Nigeria has witnessed a surge in the availability and usage of loan apps, marking a significant shift in the traditional lending industry. These digital platforms offer quick and convenient access to loans, targeting a wide range of individuals, from entrepreneurs seeking capital for their businesses to ordinary citizens in need of short-term financial assistance. While the proliferation of loan apps brings accessibility and convenience, it also raises concerns about financial literacy, debt management, and data security, there’s even been a debate around the subject by politicians.In this posts we’ll look at the top 20 loan apps in Nigeria.
Why do Nigerians use loan apps ?
One of the primary advantages of loan apps is the ease of access to credit. With just a smartphone and internet connection, users can apply for loans, receive approval within minutes, and access funds instantly. This has proven beneficial, especially for individuals excluded from traditional banking systems, providing them with a financial lifeline during emergencies or to seize business opportunities.
Concerns about loan apps in Nigeria
Financial Literacy Challenges: Despite the convenience, the rapid rise of loan apps has exposed a gap in financial literacy among users. Many borrowers, enticed by the simplicity of the application process, may overlook the terms and conditions, including interest rates and repayment schedules. This lack of understanding can lead to borrowers accumulating debt beyond their means, resulting in a cycle of indebtedness.
Debt Traps and High-Interest Rates: Some critics argue that the ease of obtaining loans through these apps comes at a cost – often in the form of exorbitant interest rates. Borrowers who fail to repay within the stipulated period may find themselves in a debt trap, with accumulating interest making it challenging to settle the borrowed amount. This has prompted regulatory bodies to scrutinize the lending practices of these platforms to protect consumers.
Data Security Concerns: As loan apps collect vast amounts of personal and financial data during the application process, concerns about data security and privacy have emerged. Instances of unauthorized access and misuse of borrower information have raised questions about the protective measures implemented by these platforms. Striking a balance between easy access to credit and robust data security measures remains a challenge for the industry.
Top 20 Loan apps in Nigeria
Below is the list of the top 20 loan apps in Nigeria approved by the central bank of Nigeria (CBN) and the federal competition and consumer protection commission (FCCPC)
Branch
With over 10 million downloads across android and app playstore,Branch is one of the top loan apps in Nigeria. Their minimum loan amount is ₦1,500 and the upper limit for a new customer is ₦150,000. Interest rates are determined by a number of factors, including your repayment history.Their personal cash loans range from ₦2,000 to ₦500,000. Their loans are accessible via the Branch app and require no documentation.
Fairmoney
FairMoney is the number 1 most downloaded Fintech App in Nigeria. With more than 10,000 loan disbursements each day and more than 5 million users taking advantage of our services, FairMoney enables every average Nigerian to have access to easy loans that will enable them to gain control over their lives and their finances.They also cater to businesses with their SME loans. Applicants can access FairMoney affordable loans with no paperwork or collaterals needed as basic smartphone data and credit history are used to determine eligibility. FairMoney offers loans of up to ₦1,000,000, while their SME loans run up to ₦5,000,000. Fairmoney also offers loan extension for convenient loan payment
Carbon
Carbon is another loan app that ranks high on the list of the top loan apps in Nigeria.With Carbon, you can get access to quick loans in Nigeria without collateral or paper work. They provide personal loans, business loans, savings service , and ‘buy now pay later’ service.For their buy now pay later service, their repayment period is 3 – 6 months but an initial deposit of 25% of the product price is required before the customer can make the purchase
OKCash
OKash does not place a limit on your work, income, or other conditions. So long as you are 20-55 years old, all you need is an Android device, a data connection, a means of identification a valid bank account and card to get a loan from OKCash. OkCash charges an interest rate of 1.2% per day for a fixed term of 15 days
EasiMoni
Easemoni- instant loan online is a top loan app in Nigeria with over 5 million downloads on Google playstore. It has microfinance banking license from the Central Bank of Nigeria under the name –Blue Ridge Microfinance Bank Limited. This app lets you borrow up to from ₦3,000 to ₦1,000,000 at a ‘fair interest rate’ depending on your credit history, with a repayment durationfrom 91 days to 365 days.
Interest rate varies from 5% to10% monthly.
Newcredit
New credit allows you to get loans from ₦10,000 to ₦300,000 with repayment from 91days to 365days.Download the app Search “Newcredit” from the Google Play Store and download it.Register Sign up with your phone number（linked to your BVN）, finish some infomation in 2 minutes.Apply a loan Click “Withdraw” button to apply a loan. After that, the money will be received to your bank account.
Palm credit
Palm credit is another popular loan app in Nigeria. It is owned by New edge finance limited. Their loans are capped at ₦100,000 with interest rates ranging from 14% to 24% and they are collateral-free. Their loan repayment policy states that loans are to be repaid between 14 days to 180 days after disbursal.A word of caution about palm credit, there’s been lots of complaints about palm credit harrasing their customers for failure to meet repayment deadlines. It is advisable to thread with caution while dealing with them.
Quick Check
Quickcheck loan is available to all Nigerians with an android phone and good credit score.Applications can be done from the app and you don’t need any documents. You’re only required to fill in your information correctly on the platform.
First time users to the app can access up to ₦15,000 with a repayment period of 15 – 60 days. After this , users can request higher amounts.
WeCredit
WeCredit gives out small and medium-scale loans to Nigerians ranging from ₦10,000 to ₦200,000. According to the company website, its annual percentage rate (APR) is between 10% to 30%. The app has over 1 million downloads and over 30 thousand reviews on the Google Play Store. The app is one of the most used by Nigerians to access quick loans.
RenMoney
Renmoney describes itself as a fintech company that offers personal and business loans, savings, investment products and other banking services.
Renmoney is one of the well known loan apps in Nigeria with over 3 million loan applications processed. They typically offer loans based on your employment status which can be up to ₦6,000,000 for up to 24 months. With Renmoney, you can renovate your home, buy a new
car, pay rent, school fees and medical bills. Their loan requirements include no collateral, no paperwork or guanrantors.
Kuda
Kuda, the bank of the free as they are popularly called, offers short term loans in the form of overdrafts to regular customers. Their overdrafts require no paperwork and come with a 0.3% daily interest rate. The overdrafts typically last 90 days but repayments are expected to begin 30 days after disbursement.
Aella
Aella app makes it easy for users to get access to loans, insurance, make payments and invest.Since it launched, Aella has being gaining popularity and experiencing a steady growth. It is available on the apple and android playstore.They offer digital loans of up to ₦1,000,000 for 1-3 months with competitive interest rates and also reward customers for repaying loans on time. To get a loan, simply download the app, check your eligibility, create an account, apply for loans and receive your funds.
Alat by Wema
Alat offers different kinds of personal loans which include: goal based loan, salary based loan and device loan.The device based loan is can also be called the buy now pay later which helps you to get a quick mobile loan to buy phone on credit and pay for it later.The salary based loan allows salary earners to pay up all their bills and access quick loans up to ₦200,000 .
Lendigo
Lendigo is another app that makes it to the list of the top 20 loan apps in Nigeria. Lendigo offers Nigerian Small and medium scale enterprise easy, fast and flexible loans (with interest rates as low as 3.5%) according to their business requirements and suited to their financial needs.
Money in minutes
Money in minutes lets you get access to 50% to 150% of your salary in 10 mins and repay over 3 months. It’s fast, easy and cheaper than loans from 90% of lenders in Nigeria.
Umba
Umba prides itself as one of the leading digital bank across the Africa continent. Asides all the services it offers, Umba is mostly used as a loan app in Nigeria. This app allows users to apply, drawdown, and repay loans directly from their smartphone or desktop computer. To access umba loans, download the app, create an account and get verified. Once you’re verified, your loan application is then subject to approval based on an assigned risk rating.
It has a maximum and minimum duration of 62 days and borrowers can get credit amounts of between ₦2000 to ₦30,000 with a maximum annual interest rate of 10%, zero commission, and zero VAT.
Zedvance
Zedvance provides cash Loans to individual, groups and offer Point of sale finance for consumer goods and appliances in partnership with retailers across Lagos.
You can apply for private sector loans or public sector loans anywhere you are. Private sector loans offer a minimum of ₦50,000 and a maximum of ₦5,000,000 with a maximum repayment of 18 months. An official email is required for this loan. For the public sector loans the minimum is ₦20,000 and maximum of ₦3,000,000 with maximum tenor of 24 months. A staff ID is required for this loan. To access any of these loans, simply chat with Zee on WhatsApp.
Lidya
Lidya is a platform that provides secure and flexible credit so lenders can acquire customers, originate loans and collect repayments with ease.To access Lidya loan, you’ll need to sign up , apply for a loan and submit your three months bank statement or link all your bank accounts with lidya,start actively using your Lidya wallet for your business transactions and get one-click access to loan applications, with no need to submit your three months bank statement.
Credpal
Credpal allows you to make payments, save, invest, and access credit .CredPal offers ‘Buy Now Pay Later’ services with their merchant partners online and offline. This service lets you split payment for purchases for up to 6 months.To access credit through CredPal’s Credit Builder on the CredPal app, you need to follow these steps:
Download the CredPal app -Sign up for a CredPal account – Verify your identity-
Create an investment too increase chances of approval for Credit – apply for Credit Builder -Submit your applicationin the app and Wait for approval
Kiakia
Kiakia is a peer to peer platform that grants quick short term business and personal loans.
Kiakia currently does not have a app at the moment, all borrowing services are done through their mobile and web platforms. You can create a borrower account by visiting the site and selecting the “CREATE AN ACCOUNT” button, then answering the next few questions that follow to confirm your identity, and other personal and employment details.
To apply for a loan request, simply click the “GET A LOAN” button from the home page and engage the chatbot in the conversation.The loan review process is completed within a few minutes of successfully submitting a loan application.
Their maximum loan for first-time borrowers is 30 days. However, loan tenures can be increased based on your credit score and trust points to a maximum of 18 months.
Full list of approved loan apps in Nigeria
- Sycamore integrated solutions limited
- Trade depot
- Tajow investment
- Blue ridge microfinance bank limited
- Grolatech credit limited
- Branch international financial services limited
- P2vest technology limited
- Creditwave finance limited
- Keenest tech service limited
- Fairmoney micro finance bank
- Altracred finance investment limited
- Crevance credit limited
- Menacred company limited
- Afrowide development ltd
- Red planet nigeria limited
- Afrofirst mobile and technology company limited
- Rankcapital limited
- Ibs golden investment company limited
- Lendvisery services limited
- Renmoney microfinance bank limited
- Swipebill technologies nigeria limited
- Hometown fintech limited
- Giasun technology nigeria limited
- Be resources limited
- Rockit lenders nigeria limited
- Pivo technology limied
- Yes credit company limited
- Irorun technologies limited
- Csense limited
- Supreme help cooperative society limited
- Orcom and orcom bussiness suport limited
- Payhippo limited.
- Easycheck finance investment limited
- Quark financial nigeria limited
- Edmond solutions company limited
- Ted rocket limited
- Penaid limited
- Arve limited
- Dover credit limited
- Ragekay global investment limited
- Maywood lending limited
- Linkpark technology nigeria limited
- Mangnet lending limited
- Rubystar global limited
- Bestfin nigeria limited
- Fubri century company limited
- Berly spring global limited
- Rock financials limited
- Phoenix payment solution limited
- Value driver technology solution limited
- Nextpayday limited
- Blackcopper service limited
- Trafalgar associate limited
- Windville financial nigeria limited
- Orange loan & purple credit limited
- Carbon microfinance bank limited
- Neo-link technology company limited
- Finnew fintech limited
- Otp internet technology limited
- Red harbor fintech limited
- Paylater hub limited
- Skitloan nigeria limited
- Raceova nig. Limited
- New credage nigeria limited
- Betterlending company limited
- Fast-point intergrated limited
- Apex lending limited
- Piska tech nigeria limited
- Princep credit system limited
- Omalend service limited
- Pockful finance limited
- Highcredit nigeria limited
- Hollandale nigeria limited
- Pay financial technology service limited
- A1 capital solution limited
- Newedge finance limited
- Papichou technology limited
- Goharvest international limited
- Mino sparks limited
- Xgo finance limited
- Primera microfinance bank
- Credit tech lending company
- Prosperity archipelago limited
- Finesest limited
- Singularity technology nigeria ltd
- Econ mart fintech limited
- Pennee technologies limited
- Oxymon solution limited
- Lantana technology limited
- Applink capital nigeria limited
- Yegon tech limited
- Fezotech nigeria limited
- Eric vsta limited
- Moblaspay company limited
- Paycredit limited
- Niz services limited
- Mino sparks limited
- Flo wood lending
- Liberty assured limited
- Uni technology nigeria ltd
- Trade lenda com limited
- Creditville microfinance bank ltd
- Letshego microfinance bank ltd
- Kiowope capital limited
- Veendhq limited
- Ucplus advance limited
- Maven finance limited
- Aella financial solutions limited
- Fluna capital limited
- Newedge finance limited
- Ta prime limited
- Regxta global service ltd
- Provest limited
- Jm rubinus limited
- Crossroads e-payment systems limited
- Consynergy limited
- Fintcred innovation limited
- Afrosay fintech limited
- Mim finance company
