Top 10 Fast Loan Apps in Nigeria for Borrowing Money

There are many reasons why Nigerians take loans, especially from loan apps; it could be for business, due to an emergency, or to carry out personal projects in education or housing; bill payment; or perhaps because we want to take advantage of an unplanned opportunity. Whatever the reason, loans are an integral part of the financial system as it tackles the problem of capital availability and sometimes unforeseen expenditures. With loans, the path to creating sustainable wealth, especially in developing economies, is made easier.

But the traditional way to access loans has always been through banking institutions, loan sharks, or cooperatives. However, loan institutions are increasingly becoming the way to go for borrowers, and what’s more, these institutions have taken a step further by making these loans easily accessible with just a few taps on your phone screen. It is only right that accessibility to loans has gone digital, and with it comes different pros and cons. Before diving fully into these online platforms, let’s touch on some points;

How Easy is it to Get a Loan in Nigeria?

Getting loans in Nigeria is quite easy once you meet the requirements of the institution you intend to borrow from. One of the best-known requirements to loan takeout is collateral, but we will soon see that some platforms don’t even require that. For the traditional lending institutions; collateral, guarantors, and some detailed paperwork are some of the basic things, or in some cases all you need to successfully get a loan. While for the new-age digital banking apps, your name, bank verification number (BVN), request to permit picture and video recording, access to location, contact, media, and files on your mobile device are all you need to get instant loans with just a few clicks on your mobile device.

Which is Better – Banks or Loan Apps?

Whether you choose to borrow from a bank or a loan app depends on what you are going for. If you are going for easy and quick access to cash, then the loan app it is. For some loan apps, you would even get your money the same day you applied for it, which is unlike banks where you have to wait several days or weeks while filling out lots of paperwork.

One thing about loan apps is that their terms and conditions for giving you a loan are clearly written out, so once you do not default you wouldn’t have any issue with them. On the other hand, loan apps are very strict with their recovery measures, being that there isn’t any collateral. They can therefore use ‘extreme’ means to recover their loan, which might be embarrassing to the person involved and might even have long-term consequences.

Conversely, some people might prefer the one-on-one physical interactions they have when borrowing from banks. This not only assures them of the authenticity of the loan, but they can also negotiate the terms of their loan if they have a good standing with their bank. Also, banks tend to have the capacity to disburse huge amounts of money as loans, unlike loan apps that tend more to personal loans. At the end of the day, it depends on what you need the loan for; an immediate need or a long-term project, and whether you have collateral or not.

Simple Definition of Loan Apps and What They Do

Loan apps are collateral-free instant loan platforms run by digital banks or microfinance banks. They allow users to borrow unsecured loans within the shortest possible time. While loan apps do not require collateral to lend money to users, thus the ‘unsecured loans, they have other means of securing their loans; like direct access to your bank account and your contacts.

Top Recommended Fast Loan Apps In Nigeria

We will now go into details and discuss these apps; how much you can borrow, their interest rates, payback periods, terms and conditions, and where you can download these apps.

1. Carbon (PayLater)

Minimum loan amount: ₦1,500
Interest rate: 1.75% – 30% (1 – 21% monthly)
Payback period: 64 weeks maximum
Download Links: Google Playstore store or App Store

Formerly known as PayLater, it was launched in May 2016 and later changed to Carbon in 2019. Today, it is one of the best loan apps in Nigeria, with headquarters in Lagos, Nigeria. It has operations in Nigeria, Ghana, and Kenya. With Carbon, you can pay bills, transfer money, get instant loans and enjoy high-interest savings on your investment.

To get a loan on the Carbon app, Simply Follow These Steps;

Download and install the app from the Google Playstore store or App Store. You can also use USSD *1303#
Create an account; providing your personal details
Apply for your desired loan
Get money in your Carbon wallet instantly once your request has been reviewed and approved

The minimum loan amount for Carbon is ₦1,500. Loans typically range from ₦1,500 to ₦1m. While interest ranges from 1.75% – 30%, with an equivalent monthly interest rate of 1 – 21%.

For example: for a 3-month loan of ₦50,000, Carbon Bank charges 2% a month. Therefore, the total repayment amount after 90 days will be ₦53,000. Annual Percentage Rate (APR) is from 23% – 60.8% and there are no late fees or processing costs.

Carbon has flexible tenors, that is the length of time that will be taken by the borrower to repay the loan along with the interest, from 1 month to 6 months with the ability to make early repayments at any point in the tenor. Overall, repayments can be made over a maximum of 64 weeks.

Carbon also offers certain benefits to encourage debtors who are up and doing with their loan repayments;

You will get cashback on interest paid once you repay on time
You will have access to top-up loans at the current interest rate and loan tenor once you pay for two months on time on the current 3-6 months loan. However, you can only access a top-up loan once in a loan cycle.

Some Carbon Loans Terms and Conditions Have Been Summarised Thus;

Default or penalty fees, flat interest rate, and other amounts due to Carbon will be charged to your account.
Loan repayments should be via direct cash transfer to a bank account listed by Carbon, an electronic debit from the card/account you provided on the due date, or through an acceptable electronic channel.
Carbon does accept early repayment before the payment due date, provided you have given adequate notice and repay the full loan along with the flat interest rate.
In the event of a default or insufficiency of funds in your bank account, Carbon will automatically charge any other cards you may have on your account or profile other than the primary card listed.
You must supply Carbon with authentic and up-to-date personal, social media, phone, and financial records about you.
Carbon will charge a one-time processing fee the first time you set up a new debit card on your account.

2. Branch

Minimum loan amount: ₦2,000
Interest rate: 1.7% to 22%
Payback period: 62 days to 1 year.
Download Links: Google Playstore

Branch is another reliable loan app in Nigeria with more than 4 million customers, 21 million-plus loans issued, and more than $600 million disbursed. Branch has branches in Indian, Kenya, Nigeria, and Tanzania.

Steps to Access a Loan with the Branch App

Download and install the app on Google Playstore
Create an account by simply filling out a form in under 30 seconds and submit for a quick review
Apply for the loan that meets your needs
Receive the loan into your account in minutes
Repay with your mobile account. Build your credit to unlock larger loans

Branch’s personal loans range from ₦2,000 to ₦500,000, while monthly interest rates range from 1.7% to 22% – depending on the risk profile of the customer. Tenor is 62 days to 1 year.

For example, if the loan amount is ₦9000 and interest is 24% per annum with a tenor of 2 months, The interest for 2 months would come out to be ₦360. The Equated Monthly Installment (EMI) per month would be ₦4680. So that the total amount paid back, including everything at the end of the term will be ₦9360.

There are no late or rollover fees and no collateral necessary. Interest rates are determined by a number of factors, including your repayment history and the cost of lending for Branch.

Some Terms and Conditions on Branch Loans Have Been Summarized Thus;

To meet Branch’s Know Your Customer (“KYC”) and Anti-Money Laundering (“AML”) obligations, you are required to provide any or all the following:

Your full name
Your date of birth
Your Bank Verification Number (“BVN”)
Your current residential address
Your picture
Copy of a valid Government-issued ID (national ID, international passport, permanent voter’s card, or driver’s license)
Copy of recent utility bill, bank statement, affidavit, or another bill, dated within three months of the request, which carries your name and address
Branch may cancel any transaction, suspend your account, or refuse to open an account in your name if you refuse to provide the requested information or if any information provided is untrue or inaccurate
As part of Branch’s regulatory obligations, Branch may share information about your loan transactions on the App with Credit Reference Bureaus and regulators
If you fail to make any payments due to Branch at the due date for payment, Branch may apply default interest or penalties on such outstanding amounts
Branch can make use of an external collections agency that will take all reasonable steps to collect the outstanding loan (together with any interest and fees accrued)
Branch also reserves the right to institute legal proceedings for the recovery of the loan against defaulters without any prior notice

NB: Branch does not condone any form of aggressive debt collection practices, including debt shaming.

3. FairMoney

Minimum loan amount: ₦1,500
Interest rate: 2.5% to 30% (APRs from 30% to 260%)
Payback period: 61 days to 18 months
Download Links: Google Playstore

FairMoney operates as a Microfinance Bank but with international exposure (with offices on 3 continents). It is one of the top loan apps in Nigeria.

Steps to Access FairMoney loans

Download and install the app on Google Playstore
Sign up with the phone number linked to your BVN
Answer a few questions and confirm your identity to receive a loan offer
If reviewed and accepted by FairMoney, you will receive your loan instantly in your preferred bank account.
It takes 5 minutes to get a FairMoney loan

Loan amounts range between ₦1,500 to ₦1,000,000 with repayment periods from 61 days to 18 months at monthly interest rates that range from 2.5% to 30% (APRs from 30% to 260%). Interestingly, there is an interest discount of up to 90% for early repayments!

Let’s look at a numerical example of how Fairmoney loan works; A loan of ₦100,000 borrowed over 3 months will have an interest (total cost of the loan) of ₦30,000 (30% rate). Therefore three monthly repayments will be ₦43,333. Meaning that the total amount payable is ₦130,000.

Some Terms and Conditions For Getting FairMoney Loans

If you are an individual, you must be a Nigerian citizen, 18 years or older to use FairMoney services
You must provide all information as may be requested, such as your name, BVN, email address, mobile device number, and such other information as FairMoney may request from time to time
During signup, you will be asked whether you intend to use your FairMoney Account for private or commercial purposes
As required by the CBN, there are daily limits on your Account or Wallet. You can increase or reduce these limits by providing FairMoney with the required information
FairMoney do not reschedule payment dates, you should take a loan only if you have the capacity to repay it to avoid: – Late fees – Suspension of your FairMoney account – Report to national credit bureaus as required by law (CRC, First Central)

4. PalmCredit

Minimum loan amount: ₦10,000
Interest rate: 4% to 4.7%, the annual percentage rate (APR) being 24%~56%
Payback period: 91 days to 365 days
Download Links: Google Playstore

PalmCredit is a subsidiary of a group of companies named Transsnet which is also a subsidiary of Transsion Holdings. Other subsidiaries under this group include Palmpay and Palmsave. Overall, Transsion Holdings is a mother corporation in charge of the production of phone brands like TECNO Mobile, Infinix Mobility, and Itel Mobile.

Steps for Accessing Loans on PalmCredit

Download and install PalmCredit on Google Playstore
Register an account
Fill out basic information and submit
Apply for a loan online and easily get approval
Get your loan disbursed into your bank account

Loan limits range from ₦10,000 to ₦300,000 with a flexible repayment period between 91 days to 365 days. The monthly interest rate is at 4% to 4.7%, the annual percentage rate (APR) being 24% – 56%.

For example, if you choose a 6-month loan and borrow ₦100,000, PlamCredit charges an interest rate of 4% per month. Which accumulates to 180 days repayments of ₦24,000. Therefore, the total payment is ₦124,000.

By repaying your loans in time you get to build your credit limit and reduce the interest rate.

Some Terms and Conditions of PalmCredit Loans

You must be a resident of Nigeria
Must be between 18-60 years old
You must provide all information as may be requested, such as your name, BVN, email address, mobile device number, and such other information.
The app cannot be used for any unlawful purpose or fraudulent activities
PalmCredit may report your account to relevant authorities if they suspect foul play
There are transaction fees payable on any new request for service on the app.

5. Renmoney

Minimum loan amount: ₦6,000
Interest rate: 2.4% – 9.33% and the maximum Annual Percentage Rate (APR) is 35.76%
Payback period: 3 to 24 months
Download Links: Google Playstore

Renmoney is a fintech lending company located in Lagos State, Nigeria, and operating under a Microfinance Bank license. They offer personal and business loans to employed and self-employed individuals, as well as high-interest savings and fixed deposits.

Steps to get a Loan from Renmoney

Download and install the app from Google Playstore
Choose your loan amount and tenure then share some information about yourself
Verify the information that you’ve provided
Get money in your bank account within 24 hours if your loan is approved

The loan limit on Renmoney ranges from ₦6,000 to ₦6,000,000 and the repayment period is between 3 to 24 months. Monthly interest rates range from 2.4% – 9.33% and the maximum Annual Percentage Rate (APR) is 35.76%.

For example, a loan amount of ₦2,000,000 with a tenor of 12 months and a monthly interest rate of 2.4% will require ₦214,667 as monthly repayments. The total amount to be paid at the end of the tenor will be ₦2,576,000. APR is at 28.8%.

Terms and Conditions That Qualify You For a Renmoney Loan

To qualify for a loan, you must be between the ages of 22 to 59 years
You must have a verifiable source of income
Live and/or work in cities where Renmoney operates
Have a savings or current bank account with any commercial bank in Nigeria
You will be required to provide your bank statement, a government-issued ID, utility bill, and BVN
Your debt-to-income ratio will affect the amount of loan offered to you (meaning you can be offered a lesser amount than what you applied for)

6. LCredit

Minimum loan amount: ₦5,000
Interest rate: 0.1% to 300%
Payback period: 91 to 180 days
Download Links: Google Playstore

LCredit was launched by CASHIGO as an instant personal loan app that helps Nigerians with short-term loans. The registration is simple and the verification of documents is paperless. Once your eligibility is verified, the loan money will be credited to your bank account within 24 hours.

Steps to Access Loans on LCredit

Download and install the LCredit app on your android phone on Google Playstore
Register for an account with your phone number and receive OTP
Select the product you would like to apply for.
Fill out your information correctly then submit the application
Get profile approval
Get your loan disbursed into your bank account

Loan limits amount ranges from ₦5,000 to ₦50,000, with an interest and service rate of 0.1% up to 1%. The loan period ranges from 91 to 180 days and annual interest rates are from 36.5% to 300%. The interest rate is calculated on a daily basis.

Example, if you choose a 91-day loan, payment terms have an origination fee of 39% and an interest of 2.7%. For the loan processed with a principal amount of ₦ 3,000, the origination fee would be ₦ 1,174, the interest would be ₦81, the total amount due would be ₦ 4,255.

Terms and Conditions on LCredit Loans

You must be a Nigeria resident
You must be between 18 to 55 years old
Interest is calculated on a daily basis
You must provide all information as may be requested, such as your name, BVN, email address, mobile device number, and such other information
The app cannot be used for any unlawful purpose or for fraudulent activities
LCredit may prosecute anyone suspected of foul play

7. JumiaPay

Minimum loan amount: ₦10,000
Interest rate: 3.5% monthly
Payback period: 30 days
Download Links: Google Playstore and Apple iOS

Take your business to the next level with #JumiaPay ?
Get up to a ₦100,000 loan with zero-stress here??

— Jumia Nigeria (@JumiaNigeria) January 27, 2021

Formerly known as Jumia One, JumiaPay Loan is a platform that allows you to pay bills at the lowest rates, get loans and perform many transactions, all from your mobile phone. This platform is owned by Jumia, one of the largest online marketplaces in Africa.

Steps to Access Loans on JumaiPay

Download and install the JumiaPay app from Google Playstore or Apple iOS
Go to the ‘Financial Services’ section and click ‘Loans’
Provide all the requested information
Approval takes a few minutes and you get an email requesting your details for disbursement
Once you provide your details, the loan is paid into your account instantly

You can get up to ₦100,000, to be fully repaid after 30 days. A first-timer can borrow ₦10,000 and continues to get more as you build up with them. Their interest rate is 3.5% monthly plus a 0.5% processing fee.

So, for a ₦100,000 loan, the total amount payable at the end of the month will amount to ₦103,500. The fee is ₦3,500.

Some Terms and Condition for JumiaPay Loans

You must be +18 years old
You must be a Nigerian citizen
To create a new JumiaPay account you must register using the log in details for your existing Jumia marketplace account
Jumia may suspend or cancel your account, and/or edit your account details, at any time in their sole discretion and without notice or explanation
Jumia operates an anti-fraud and anti-money laundering compliance program and has the right to perform due diligence checks on all users of JumiaPay
You will not use the JumiaPay service, directly or indirectly, for any fraudulent undertaking or in any manner so as to interfere with the use of the JumiaPay service

8. EasyCredit

Minimum loan amount: ₦3,000
Interest rate: 0.1% – 40%
Payback period: 91 days to 365 days
Download Links: APK Support

EasyCredit is one of the top recommended loan apps in Nigeria certified by the CBN as a source for online loans in Nigeria. EasyCredit has been in existence in Nigeria for more than two years and has been in competition with other loan apps like Branch, Palmcredit, Quick Check, and many other online loan apps.

Procedures to get an EasyCredit Loan;

Download and install the EasyCredit app from Google Playstore
Register an account
Apply for the particular loan amount you need
See the terms and conditions
Check box that you understand the conditions
Receive your loan
Increase your loan limit each time you repay your loan.

On EasyCredit, the lending amount ranges from ₦3,000 to ₦100,000 with the lending term being 91 days to 365 days. Interest ranges from 0.1% – 1% with a one-time processing fee ranging from ₦1,256 to ₦6,000, and the maximum APR is 40%.

For example, if you choose a 91-days loan and borrow N 3,000, EasyCredit charges an interest rate of 3.1% and a processing fee of 9.1%, which means you would be charged ₦93 as interest and ₦273 as processing fee. The total amount of repayment is ₦3,366

Terms and Conditions for EasyCredit Loans

You must be a resident of Nigeria.
You must be between the ages of 20-60 years old.
Must have a monthly source of income.
You should have a savings account.
Late loan payments automatically incur a charge of 2% by day.
Failure to repay a loan will get you reported to the First Central Credit Score Bureau which will have an effect on your ability to borrow elsewhere and other measures may be enforced to get back the loan from you.

9. QuickCheck

Minimum loan amount: ₦1,500
Interest rate: 2% – 30%, monthly interest rate of 1 – 21%
Payback period: 91 to 365 days
Download Links: Google Playstore

The platform is secured as they are PCIDSS compliant and from the positive reviews from those who have used this app, it means they are reliable. On Google Playstore they have average of 4.5 stars out of 5 stars.

Steps for Accessing a QuickCheck Loan

Download and install the loan app from Google Playstore
Sign up to create an account
Register with your personal email address, password, BVN, etc
Apply for a collateral-free loan in less than one minute
Credit scoring using an algorithm will be carried out
If eligible, the cash loan will be credited into your account within minutes

Loans range from ₦1,500 to ₦500,000 with loan terms from 91 days to 1 year. Interest ranges from 2% – 30%, with an equivalent monthly interest rate of 1 – 21%. (APRs from 30% to 260%). A QuickCheck loan has interest rates starting from as low as 5% monthly on the first loan.

Some Terms and Conditions For QuickCheck Loans

QuickCheck may in its sole discretion increase or decrease the prevailing interest rate for any reasons with or without prior notice.
QuickCheck will apply a 0.5% default charge daily on the overdue principal until the loan is paid off.
QuickCheck has the right to notify the general public in the event of default or non-repayment.
QuickCheck also has the right to institute legal proceedings against the defaulters and is under no obligation to inform the defaulter.
The defaulter will be responsible for all legal costs and expenses incurred by QuickCheck in attempting to obtain repayment of any outstanding loan balance.

10. OPay EaseMoni

Minimum loan amount: ₦3,000
Interest rate: 5% to 10% monthly
Payback period: 91 days to 365 days
Download Links: Google Playstore

EaseMoni which is last but not the least of our recommended loan apps in Nigeria operates as a Microfinance Bank that is duly licensed by the Central Bank of Nigeria. It was announced by OPay on May 17th, 2021 and its services are available to OPay customers.

Steps to Access EaseMoni Loans

Download and install the app from Google Playstore
Register with your telephone number and Bank Verification Number (BVN)
Apply for a loan
Receive money in your wallet

However, if you already have an OPay account, you can register an EaseMoni account through OPay. Your OPay wallet information will be used and the money you applied for will be deposited into your OPay wallet.

The loan amount ranges from ₦3,000 to ₦1,000,000, with a tenor period of 91 days to 365 days. The interest rate is at 5% to 10% monthly with an APR of 60%-120%.

For example, 91-day loan payment terms have an interest fee of 5% monthly. For a loan of ₦3,000, the interest would be ₦273. The total amount due would be ₦3,273. The first-month repayment would be ₦1091, the second-month repayment would be ₦1091, and the third-month repayment would also be ₦1091.

Some Terms and Conditions for Getting EasMoni Loans;

Your EaseMoni account may be canceled or terminated if OPay suspects you have registered more than one EaseMoni accounts with one BVN
If you are an OPay customer, by doing more transactions on your OPay account, you can increase your loan amount offers
If you do not pay your loan on time, you will not be able to get higher loans
If you do not pay on time, there is an overdue fee that is paid after the repayment date

Disclaimer: The information provided above for loan apps in Nigeria is for information purposes only at the time of writing. Do read the respective terms and interest rate policies of any of these recommended apps before you apply and get a loan from them as their rates and policies are subject to frequent changes as per industry regulations.

Summary List Of 10 Best And Most Reliable Loan Apps In Nigeria

Carbon (PayLater)
Branch
FairMoney
PalmCredit
Renmoney
LCredit
JumiaPay
EasyCredit
Quick Check
Opay EaseMoni

Benefits Of Using Loan Apps In Nigeria

Some benefits to using loan apps are;

Easy and instant access to loans
Does not require paperwork as against bank loans
No collateral is required
Flexible loan amount and tenure
Comes in handy during emergencies
It is easy to track the process of your loan application
Available 24/7

Downsides To Using Loan Apps In Nigeria

Just like everything that has an advantage also has a disadvantage, loan apps also have some demerits;

Although loan apps in Nigeria are easy to secure loans from, their loans sometimes come with a high-interest rate.
Loan apps go to extreme measures to recover their loans; some indulge in shaming acts like sending hostile messages to the borrower and his/her contacts.
Borrowers who default are often easily tagged fraudsters and criminals.
Some loan apps are opened by cybercriminals just to have access to unsuspecting users’ bank details.
The terms and conditions of these loan apps are nonnegotiable.
Non-consented deductions would be made from debtors’ bank accounts once they default.
Defaulters would be blacklisted from using further loan products.