Wondering what are the Dangers of loan apps in Nigeria. Are you trying to find out where and how to get personal loans online in Nigeria without putting up collateral? Here’s a list of loan applications you can use and ones you should stay away from.
At the moment, at least 90 million people in Nigeria live in extreme poverty, and the World Poverty Clock is ticking very quickly. In 2020, many Nigerians were expected to sink deeper into poverty as crude prices fell and the COVID-19 pandemic hit the country’s already struggling economy. In no time, Africa’s largest economy by gross domestic product fell into a recession for the second time in five years. Many Nigerians who are hungry often borrow as little as 500 from a neighbor, friend, or family member.
Avoid bad loan companies that can make your life difficult. Any mobile loan app that asks you to pay more than 100 Naira as a service fee for a larger loan of up to 50k is a scam. Run away and uninstall it right away. Even though they don’t offer loans, they will ask for your debit card information and then send you to other loan providers.
I know how easy it is now to get small amounts of money when you need them quickly. All it takes is a few clicks on your phone, and you’ll get an alert. No more insults from your friends, and no one even needs to know that you are broke.
I’ve been keeping an eye on all of these mobile loan apps for Nigerians so I can see how each one works. Let’s not forget that I once made a list of the best mobile loan apps in Nigeria. Today, I’m going to give you a list of the worst loan apps you should stay away from at all costs.
Let me tell you something: Half of the loan companies aren’t there to help you, but to make your life so hard that you’ll regret it. When it comes to a loan, it’s all business, but it’s not okay to be too greedy and try to get money from desperate, helpless Nigerians in this way.
I’m not trying to unfairly blame any loan provider, but after seeing what most of them do, I decided to tell people to stay away from them or they’ll end up being the ones to blame.
Thanks to the CBN, a bank verification number (BVN) was created, which led to the birth of a quick online loan that didn’t require any paperwork. Most of the time, I don’t download loan apps because I need a loan. However, in order to review them, I have to download them and borrow from them, even if it’s just a small amount.
I’ll tell you why you should stay away from any loan app in Nigeria that is on my list of bad loan apps. The details will come after the list, but keep in mind that it’s just a suggestion. You don’t have to use the loan apps, but I’ve done my own research on them and there’s a good reason why I said you should stay away from them completely.
How to identify bad lenders (bad loan apps)
I’ll say it again: being bad doesn’t mean you can’t get a loan from them. The real problem is how they do business, so if you care about your reputation and peace of mind, you should stay away from them. Here are some telltale signs of a bad loan:
- Higher rate of interest
- Shorter loan terms, such as (7-14 days)
- Bad lenders will come up with different service fees and interest rates.
- They don’t care about their clients.
- When you don’t pay, even for a few hours, they send mean messages to everyone you know.
- Can start a fight before the loan is even paid off.
- Before approving a loan, they charge a fee to check the card.
- Some don’t give loans but send you to other apps that do, and they charge you for the service.
Here is the app for mobile loans that you should not use. In the meantime, I’ll tell you why you should stay away from them because they will only make you mad in the end.
Sokoloan is a loan company with more than 3 different mobile loan apps that all do the same thing. You can use them to get a loan, but they aren’t very good at what they do, and if you aren’t careful, you’ll be sorry you ever met them.
How come a company made more than one loan app instead of just making one better? Who told them that Carbon had a lot of success and was now the best in Nigeria because it had made more than one loan app? The reason is simple: if you have a problem with one of their apps, you will still end up using their other app without knowing it.
Sokoloan and its partners are in business to make money, and they don’t care who gets hurt or who you are. Their business interests and customer service are like a death trap. When you go to Google Play, they have good ratings and reviews because they paid foreigners to give them 5 stars, and most of the time they force their users to give them 5 stars to increase their chances of getting a loan.
I won’t be able to tell you what each of these loan companies is doing, but you should stay away from anyone on the list below. Most of them are part of the same loan company (Sokoloan), but even the ones that aren’t are awful to work with.
Example Of Sokoloan Embarrassment Message:
“This is to let everyone know that (name)(phone number) is a chronic debtor who has taken company money and is on the run. So, people are told to stay away from him until he is caught.”
“A suspect with the name (xxxx) and phone number (xxxx) stole money from the company, and the police are looking for them. Please let us know if you find it or get in touch with any of the family members.”
If you care about yourself and your reputation, don’t use this loan app. They will send messages to all of your phone contacts saying you owe them money and even call you a thief and fraudster, even if it’s just N3000.
But they are very greedy, and their interest rates are terrible. Imagine being offered N4,000 to pay back N6,500 in 7 days. If you have to, don’t miss even a second of paying back the loan, or you’ll only have yourself to blame.
I don’t see much difference between these mobile loan apps. They don’t help you solve your problem, they just make it worse because their interest rates aren’t good and their loan terms aren’t good either. Don’t take matters into your own hands and get into trouble, or you will have to learn the hard way.
4. Go cash loan app
GoCash is another bad loan app that you should avoid at all costs if you care about your reputation. It’s just as bad as the others because I think their interest rates and loan terms are a scam.
All of these loan companies are too greedy, and you should stay away from them because they won’t help you and will only make your situation worse. Stay away from loans that don’t give you at least 15–30 days and a fair interest rate.
I don’t even know what to say because they just keep doing the same thing to poor Nigerians who needed money quickly for one or two things. Their interest rates and loan terms are not good.
All of them use the same trick, which is that you need to have a good loan history before you can get a good interest rate and longer loan terms. But even if you use them 10 times, you will still be in the same place. Skip them and look for something better.
Even if you need money quickly, you should stay away from LionCash. They can threaten you even before the loan is due, they are rude and unprofessional, and their interest rates and loan terms are not good at all. On top of that, their customer service is very unprofessional.
Don’t say, “Had I known at last,” because when you need money badly, you don’t even think about the consequences until much later. Also, I’m telling you to stay away from all of these loan apps not just because they treat their customers badly but also because the loans they offer and how long they last are death traps and not solutions to your problems.
7. GMoney loan app
You can use the GMoney mobile loan app to borrow money when you’re in trouble, but try to avoid it as much as possible because the interest and length of the loan are not in your favor. They want to take advantage of you and are ready to do so at any time.
If you have to borrow from one of the apps I listed above, make sure you have a solid plan for paying them back because they are not kind and won’t listen to you unless you want them to tell everyone in your contacts that you owe them money. They can even call you a thief and a con artist.
8. Fast Money loan app
Fast money isn’t better or worse than the other bad loan apps listed, and if you use them, you should be prepared for some kind of problem. The worst thing is that their loan interest rates and terms are very bad and you should avoid them.
No loan provider has the right to threaten their customers and send abusive text messages to all of their phone contacts, but it seems like they don’t care about anything and are willing to do anything, even hurt you, to get their money back. Be prepared for what will happen if you don’t stay away from these unprofessional lenders who can make your life difficult.
9. ICoin loan
ICoin isn’t that bad, but the way they do business is terrible. I don’t know if you’re the kind of person who can take out a loan and never pay it back, but if you are, don’t do that with any loan company, good or bad, because it’s bad and can get you into trouble.
But I know that you might run into problems out of the blue that could cause you to not pay back the loan you took out. Taking this into account, I don’t think you should use Icoin as an alternative to a quick loan, because you’ll have to pay up to $1,000 for every day you don’t pay back your loan, and you can’t get out of it. They don’t care about anything but making money.
10. Getcash loan app
Get Cash Mobile Loan App should be avoided at all costs because it is one of those loan apps that doesn’t care how you’ve used their services in the past. If you make even a small mistake, they will send text messages to your contacts saying that you owe them money.
Aside from that, their interest rates and loan terms don’t look good for you as a borrower. If you want to feel safe, you should stay away from them. Your reputation is worth millions, so stay away from them and don’t let any loan app, for any reason, hurt your reputation.
I will stop the list here but there are more than 50 bad loan apps presently in the Google play store. I know how desperate you can feel when you need help but have no one to help you but these companies that offer quick loans. However, try as much as you can to avoid the bad ones or you will regret it later.
Watch out for fake loan apps that don’t offer any loans.
I’ve seen a lot of fake loan apps that don’t give loans but charge you between $1,000 and $5,000 as a service fee and say they’ll give you between $50,000 and $500,000 with 1% interest. They are scammers who won’t give you a loan but will send you to someone else who will. When you give them information about your ATM, you also put your money at risk.
Please don’t try them, or you will end up crying because the little money you have will slowly disappear.
Even Google can’t tell any more which mobile apps are good and which ones are bad. Google’s Play Store, on the other hand, uses ratings and reviews from users to tell good apps from bad ones. However, fraudsters with bad intentions have found ways to get around this.
On the other hand, Facebook is the worst. They don’t care who you are or what you do as long as you have a few dollars to spend on their ads.
Best mobile loan providers so far in Nigeria
I think it would be helpful to list the best loan providers in Nigeria along with the bad loan apps. These loan providers will give you peace of mind, but you have to stick with them to get the best loan offer without any paperwork.
You can get a loan that lasts longer and has the lowest interest rate you can find in Nigeria. They are made to help you when you need it most, and they are not as greedy as the ones I listed above.
1. Carban loan: Carbon is the best loan company in Nigeria right now. It might not be easy to get approved, but once you do, you’ll know why they’re the best.
2. Branch loan: You should also stick with Branch because they are one of the most trusted and best loan companies in Nigeria. As the saying goes, nothing good is easy. Just pray to be approved, and you’ll get the lowest interest rate and the longest loan term.
Other good apps for loans are:
- Aella Credit
- Quick Check
- New credit
Everyone who reads this, my advice is to try as much as possible to make do with what you have. If you can’t, though, borrowing from a person is by far better than borrowing from these companies. “If you love your peace, don’t use this app,” one review said. Save yourself, save your reputation. Stay away from Sokoloan, 9ja Cash, Fast Money, Get Cash, GoCash, and other sites like them. Stay far away from them! Do not fall into a trap because you are desperate.
Have you borrowed money from Sokoloan or 9ja Cash? What What do you think?