Ranking: Best payday loan deals in Nigeria in Q1 2020
Back in january this year, long before the COVID-19 pandemic hit usl rethink our plans, Tony (not his real name) was contemplating which payday loan from the bank to take advantage of. At the time he had a small business idea it was set up, and the savings on his bank accounts had to be completed in order to realize the said idea.
Unfortunately, the young man couldn’t make a quick decision at which bank hang out. It uses three different banks, all of which have different conditions for accessing their payday loans.
The main reason Tony couldn’t decide on time Is he could not differentiate which bank offers the most favorable and the cost-effective loan. And because he did not decide, he ended up not being able to continue his business before COVID-19 has hit Nigeria.
Now, you may have recently found yourself trying to decide which payday loan to apply for., especially now that the economy is in a fix. Good, don’t be confused. We’ve got you covered with this article which ranked the best payday loans available for you; according to their terms and conditionsns. This ranking encompasses the two traditional banks and fintech.
A quick look at bank lending amid the pandemic
Put onowhat some banks have really become pay attention to the way they give loans, given the economic benefits of the Coronavirus pandemic. Just last week Nairametry reported that like up to 17 commercial banks approached the CBN for restructure their loan portfolios due to the adverse effects of the pandemic.
Despite this, some banks still provide loans, especially payday loans. It all depends on whether you meet the most basic criteria – have a constant influx of monthly income (salary) in your Bank Account.
Below are the better bank and fintech payday loan offers in nigeria, based on interest rates
GTBank Quick credit: Earlier this year, Guaranty Trust Bank Plc took a big step in crashis lying the interest rate for his fast readys. Right now the Tier 1 bank is offering the cheapest monthly interest rate of 1.33%, down from 1.75%. There are no hidden charges for this loan. In other words, no management, legal fees or insurance attached to this loan. Aother reasonat Why working class Nigerians love it GTBank ready is that borrowers are not required to provide collateral.
According to information content on the bank’s website, there seem to be two different types of quick loans available for both account holders and non-employee account holders. For the payday advance loan, applicants can get up to 50% of their monthly salary. Note that only those who win a minimum of 25,000 N (For officials) and N50,000 (For private sector jobuh) are eligible to apply. It has a duration of 30 days. Successful applicants would have their payday advance loans made available to them 24 hours after application.
(READ MORE: Fitch says Nigerian banks have a risk score of 12.14, explains why)
In the meantime, there is also another GTBank fast loan which guarantees both employees and self-employed borrowers up to 500,000 N at N5 million, at an interest rate of 1.33% per month. Specifically, employees can borrow between N 10,000 and 5 million, while independent clients can borrow between N 10,000 and 5 million.00,000. The two categories of cusers can refund their readys within 6-12 months. Again, There are no hidden charges.
GTBank Customers can access these loans through the bank’s USSD code, an online banking facility, or the bank’s mobile banking app. Eligible customers must be between 18 and 59 years old.
UBA Click Credit: In February 2020, United Bank for Africa Plc launched Click Credit, a term loan designed to help UBA clients meet their urgent financial needs. This easy-to-access credit facility allows eligible clients to obtain up to N5 million. Information available on the bank’s website indicates that the loan can be repaid within 12 months at an interest rate of 1.58% per month. There are no hidden charges for this loan.
Applying for this loan is very easy. No documents are required. You can apply using the bank’s USSD code or its online banking. Learn more about this personal loan by following this link.
First bank First Advance: First Bank of Nigeria Ltd has the second best interest rate of payday loans in the market. At 2.5%, the interest rate is fair enough. However, there is the condition that interest must be collected in advance, as good as management fees at 1% flat rate and 0.50% credit life insurance.
There are others states to be taken into account when choosing First Advance. Just like other payday loans, it is only available to First Bank customers. And unlike GTBank Fast Credit, this is only available at salary employees. Successful candidates can receive up to 50% of their salary, although a maximum of 500,000 naira is made available to a single debtor.
First Advance to tenor 30 days. the the loan amount will be automatically withdrawn from the borrower’s account by First Bank as soon as he receives his monthly salary.
Zenith Bank Term Loan: Term loan… That’s what Zenith Bank Plc calls their payday advances or short-term loans. This loan is only offered to salaried professionals whose accounts are domiciled with the tier 1 bank. These customers can get ready until 60% of their monthly payment wages, although at an interest rate of 2.16% per month. Borrowers are also required to pay 1% lump sum managementadministration fees.
Fidelity Ban Fast Loan: Fidelity Bank Plc offers Fidelity account employees up to 50% of their wages (between 10,000 and 1 million naira) at an interest rate of 2.95%. Customers will also pay a handling fee of 1%, 0.25% insurance fee, as well as N100 service fee.
Potential debtors must have received three consecutive months’ salary and must have a clean credit history, the bank said in a report.n explanatory note on its website. The loan is accessible via the USSD code of Fidelity Bank.
Renmoney: This fintech company offers one of the best interest rates among its peers. Information obtained from the company’s website indicated employees and self-employed business owners can borrow up to N 2 million for a hardation (tenor) of there at twenty-four month. This will be billed at an annual percentage rate of 35.76%, which essentially translates into Interest rate of 2.98% per month.
Note that no collateral is required to access these loans. In addition, no mention was made of management fees or other hidden charges.
FCMB Fast Cash: Customers and non-customers of First City Monument Bank Ltd can receive quick loans up to N 100,000 and N 200,000 respectively. The information available on the bank’s website indicates that the loans are instantly accessible via the USSD code, with no collateral required. There is an interest rate of 3.5% per month, plus a management fee of 1% which would be collected in advance as soon as the loan is disbursed.
Page Finances ” Pay the credit: Finances pageials is another fintech that is impacting the lending industry. The information contained on the company’s website said borrowers can get up to “2.5 million naira with a 12-month repayment schedule ”at an interest rate of 3.76% which will be billed at a flat rate per month.
There is no management fee attached to this loan. Successful applicants can get their loans disbursed in three hours. It should be noted, however, that this quick loan option is only available to salary owners whose employers process their salary payments through Remita.
Access bankPayday loan of: Access Bank Plc charges an interest rate of 4%, a management fee of 1% (lump sum) and 0.15% credit life insurance fee (lump sum) for its payday loans. Employees who have bank accounts can receive up to 75% of their salary, or other amounts as may be approved by Access Bank.
Note that Access Bank’s salary has a duration of 30 days. Customers can apply through the bank’s electronic banking channels including their USSD code.