cash security is generally required and can be in the form of a First Nations Bank of Canada term Deposit or GIC, or carved out of an existing First Nations Bank of Canada operating Line of Credit. Fees are calculated on a per annum basis at the time of issuance and determined on the level of security.