Are you in urgent need of cash? Getting a quick and instant loan can come in handy in such situations. 

Fortunately, in Nigeria, there are various financial platforms online that offer instant loans without requiring any form of collateral or complex documents or legal works. 

All you simply need to do is apply, and in a matter of minutes, your loan should be ready. 

In this post, I’ll reveal to you some of the legitimate online lending platforms [apps and websites] where you can get quick and instant loans to solve your pressing financial needs. 

Capital is the primary constraint of small and medium-scale businesses. In the past, getting past this hurdle used to be problematic. 

If you’re unable to raise money on your own or from people around you, the next probable course of action would be applying for a loan. 

A few years ago, getting a loan from financial institutions (banks or informal money lenders) required collateral— to serve as a guarantee that you’ll pay back your loan—and to cover the risk if you fail to do so at the stipulated time. 

This made it difficult for most people to secure loans as the collateral demanded by most banks were difficult to tender.

Also, the numerous documents required to kick-off the process discouraged many from borrowing. 

Fast forward to 2020, the process of getting a loan is almost as easy as recharging your phone with a mobile banking app—it’s smooth and easy. 

Whatever your financial needs may be, either to settle off some pressing needs or starting a new business, you can get a quick loan without collateral in Nigeria. 

What is a loan? (And what you should know before seeking for a loan)

A loan is an amount of money [or any other material goods] given to another party in exchange for future repayment of the loan along with interest. – Investopedia 

Ignore the big grammar… besides, you probably already know what a loan means. You wouldn’t be reading this post if you didn’t. 

However, I want to draw your attention to something very important. 

From the above definition, the keyword here is interest. Take note of this. This is the reason I pulled up the definition. 

For the sake of simplicity, loans can be broadly classified into two distinct types— Secured and Unsecured loans. 

Secured loans are loans that require collateral, while Unsecured loans are loans that do not require a collateral. 

The major distinct difference between these two is the fact that unsecured loans tend to have a higher interest rate than secured loans, as they are typically riskier for the lender. 

Therefore, getting a loan in Nigeria without having to tender collateral means you’ll be applying for an unsecured loan (which is what this post covers). 

Nigerian banks have one of the highest lending rates (interest rates charged on a loan) in the world. Averaging at 14.60 per annum and sometimes even as high as 16.00 pa. 

This explains the high influx of lending platforms in Nigeria in recent years. It’s good business with fast returns for lenders.  

Hence, it’s important to put the interest rate at the forefront of your mind before applying to get a loan.  

Can a loan be gotten without paying interest? 

Well, of course. You can get a loan without having to pay interest… If the lender is a friend or family member.

However, when dealing with formal financial institutions (like banks and online lending platforms), you’ll be required to pay interest. 

This is how they get to make their profit by trusting you with their cash. It’s quite fair.  

But don’t worry about how you’re going to pay back your loan…

You’re welcome. 

Alright. Since we’ve gotten the complex financial terminologies and brouhaha out of the way, let’s delve into the business proper of the reason you’re here. 

Top 8 Apps and Websites to get quick and instant loans in Nigeria Without Collateral.   

1. OKash. 

OKash is an automated lending platform under OPay in charge of disbursing loans to applicants.

Getting a loan from OKash could take only a matter of seconds and funds are credited almost instantly upon approval. 

Their interest is dependent on your loan amount and tenor (ranges from 30-365 days). The payable interest could vary from 9% to 35%.

For a new member, you’re at liberty to borrow as low as N3,000 to as high as N30,000. This is perfect for students and individuals in need of quick cash to cater for immediate needs. 

You can apply for loans on Okash through their official app. The app is simple and very easy to use. 

To get a loan from Okash without collateral, simply install the app from the Android Playstore and sign-up for an account. Log in and fill in relevant details to kick-start the loan application process. 

Upon approval of your application (which takes less than 5 minutes), you will be credited with your loan amount almost immediately. 

2. QuickCheck. 

This is an online application that provides quick loans to Nigerians without the requirement of collateral.

Their service is offered through their android mobile app which you can get via the Google Playstore.

The loan amount ranges from N1,500 to N500,000. With tenors from 30 to 365 days. Interest rates are between 2-30% depending on your loan amount and duration of repayment. 

The loan offered by QuickCheck is great for individuals looking for instant cash to cover quick bills such as school fees or health-related medical bills.

It’s also convenient for small business owners who need quick loans to cater for operational costs such as the purchase of supplies. 

3. Carbon (formerly Paylater)

Carbon offers instant short-term loans of up to 1 million Naira with absolutely no collateral or documents required to acquire such sum. 

Whether you’re a student, self-employed, or salary earner, loans offered by Carbon are instant and accessible no matter where you are. 

To get an instant loan from Carbon, all you need to do is head over to Google Playstore and install the Carbon app. Then proceed to apply for the loan you need.

The only requirement is an android device, internet data connection and a valid ID. 

Interest rates on Carbon are quite fair. As expected, interest rates hinge on the loan amount and the duration of time the loan is to be paid back (tenor).

The interest rate on your first loan starts at 5% monthly. However, subsequent loans attract lower interest fees with Interest ranging from 1.75% – 30%.

Nonetheless, Carbon loans are only best for servicing short-term debts and should be used only for emergency needs.

Do not make the mistake of using Carbon loans to service long term debt as such action would incur higher interest rates when compared to other types of loans. 

4. Branch. 

Branch is a multinational loan service that offers loans to people living in countries such as India, Mexico, Kenya, and Nigeria. 

For folks in Nigeria, you can get loans from a low as N1,000 to a maximum amount of N200,000. Their rates range from 15–34%.

You are at liberty to choose your repayment duration. It ranges from a minimum of 60days to a maximum of 336 days. 

To get an instant loan from Branch, all you’re required to do is to install the app from Google Playstore.

Create an account, apply for a loan that matches your financial needs, and then you’ll receive your loan within 24hours. No complex paperwork or collateral required. 

5. FairMoney

FairMoney offers its financial services via its mobile application. However, not only can you get quick loans, but you can also carry out other transactions such as bill payments (Cable TV, airtime top-up and data subscriptions) with no transaction cost. 

You can access loan amounts between N1,500 to N500,000 with repayment periods from 60 days and above. Monthly interest rates range from 10% to 30% with no additional fees or hidden cost for processing your loans. 

To get a quick loan from FairMoney, all you need is to install their app, provide relevant details such as your phone number and BVN and you’re good to go. 

6. GroFin:

GroFin is a financial lending platform that offers loans to small and medium-scale businesses in Africa and the Middle East. Their loans are targeted at individuals and SMEs seeking cash loans to finance their businesses.

They are a reputable organisation which was established in 2004 with their offices currently across 15 countries.

Loans offered by GroFin are much larger than those offered by the platforms listed above. Hence, their process for application and approval is a little bit more rigid.

Investment criteria:

Your business must be within one of the following sectors: Agric-processing, Education, Healthcare, and manufacturing and other labour-intensive businesses. Also, your business must have been in operation for at least one year to show your competence.  

The loan amount ranges from $100,000 to $1.5M with a repayment term of 3-8 years and requires no collateral.

To apply for a loan, you simply need to head over to the GroFin official application page and fill in the application form to begin the process.

7. SMEDAN: 

SMEDAN stands for Small and Medium Enterprises Development of Nigeria. It is a government-owned agency that offers financial assistance to small and medium-scale enterprises under.

SMEDAN loans require no collateral and anyone in Nigeria is eligible to apply. The loan application process can be started on their website via a mobile phone or laptop.

You have the option to choose the type of loan you desire with the corresponding amount. Either personal, business, or mortgage loans. Upon completing the form, submit to check whether a loan is available to meet your request.

8. C24 Limited.  

C24 is an online financial institution which provides retail loans for individuals and businesses in need of quick financial solutions. Getting a loan from them is fast and doesn’t require a collateral.

Only applicants between the ages of 22 and 55 years may be eligible for application and must reside within Lagos State. You must be employed or at least have a verifiable means of monthly income.

C24 is predominantly targeted at employees who have a regular paycheque. However, if you’re employed and seek to begin a side hustle, you could apply also.

You can access loans of up to N3 million with a maximum tenor of 12 months. C24 offers one of the most competitive Interest rates in the market depending on the amount and loan duration (tenor).

To apply for a loan on C24, simply visit their website and commence the process. Upon approval, your loan can be collected within 24 hours.

Conclusion

Getting a loan can provide the needed help to solve urgent financial needs. However, as stated at the beginning of the post, always consider the interest rates and tenor (duration of repayment) before applying for a loan.

I also advise you should use the apps stated above to finance ONLY short term debt. Incurring long term loans with the aforementioned platforms (apps) can incur high-interest rates.

If you need a loan for business or a long term project, a better option would be GroFin, SMEDAN or C24.