5 Best Loan Apps In Nigeria


There are times when you are desperately in need of money to take care of an urgent need or unexpected expenses but just don’t have it on you.

Taking an instant loan seems like the ONLY viable option. And one of the easiest and most popular ways people get it these days is through loan apps.

But if you have tried some of these fintech apps, you probably know how strict they are with their procedures. Some are even too demanding with loads of red tape to bypass. And one wrong entry could deem you “NOT eligible.”

Nevertheless, there are a few that are hassle-free and won’t take you up to 5 minutes to setup. I’m talking about the likes of Branch, FairMoney, and Carbon (Formerly Pay Later). If anything, these are the best loan apps in Nigeria you should be considering.

 5 Best Loan Apps In Nigeria

Below are our top picks of loan apps that won’t only disburse loans almost instantly, but are also safe with achievable repayment terms:

1.    Branch

I’ve always rated Branch SO highly!

Applying for a Branch loan is like ordering a pizza to be delivered to your doorstep. It only takes about 3 to 4 clicks away for the Branch to grant you those loans to your wallet.

No need for paperwork or unnecessary requirements and verifications.

Their interface is also one of (if not) the simplest, which makes it easier on first-timers like you.

You can start with as little as ₦1,000, with an option to borrow up to  ₦1,000,000. Their repayment period and added interest are considerably fair, too.

Among other things, Branch is more than just a loan app. It is more of a digital bank where you can save up money, pay bills, purchase airtime, data bundles, and request a debit card —all at the expense of your wallet.

2. FairMoney

Not in any way, shape, or form FairMoney won’t make it to the top of this list. They are arguably the best loan apps with cult-like users.

But what sets FairMoney apart is their level of trustworthiness and speedy loan disbursements.

FairMoney makes over 10,000 daily loan disbursements with 210,000 MONTHLY CARD TRANSACTIONS. That is HUGE! Probably one of the highest I’ve seen —let alone with 5 million plus users constantly banking, saving, and using FairMoney investment services.

FairMoney went further to claim they have about ₦3.36 Billion SAVED in their name. And who can doubt that? They are licensed by the Central Bank of Nigeria (CBN) and their deposits are insured by The Nigeria Deposit Insurance Corporation (NDIC).

Personal Loans take none less than 5 minutes to reflect in your wallet —it doesn’t matter the amount. The repayment terms are achievable with no collateral whatsoever.

3. Carbon (Formerly Pay Later)

When I first heard of Carbon, I thought they were just another start-up that probably bites off more than they can chew.

Guess what?

This is my third time applying for a loan on Carbon.

Forget about the loan thing for a second. Carbon allows you to earn 15.5% interest on your deposits.

That is a good bit of business. You can save and earn but the money has to be on the 12-month fixed Cash vault savings plan with a minimum of ₦50,000 deposit.

Even so, I won’t place them above Branch or FairMoney. But in my opinion, they sit prevalently amongst the best loan apps in Nigeria.

Their loans are swift. You are first eligible for ₦1,500 —₦10,000. And as with any loan app, you will have to repay early to unlock a larger amount.

4. PalmCredit

I won’t write Palmcredit off either. They have the best customer service for an online bank. That is what puts them ahead of the curve.

Although, PalmCredit won’t grant you anything more than ₦300,000. But they have one of the most flexible repayment terms with no collateral or paperwork.

You might not see PalmCredit on Ads or billboards, but they are a secure and reliable online bank with no hidden transaction fees or rollover charges.

Registration for loan disbursements doesn’t take more than 5 minutes. You just have to download the Palms Credit on either the Play Store or App Store, register with basic information, and then apply for the loan.

5. RenMoney

And last but not least is RenMoney. Like Palmcredit, you might not be familiar with RenMoney but their reputation for quick loan disbursement can’t go unnoticed.

They offer swift loans with flexible repayment terms. The app is also user-friendly with an intuitive interface, which makes it easier for first-timers.

RenMoney is in the same bracket as Branch and FairMoney for disbursing larger loans (from ₦50,000 to ₦4,000,000) with convent repayment terms that can easily be met by anyone.

Frequently Asked Questions

Is It Safe To Store Money In An Online Bank?

Yes, online banks are safe. You are assured that your hard-earned money and personal data are safe.

Online banks mimic the security protocols of traditional brick-and-mortar banks to give that extra bit of assurance.

For instance, most of these fintech apps are licensed by the Central Bank of Nigeria and insured by the Federal Deposit Insurance Corporation (FDIC), just like traditional banks do.

The big names even go further to invest heavily in security measures (like multi-factor authentication, data encryption, and fraud monitoring systems) to ensure your money and transactions are 24/7 secured.

How Do I Know If A Loan App Is Legit?

Some of the telltale signs are if they are licensed by CBN, insured by FDIC, or registered with the Securities and Exchange Commission (SEC) or other relevant regulatory body.

Check for reviews, contact their customer support, and be wary of any BIG promises that seem too good to be true —promising to give an enormous amount of loan for the first time with extremely low-interest rates.

As more and more Nigerians get involved with loan apps, fraudulent activities are becoming topics of concern. Imitations are operating only to their interest. So you want to be careful where you invest your money.

What Happens If I Don’t Repay My Loan On Time?

No one is going to arrest you so take a deep breath. However, if you don’t meet up with the repayment deadline, you could be charged late fees or even worse.

In extreme cases, the company may apply aggressive collection tactics to almost instantly debit from your traditional bank, or constantly buzz your phone to remind you.

I’ve heard some Bvn have been blacklisted and reported.

What Are The Requirements To Get A Loan Through A Loan App?

There is no need for collateral or long paperwork. All it takes to acquire a loan from these apps is a smartphone, a valid ID, debit card details, and a BVN.

Final Words

So which one is it going to be?

Is it Carbon, PalmCredit, RenMoney, or Branch?

Well, if I were in your shoes, I would pick  Branch and FairMoney —and for good reasons, one being the fact that I’ve had first-hand experience with these two and I’ve yet to see other competitors beat them at what they do.

But should you apply and not get approved, you can take your chances with the other loan apps.

Carbon is another great option among these 6 best loan apps in Nigeria, even though Brach and FairMoney are a level above.

Ekemini Robert

Hello, my name is Ekemini Robert, creator of Electronics Diary. I started writing about satellite TV about 5 years ago. My work is to create resources that will help us learn more about Digital Media and how they can best serve us.

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