7 Banks That Gives Instant Loans in Nigeria (2023 Guide).
Instant loans, also known as quick cash loans or fast loans, have become increasingly popular in Nigeria due to their convenience and accessibility. With the rise of digital banking, many financial institutions in Nigeria now offer instant loans that can be applied for and disbursed within a few hours, without the need for collateral or extensive paperwork.
In this article, we’ll explore the world of instant loans in Nigeria, including what they are, how they work, and where to find them.
What are Instant Loans?
Instant loans are short-term loans that are designed to meet the urgent cash needs of individuals and businesses. Unlike traditional loans, which can take days or even weeks to process, instant loans can be applied for and disbursed within a few hours.
They are also typically unsecured, meaning that they don’t require collateral.
Instant loans can be used for a variety of purposes, including paying bills, covering unexpected expenses, or taking advantage of a business opportunity. They are typically offered in small amounts, ranging from a few thousand naira to a few million naira, and are designed to be repaid within a few weeks or months.
How Do Instant Loans Work?
Instant loans work differently depending on the lender, but they generally involve the following steps:
- Application:
To apply for an instant loan, you typically need to provide your personal information, including your name, address, and employment status. You may also need to provide proof of income, such as a pay stub or bank statement.
Approval:
Once you have submitted your application, the lender will review it to determine whether you meet their eligibility criteria. If you are approved, the lender will typically disburse the loan within a few hours.
Repayment:
Instant loans are typically designed to be repaid within a few weeks or months, depending on the lender. Repayment terms vary, but they typically involve making one or more payments that include the principal amount borrowed plus interest and any fees.
How to apply for an instant loan online in Nigeria
To apply for an instant loan online, you need to follow these simple steps:
Choose a lender:
There are many lenders in Nigeria that offer instant loans online. Before you apply, you should compare the interest rates and terms of each lender to find the one that suits your needs.
Check eligibility:
Before you apply for an instant loan, you need to check if you meet the lender’s eligibility criteria. Some lenders require you to have a certain credit score, while others may require you to have a verifiable source of income.
Fill out the application form:
Once you have chosen a lender and checked your eligibility, you need to fill out the application form. The form will ask for your personal and financial details, such as your name, address, employment status, and income.
Upload supporting documents:
Some lenders may require you to upload supporting documents, such as your ID card, bank statement, and payslip. Make sure you have these documents ready before you apply.
Submit the application:
After filling out the application form and uploading supporting documents, you can submit the application. The lender will then review your application and notify you of the loan decision.
Benefits of instant loans in Nigeria
Instant loans offer several benefits to individuals and businesses in Nigeria, including:
Convenience:
With instant loans, you can apply for a loan online from the comfort of your home or office. You don’t have to visit a bank or fill out extensive paperwork.
Accessibility:
Instant loans are accessible to a wide range of individuals and businesses, including those without collateral or a good credit score.
Quick disbursement:
Once your loan application is approved, the funds are disbursed within a few hours. This makes instant loans ideal for urgent cash needs.
Flexible repayment:
Many lenders offer flexible repayment options, such as weekly or monthly payments. This makes it easier for borrowers to repay the loan without straining their finances.
Low-interest rates:
Some lenders offer low-interest rates on instant loans, making it more affordable for borrowers to access credit.
Nigerian Banks that Give Instant Loans:
Some of the banks that give loans are listed below;
Access Bank:
Access Bank’s payday loan is designed to meet the urgent cash needs of salary earners. With this loan, you can access up to 50% of your monthly salary, and the loan is repayable within 31 days. To apply for the Access Bank payday loan, you need to have an account with the bank and be a salary earner.
GTBank:
GTBank’s Quick Credit loan is designed to meet the urgent cash needs of both salary earners and non-salary earners. With the Quick Credit loan, you can access up to N5 million, and the loan is repayable within 12 months. To apply for the Quick Credit loan, you need to have a GTBank account and a verifiable source of income.
Sterling Bank:
Sterling Bank’s Payday loan is designed to meet the urgent cash needs of salary earners. With the Sterling Bank Payday loan, you can access up to 50% of your monthly salary, and the loan is repayable within 30 days. To apply for the Sterling Bank Payday loan, you need to have a Sterling Bank account and be a salary earner.
Fidelity Bank:
Fidelity Bank’s FastLoan is designed to meet the urgent cash needs of salary earners and small businesses. With the Fidelity FastLoan, you can access up to N1 million, and the loan is repayable within six months. To apply for the Fidelity FastLoan, you need to have a Fidelity Bank account and a verifiable source of income.
First Bank:
First Bank’s FirstAdvance loan is designed to meet the urgent cash needs of salary earners. With the FirstAdvance loan, you can access up to 50% of your monthly salary, and the loan is repayable within 30 days. To apply for the FirstAdvance loan, you need to have a First Bank account and be a salary earner.
Zenith Bank:
Zenith Bank’s Salary Advance loan is designed to meet the urgent cash needs of salary earners. With the Zenith Bank Salary Advance loan, you can access up to 50% of your monthly salary, and the loan is repayable within 30 days. To apply for the Zenith Bank Salary Advance loan, you need to have a Zenith Bank account and be a salary earner.
Kuda Bank:
Kuda Bank is a digital bank that offers instant loans to its customers without the need for collateral or extensive paperwork. With Kuda Bank’s instant loan, you can access up to N200,000, and the loan is repayable within 30 days. To apply for Kuda Bank’s instant loan, you need to download the Kuda Bank app and have a verified account.
FAQs
What are instant loans?
Instant loans, also known as quick cash loans or fast loans, are loans that are approved and disbursed within a short period of time, typically within a few hours. These loans are designed to meet the urgent cash needs of individuals and businesses, and are usually unsecured, meaning they do not require collateral.
How do I apply for an instant loan?
To apply for an instant loan, you typically need to fill out an online application form and provide some basic personal and financial information. Some lenders may also require you to upload additional documentation to support your application, such as bank statements or proof of income.
Once your application is submitted, the lender will review it and make a decision on whether to approve or reject your loan.
How much can I borrow with an instant loan?
The amount you can borrow with an instant loan varies depending on the lender and your financial profile. Some lenders may offer small loans of a few thousand naira, while others may offer larger loans of up to N5 million or more.
What are the interest rates on instant loans?
The interest rates on instant loans can vary widely depending on the lender, the amount borrowed, and the length of the loan term. Typically, these loans come with higher interest rates compared to traditional bank loans, as they are designed to be short-term loans with a quick turnaround.
How long does it take to receive the funds from an instant loan?
The time it takes to receive the funds from an instant loan varies depending on the lender and the method of disbursement. Some lenders may disburse funds within a few hours of approval, while others may take several days to process and disburse funds.
Are instant loans safe?
While instant loans can be a convenient way to access quick cash, it is important to be cautious and only borrow from reputable lenders. Make sure to read the terms and conditions of the loan carefully, and be aware of any fees, penalties, or hidden charges associated with the loan.
Can I get an instant loan with bad credit?
While having bad credit may make it more difficult to be approved for an instant loan, there are some lenders who specialize in lending to individuals with poor credit histories. These lenders may charge higher interest rates or require additional documentation to support the loan application.
What happens if I can’t repay my instant loan on time?
If you are unable to repay your instant loan on time, you may face additional fees, penalties, or damage to your credit score. It is important to communicate with your lender if you are experiencing financial difficulties and explore your options for extending the loan term or renegotiating the terms of the loan.
Are there alternatives to instant loans?
If you need quick cash but are unable to access an instant loan, there are several alternatives you can explore, including borrowing from friends or family, using a credit card, or selling unwanted items to generate extra cash. It is important to weigh the pros and cons of each option and choose the one that is best suited to your needs and financial situation.
Conclusion
Instant loans are a game-changer for those who need quick cash without the hassle of extensive paperwork or collateral. With the rise of digital banking, many financial institutions in Nigeria now offer instant loans that can be applied for and disbursed within a few hours.
These loans have helped salary earners and small businesses meet their urgent cash needs and bridge financial gaps.
Access Bank, GTBank, Sterling Bank, Fidelity Bank, First Bank, Zenith Bank, and Kuda Bank are some of the banks in Nigeria that offer instant loans. Each bank has its own terms and conditions, interest rates, and repayment periods, so it is essential to compare and contrast before making a decision.
It is important to keep in mind that instant loans should only be taken out for urgent and essential needs, and not for frivolous spending. Borrowers should also ensure that they can comfortably repay the loan on time to avoid penalties and negative credit scores.
Finally, it is always recommended to read the fine print and understand the terms and conditions of the loan before signing up. With proper research and careful planning, instant loans can be a convenient and accessible way to get quick cash when you need it the most.