Personal Loans

Top 10 Loan Apps With Low-Interest Rates in Nigeria

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If you’re here it means you’re looking for affordable options with loans in Nigeria.

This article doesn’t give a list of all the loan apps with low interest rates. Instead, we have carefully selected the best loan apps with low interest rates in Nigeria.

Let’s get into it.

1. Carbon Loan App

Carbon offers personal loans up to ₦500,000 with interest rates from 1.75% to 30%. Apply with no trouble at all and get funds.

The Annual Percentage Rate (APR) ranges from 23% to 60.8%, and you can make repayments over 64 weeks.

<<Learn MoreWhat You Need To Know About The Carbon Pay Later Loan

Carbon loan app

2. Fairmoney Loan App

With the FairMoney online loan app, you can get flexible personal loans ranging from ₦1,500 to ₦3,000,000.

Repayment periods range from 61 days to 18 months. Interest rates vary from 2.5% to 30%, and funds are usually disbursed within 5 minutes.

You don’t need collateral or paperwork; funds are transferred to your bank account.

<<Learn MoreHow To Apply For a Fairmoney Loan in Minutes

3. P2Vest Loan App

Thep2Vest loan app enables you to sign up with valid credentials and request a loan. If approved, the loans get disbursed.

You can choose repayment terms up to 180 days based on your eligible loan amount. Their interest rates are dynamic based on your risk ratings and credit score.

4. Aella Credit Loan App

You can access non-collateralized loans up to N1,000,000 with the Aella Credit loan app.

You pay only what you owe with no late fees attached and there’s a reward for repaying your loans on time.

The monthly interest rate on the Aella app ranges from 2% – 20% and APR from 22% – 264%/annum. For example, a loan of ₦100,000 on the Aella App has a fee of ₦15,000 after 180 days.

<<Learn MoreAella Credit – What You Should Know

5. Branch Loan App

The Branch loan app lets you get instant loans up to ₦500,000. The loan tenure ranges from 62 days to 1 year. Interest rates range from 2%-18% depending on the risk profile of the customer.

<<Learn MoreBranch Loan – How To Get A Loan From Branch

6. PalmPay Loan App

The PalmPay loan app offers loans up to N200,000 without any need for paperwork or collateral. The interest rate on the app is between 15% to 30%.

It varies within that range depending on the amount of loan you obtained and your credit score.

<<Learn MoreHow To Borrow Money From Palmpay in 2024

7. Opay (Okash) Loan App

The Okash loan app gives amounts from NGN 3,000 to NGN 500,000 with fast loan approval and no documentation. Repayment of your loan is from 91 days to 365 days.

The daily interest rate is between 0.1% to 1%, while the annual interest rate is between 36.5% and 360%. For example, in 91-day loan payment terms, the interest is 9.1%.

<<Learn MoreHow To Borrow Money From Opay in 2024

8. Palmcredit Loan App

Palmcredit offers loans from NGN10,000 to NGN300,000 with an 8% interest rate.

You can repay your loans via Palmcredits’ online or offline channels in installments.

<<Learn MorePalmcredit Loan App

9.QuickCheck Loan App

The QuickCheck loan app gives access to instant online loans without collateral. You can choose your convenient repayment plan and pay in up to 12 months.

Interest starts from 2% to 30%, with an equal monthly interest rate of 1 – 21%.

<<Learn MoreHow To Apply For a Loan on The QuickCheck App

10. Renmoney Loan App

The Renmoney app allows you to apply for instant personal loans of up to N6M with zero collateral. Renmoney gives you up to 24 months to repay your loan.

The interest rate varies with the choice of loan repayment. The longer the duration for repayment, the more the interest rate.

For example, a full-year repayment may have a 33.9% interest rate, but it’s lower for loans paid back in 3-6 months.

<<Learn MoreAll You Need To Know Before Getting a Renmoney Loan

Why You Need Loans Apps With Low-Interest Rates

Here are 5 reasons you need loan apps with low-interest rates in Nigeria:

1. It helps ease your financial burden.

Unexpected financial needs can arise at any time. Traditional lending methods might not always offer the swiftest or most accessible solutions.

This is where loan apps with low interest rates come into play. They offer a lifeline to those needing quick financial assistance without the burden of excessive costs.

2. It helps you spend smartly

Significant life events often come with substantial expenses. These can include home renovations, furthering education, or starting a small business.

Low-interest loan apps can help turn aspirations into reality. They allow you to make major life moves without high-interest stress on your finances.

3. It reduces the risk of debt

High-interest loans can lead to a vicious cycle of debt. Borrowers may end up paying more in interest than on the principal amount.

Apps offering loans with lower interest rates help in mitigating this risk. They ensure that you are not caught in an endless loop of repayments.

4. It can boost your credit score

Regularly paying off a low-interest loan can impact your credit score. These apps provide the funds you need. They also help build or repair your credit history if timely repayments are made.

5. It helps in accessing emergency funds easily

Life is unpredictable, and emergency expenses can arise without warning. Low-interest loan apps offer a quick and cost-effective way to access emergency funds.

They help you manage unforeseen costs like medical bills or urgent car repairs. They don’t come with the high price tag of traditional emergency loans.

Criteria/ Requirements For Getting Loans With Low-Interest Rates

To get loans with low-interest rates, you need to meet the following requirements:

1. Maintain a strong credit score

Your credit score is crucial. A higher score increases your chances of getting a lower interest rate. Regularly check your credit report for errors.

Work on improving your score by paying bills on time and managing your debts responsibly.

2. Debt-to-Income Ratio

Your debt-to-income ratio is the percentage of your monthly income that goes towards paying debts. It plays a significant role.

A lower ratio is preferable, as it indicates more disposable income and a greater ability to repay the loan.

3. Loan amount and term

The amount of money you wish to borrow and the loan term length can affect the interest rate. Smaller loan amounts and shorter repayment periods attract lower interest rates.

<<RecommendedLoan Apps That Give More Than 100K in Nigeria

4. Seek Rate Discounts

Investigate if you qualify for any additional discounts. Some examples include autopay discounts, co-borrower options, and customer loyalty reductions.

5. Borrow only what you need

Applying for a higher loan amount than necessary can increase your interest rate. Keep your loan amount as low as possible. This will help you manage your repayments better and secure a lower rate.

Final Thoughts

Borrowing a loan is very easy these days thanks to loan apps. But, you still need information on the loan app in Nigeria with low interest rates.

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