Digital loans have reshaped the credit market from the traditional forms of credit access that involve physical interaction between borrowers and lenders, credit checks, submission of collateral and the eventual long wait for loan approvals to the now instant and automated process that remotely approves and disburses loans in a matter of minutes.
Due to the efficiency of digital lending, this has led to its adoption by various nations across the globe including Nigeria.
According to statistics, Nigeria has an estimated 30 million+ micro, small and medium-sized business that contribute significantly to its economy although most fail due to lack of enough collateral to obtain credit finance to effect growth.
It is for this reason that the emergence of unsecured digital loans is regarded a saving grace to some of the small scale businesses as well as the unemployed Nigerians.
With the eligibility criteria for such easy and fast digital loans requiring one to be a Nigerian citizen of between the ages 18-50 years, possess a bank verification number (BVN) and an ATM card to access the loans available through a range of platforms including android/iOS apps, USSD codes and online websites.
These quick loans in Nigeria without collateral may range from a minimum of ₦500 to a maximum of ₦1,000,000 depending on the individual lenders and limit growth is pegged on one’s repayment behavior.
However, the downside of such loans is the short repayment duration that can be as low as 7 days with abnormally high interest rates as 50% on each loan. Furthermore, late repayments may attract daily penalty fee charges as well as calling or messaging of the borrowers’ saved contacts.
Below, we look at some of the instant online loans available to Nigerians in 2021
|Lender||Min (₦)||Max (₦)||Days||Rate|
|Aella||1,500||1,000,000||30/90||4 – 30%|
|Branch||1,000||200,000||28/280||3 – 21%|
|FairMoney||1,500||500,000||30/90||10 – 30%|
|GMoney||4,000||500,000||7||25 – 50%|
|GoCash||5,000||300,000||7/14||3 – 29%|
|Haloocredit||1,500||100,000||7||25 – 50%|
|KashKash||3,000||50,000||7/14||28.7 – 36.5%|
|KiaKia||10,000||200,000||30||5 – 25%|
|Migo||500||500,000||5 – 25%|
|Newcredit||5,000||300,00||14||14 – 24%|
|Okash||3,000||500,000||14/90||15 – 25%|
|Palm Credit||2,000||100,000||30/90||14 – 24%|
|QuickCheck||1,500||200,00||30/60||2 – 30%|