Some loan applications have changed their rates to reflect the new rate as a result of the CBN’s most recent hike in interest rates.
At the most recent meeting of its Monetary Committee, CBN set the interest rate at 18%. The interest rates for about ten loan applications were made public, and they were set as low as possible to draw customers.
The Federal Competition and Consumer Protection Council (FCCPC) recently published a list of over 173 Nigerian digital banks and certified online lenders. According to the Commission, it has forbidden unapproved online digital banks from functioning as recognized institutions under the law.
After a flood of complaints from Nigerians about rights abuses and harassment by these internet lenders, the FCCPC took action.
FCCPC subsequently requested that unapproved loan apps be removed from Apple and Google’s app stores.
According to reports, the Commission indicated that it intended to register digital lending organizations in Nigeria in order to purge the microlending ecosystem there.
Before publishing the new list, the FCCPC said that 78 businesses had obtained full authorization to function as digital money lenders in Nigeria as of January 2023.
Once the CBN increased interest rates, certain authorized online lenders announced revised interest rates to follow the rules accepted by the top bank.
Online lenders and their interest rates
Branch: 3-23%
Offers personal loans from N2,000 to N500,000
FairMoney:2.5% to 30%
Offers loans from N1,500 to N1 million
Carbon: 2% to 30%
Okash: 0.1 to 1%
Offers N3,000 to N500,000 in personal loans
Aella Credit:22% to 264%
QuickCheck: 1-21%
Offers N1,500 to N500,000 in interest rates
Umba: 10%
Offers N2,000 to N30,000 in personal loans
Newcredit: 4%
Offers N10,000 to N300,000 in personal loans
Ease Cash: 5 to 20%
Offers personal loans of N1,000 to N100,000
