A closer look at how Zimbabwe's cattle bank works

MARONDERA, Zimbabwe (AP) - HOW A CATTLE BANK WORKS:

_ The bank sends a veterinary official to inspect a farmer's cattle and assesses their monetary worth.

_ Based on that, owners can get loans up to the value of the cattle they are banking as collateral.

_The bank pays 10 percent interest a year on the value of the cattle deposited, which can be paid out in cash or additional cows.

_ Owners have the option to get back their cattle after an initial two years or leave them with the bank for longer.

_ In the event the owner fails to repay the loan, the bank keeps the animals.

_ When an owner dies, a close member of the family can take over payment of the loan and ultimately get the cattle back.

_ The bank reserves the right to slaughter aging cattle to sell the beef and replace them with more productive cattle of the same value.

_ The bank also carries out breeding programs and gets to keep the calves of cows deposited.


(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Top Stories

  • Cheap Solution
    Jason Rantz says paternalistic councilmembers may kill an affordable housing solution

  • Week In Photos
    Jaw-dropping images from around the world this week
ATTENTION COMMENTERS: We've changed our comments, but want to keep you in the conversation.
Please login below with your Facebook, Twitter, Google+ or Disqus account. Existing MyNorthwest account holders will need to create a new Disqus account or use one of the social logins provided below. Thank you.
comments powered by Disqus
Sign up for breaking news e-mail alerts from MyNorthwest.com
In the community
Do you know an exceptional citizen who has impacted and inspired others?
KIRO Radio and WSECU would like to recognize six oustanding citizens this year. Nominate them to be recognized and to receive a $2,000 charitable grant.