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The present economic situation in Nigeria is one that has affected a lot of Nigerians and even foreigners living in the country.
Not only is the standard of living in the country is low but recent developments show that things are not likely to get better anytime soon.
To survive in this drastic Nigerian economy, some people have resort to borrowing money from family, friends, micro finances and even money lending platforms for instant cash. One of such platforms is PalmPay.
In this digitized world, it is very easy to borrow money from a digital bank like PalmPay. Not only is it reliable and efficient but it also allows customers to borrow money in the simplest way possible.
This is why in this article, we’ll be looking at what PalmPay is as well as its benefits, eligibility requirements, and how you can borrow money from it.
What is PalmPay
For first timers, PalmPay is a digital bank or platform that offers services to Nigerians who don’t have a regular bank account or who would like to use an account that is different from that of their regular bank.
But other than its banking related services, PalmPay is popularly known for lending money to customers through its Flexi Cash service.
When it comes to lending of money, one notable thing about PalmPay is that, unlike regular banks or other micro finance banks, it does not ask customers to fill out physical papers or provide collaterals before they can borrow money.
Benefits of borrowing money from PalmPay
Unlike some other money lending platforms, borrowing money from PalmPay comes with certain benefits. Here are some of them:
- With PalmPay you don’t have to go through the stress of filling paperworks before you can borrow money. The process of borrowing money is quick and straightforward.
- PalmPay usually considers its customers when adding interests to the money they borrow. Its interest rates are usually between 3% and 10%
- PalmPay does not charge hidden fees for customers who borrow money. This is because the company believes in the honesty of its customers.
- PalmPay’s loan options are also very flexible. Customers can borrow a small sum of money for a short period of time or even a large sum of money for a long period of time
- Most importantly, borrowing from PalmPay is swift and very convenient. With just your smartphone and a PalmPay account you can easily and conveniently borrow money
Eligibility for borrowing money on PalmPay
While PalmPay is popularly known for borrowing money to its customers in the simplest way possible, it is important to know that there are certain conditions you have to meet before you can be considered eligible to borrow money. These conditions include;
Nigerian citizenship
One of the primary eligibility for borrowing money from PalmPay is being a citizen of Nigeria. If you are a foreigner living in Nigeria you might not be allowed to borrow from PalmPay.
Active account
PalmPay money lending service is only available to those who already have an account with the company.
So if you want to borrow money from PalmPay and you don’t have an active account, you have to sign up for one first before you can be considered
Valid BVN
Although PalmPay do lend money to its customers without requesting for their Bank Verification Number (BVN), there are occasions where you won’t be allowed to borrow money if you can’t provide it
Means of Identification
Before you can be allowed to borrow money on PalmPay you’ll have to provide a vald means of identification. Just like BVN, this condition is also optional.
Other than the ones mentioned above other things that might be required of you before you can be allowed to borrow money from PalmPay include your employment status, debt to income ratio, monthly expenses, and proof that you are up to 18 years of age.
How to Borrow Money from PalmPay
Now that you’ve known what PalmPay is all about as well as its benefits and eligibility requirements, how then can you borrow money from the platform?
To borrow money from PalmPay, simply follow these steps:
Download the PalmPay app
You can visit the Apple app store if you are an iphone user and the Google Playstore of you are an android user to download the PalmPay app
Sign up
Once you have downloaded the PalmPay app, you can proceed to sign up. When signing up, ensure you provide the correct details you will be asked of so as nọt to encounter issues when you want to borrow money.
Configure settings
After signing up on PalmPay you will be required to configure some settings in the app. Ensure you do that.
Add your BVN
As mentioned already in this article, providing your Bank Verification Number (BVN) is optional on PalmPay.
It is however advisable you include it because if you have an increased credit limit or need to borrow a huge sum of money your BVN will be asked of you.
Apply for loan
Now that you’ve gotten the PalmPay app and have signed up, configured your settings and added your BVN (which is optional), you can go ahead to apply for the amount of loan you want.
After you have applied for a loan on PalmPay, you’ll have to wait for the loan to get approved. Once approved, you can either use the money to make purchases on the app or withdraw it.
PalmPay loan interest rate and repayment
Just like most other money lending platforms, PalmPay has an interest rate for every money you borrow as a customer. This interest rate is usually between 3% and 10% of the principal loan.
For instance, if you borrow ₦10,000 from PalmPay and the interest rate is 5%, it means you’ll have to pay back ₦10,500 with ₦10,000 being the principal loan and ₦500 being the interest.
As for repayments of money borrowed on PalmPay, you can easily do this by refunding your PalmPay account with the amount of money you want to pay back.
Once you have refunded your account, look for the repayment option in the app and follow the required process.
Related:
- How To Apply For CBN Non Interest Loan
- How To Apply For Alat Loan And Qualify
- How To Get Cbn Loan In Nigeria
- Best Loan Apps In Nigeria With Low Interest Rate
- 5 Top Loan apps without BVN in Nigeria
- 6 Best Loan Apps In Nigeria To Get Instant Cash
How to borrow money from palmpay without bvn
PalmPay does not currently offer loans to users without a BVN. This is because the BVN is a unique identifier that is used to verify a person’s identity and creditworthiness. Without a BVN, PalmPay would not be able to accurately assess the risk of lending to a person.
How to borrow money from palmpay in nigeria
If you are a Nigerian resident with a BVN, you can borrow money from PalmPay by following these steps:
- Open the PalmPay app and tap on the “Loans” tab.
- Select the loan amount you would like to borrow.
- Enter your BVN number and other required information.
- Submit your loan application.
- PalmPay will review your application and make a decision within 15 minutes.
- If your loan is approved, the funds will be deposited into your PalmPay account immediately.
How to borrow money on palmpay on iphone
The process of borrowing money on PalmPay is the same for both Android and iOS devices. Simply follow the steps outlined above.
How much can I borrow from PalmPay for the first time
The maximum amount you can borrow from PalmPay for the first time is N10,000. However, you may be eligible for a higher loan amount if you have a good credit history with PalmPay.
What credit score do I need for a 30000 loan?
The minimum credit score required for a 30,000 loan varies from lender to lender. However, a good rule of thumb is to aim for a credit score of at least 650.
Conclusion
Borrowing money on PalmPay is a quick and easy process that can help you meet your financial needs. With a few simple steps, you can access funds in as little as 15 minutes.
Whether you’re looking to cover an unexpected expense or finance a small project, PalmPay can provide the financial support you need.
Idris Ya'u
Idris Yau is an entrepreneur and a seasoned finance and marketing content writer. He brings you unbiased reviews about products and answers to your finance questions.
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