The Federal Competition and Consumer Protection Commission (FCCPC) has requested all loan apps operating in Nigeria either hosted on Google Play Store, Apps Store or hosted on other platforms to get formal lending registration and approval from it by the end of January 2023 or have its operation shut down. By 14th of February 2023, the commission claimed it has fully approved the operations of 78 loan apps in Nigeria including online lending platforms and digital microfinance companies, while 45 of those lending companies that applied only got conditional approval.
The registration and subsequent granting of operational licences to loan apps became necessary following the unethical lending practices that have become the daily procedures of these digital lending platforms. As we write this report, consumers and borrowers have and still suffering victms of cyber attacks and public shaming by fake loan apps in Nigeria, exposing and compromise their data to unsolicited third parties and making them suffer undue emotional torture.
Loan apps in Nigeria and their maximum loan amount
A loan amount or what is sometimes called maximum loan amount, or lending limit, describes the maximum amount of money that a borrower or loan applicant is allowed by the loan application or lending platform to borrow if the loan is approved. Maximum loan amounts are used for personal loans, payday loans, salary advance loans and credit card loans.
Loan amount always depend on several factors including a borrower’s creditworthiness, length of the loan, loan purpose and whether the loan is backed by collateral or not. Lenders must also consider their own risk parameters when determining a borrower’s total principal and loan eligibility. Thus, maximum loan amounts can also be based on the risk diversification of a lender. For a borrower, the loan amount will depend on a combination of factors key of which is the purpose of the loan and ability to make repayment.
Top 7 loan apps in Nigeria and the highest loan amount
Some of the most oustanding loan apps in Nigeria with the highest lending amount and the most towering number of users, and flexible tenor include Branch App, Carbon App, Fairmoney App, Aella Credit App, QuickCheck App and Lendigo App among others. These digital lending applications give quick access to instant loans within few minutes of request without collateral, documentation or paperwork.
Top loan apps In Nigeria
Giving Highest Loan Amount
|#6||Alat by Wema||N2,000,000|
1. Branch App
Branch is one of the most trusted loan app in Nigeria with over 10 million users and is known for granting fast and emergency loans with monthly interest between 2.5% to 20% and APR of 18% to 260%. Branch do not charge late or rollover fees, nor put restrictions on how you spend your money. A review of Branch loan amount shows that platform has loan amount ranging from ₦2,000 to ₦500,000. The fastest way to increase loan amount you are eligible to collect is to build credit by making each repayment as scheduled. Branch loan tenor ranges within 2 months.
2. Carbon App
Carbon is one of the best loan apps in Nigeria that approve lending without collateral, guarantors, or paperwork. The platform is available all through the day and night including weekends and holidays. Carbon will evaluate your application and inform you of your eligibility when you’ve specified the amount you want to borrow. Once accepted, Carbon will immediately deposit the cash into your account within few minutes. Carbon interest rate ranges from 2% to 20% while loan amount is up to N1,000,000.00.
3. FairMoney App
FairMoney is another reliable online loan app in Nigeria because of its seamless lending procedures, superfast approval and excellent customer service. The loan is 100% online, with no collateral or documents required to apply which can be executed any time, any day of the week. Customers and users of this platform are in excess of 5 million on Google Play Store alone. Loan amounts of FairMoney range between ₦1,500 to ₦1,000,000 with tenor ranging from 2 to 18 months at monthly interest rates from 2.5% to 30% (APRs from 30% to 260%).
4. Aella Credit App
Aella Credit exists to simplify and open up financial access for all in emerging markets by leveraging technology and widespread mobile adoption for Nigerian borrowers. The lending platform offers loans at low interest rates and demands no late fees. Aella Credit app has a monthly interest rate of 2% to 20% and APR of 22% to 264% per year. Loan amount ranges from N2,000 to N1,500,000 which has resulted to well over 1 million users across board. Aella Credit has a loan tenor of 2 to 12 months.
5. QuickCheck App
QuickCheck, one of the best loan apps in Nigeria is well trusted for its reliability and mostly patronized because of its firm protection and commitment for customer data privacy. A QuickCheck loan has interest rates starting from as low as 2% monthly and could be up to 30%. APRs range from 30% to 260%. However as you stay loyal and make repayment as at when due, you should be able to get an interest rate as low as 1% per day, making the digital lender one of the market’s lowest interest rates. Loan request takes over 24 hours to execute while loan amounts range between ₦1,500.00 and ₦500,000.00. You can make repayment between 3 months to 12 months.
6. Alat by Wema App
Alat By Wema is one of the leading instant loan apps in Nigeria and it is best platform for salary earners looking for quick loans without paperwork or collateral. ALAT operates a digital bank that can be run by an internet connected device, providing loans, savings and cash transactions and is a product of Wema bank. Alat loan interest rate is 2% per month on a reducing balance basis while loan amount is as much as N2,000,000. Monthly repayments can be executed between 3 to 24 months.
7. Lendigo Business App
Lendigo app is one of the most reputable instant loan platform for small business borrowing in Nigeria. The app which has over 500,000 users offers easy, fast and flexible access to working capital for businesses with interest rate from 4% on a monthly basis. Lendigo offers loan amount from N100,000 to N10,000,000.00 without collateral, documentation or paperwork. Once you accept and sign the offer, you will receive the loan amount paid directly to your account. The whole process is usually completed within 48 – 72 hours. Monthly payment ranges between 1 – 6 Months.
Loan tenor is the period given by the creditor to the debtor in paying installments. Generally, the longer the tenor, the higher the interest rate offered. On the other hand, shorter tenors will offer lower interest rates. Usually, loan interest rates offered by Financial Institutions such as Banks and Financing Companies range from 1% to 3% per month, if using a fixed interest rate.
Unfortunately most illegitimate and unregistered loan apps in Nigeria give loan to consumers for 7 days tenor and loan amount as little as N5,000 and most times not more than N20,000. This is unacceptable lending practice as necessary guidelines from Google Policy stipulate that tenor should not be less than 60 days minimum.
Some of the best and most reputable fast loan apps in Nigeria with the highest number of users, highest range of loan amounts and most flexible tenor include Branch, Carbon, Fairmoney, Aella Credit, Umba, QuickCheck, Alat by Wema and Lendigo business App among other credible platforms. You can get an instant loan disbursed into your account within few minutes of applying from any of these lending applications without submitting any collateral, documentation or paperwork.