Personal Loans Program
A loan program is granted through the Commercial International Bank (CIB) to provide personal loans to AUC employees within certain terms and conditions, guiding the loan provision.
Value of Loans
The sum of the loan should not exceed LE 500,000, provided that the monthly installment for settling the loan and the due interest does not exceed 50 percent for monthly net salaries less than LE 15,000 or 60 percent for more than LE 15,000, taking into consideration any other debt burden such as credit cards settlement, external loan installments, etc. Calculation of interest is done either on declining rate basis or flat rate basis, according to the applicant choice. In all cases, the loan must be settled over a maximum period of 84 months.
Personnel Permitted to Apply for Loans
Loans are confined to full-time employees who have at least one full calendar year of service at AUC. The loan period cannot exceed the employee’s contract periods thereby guaranteeing ultimate settlement of the loan. A minimum education level of Secondary School Certificate or equivalent is requested by CIB. Holding a good credit record according to the investigation of the Central Bank of Egypt is a must.
Resignation or Dismissal Before Loans are Repaid
In case of employment termination, settlement of an outstanding loan amount must take place. The borrower is responsible for settling any outstanding loan amounts. This responsibility shifts to the guarantor if the borrower fails to do so. In all cases, the University has the right to deduct the outstanding loan amount from the end of service compensation entitlements, if any.
Legal Action Regarding Unsettled Loans
If a borrower or guarantor does not repay the outstanding loan amount as it falls due, CIB reserves the right to take the necessary legal action to recover the amount outstanding without any liability on the University’s part.