TO GET THE COMPLETE JOURNAL/THESIS FOR TOPIC BELOW,
CALL: 08168759420, 08068231953
WHATSAPP: 08137701720
ASSESSMENT OF FACTORS AFFECTING THE LOAN REPAYMENT PERFORMANCE AMONG MEMBERS OF COOPERATIVE THRIFT AND CREDIT SOCIETY IN OGUN STATE, NIGERIA
Abstract
This study examined the factors affecting the loan repayment performance among members of Cooperative Thrift and Credit Society in Ogun State, Nigeria. The study was based on primary data obtained in a cross-section survey of 120 respondents drawn by multi-stage random sampling across communities the Local Government Areas (LGAs). The questionnaire were personally administered questionnaires / interview schedule, were employed in collecting the study data. The data consists of socio-economic characteristics of the sampled respondents. The study data were analysed by descriptive techniques. Descriptive techniques including construction of frequency distribution, computation of descriptive statistics (mean, standard errors, etc) were used to analyse socio-economic characteristics of the farm households. The results revealed that household heads (59.2%) were dominated by male folks in the study area. Majority of the respondents were within the age bracket of 41-50 years and this indicates that the respondents were aging. There is a gender imbalanced involvement of respondents in the study area, with male and female scoring 66.7% and 33.3% respectively. Only 86.7% of the respondents were married. Majority of the respondents were fairly educated with 15.8%, 38.8% and 35.8% having primary, secondary and tertiary education respectively. Only 10.0% had no any form of education. Moreso, 97.5% of the respondents regularly have access to loan. On the usage of the loan obtained by the respondents in the study area, majority of the respondents 100.0% used the loan obtained for business purposes. This implies that majority of the respondents used the loan for their businesses. Out of the 9 variables modelled, only years of experience, farm size, members of cooperative society, participation in non-farm activities and cost of production were statistically significant at 1%, 5% and 10% respectively in determining the credit needs of the cooperative member in the study area. Out of the 8 variables modelled, only household size, interest rate, level of education and annual net income were statistically significant in determining the loan repayment pattern of the respondents in the study area. Based on the findings of this study, it was observed that the repayment performance of the farmers was bad due to high interest rate. Therefore, farmers were encouraged to demand for the loan they can repaid at the convenient time and to manage the credit collected effectively.
Keywords: finance, credit, loan, performance, repayment