Loans and credit

All loans under Loans and credit fall within the following terms:
Minimum repayment period = 90 days
Maximum repayment period = 365 days
Maximum APR = 15%

Representative example

Loan amount - USD 100
Term of loan - 3 months
Interest per year 12%
Service fee - None.

Repayment

Interest is 12% x USD 100 X 3/12 months = USD 3
Monthly payments = USD 34.33 (comprising USD 33.33 principal + USD 1 interest)
Total amount to repay = USD 34.33 x 3 months = USD 103 (comprising USD 100 principal + USD 3 interest)

Total cost of the loan, including all applicable fees = Service Fee 0 + Interest USD 3 = Total Cost of Loan USD 3

Important notice: Loans and credit(unlike the lenders who may register on the app) does not lend money on a commercial basis. We provide a progressively secure platform where borrowers and lenders can find each other and start a transaction.

To that end, we may offer interest free grants with no fixed repayment period. We encourage, but do not force, borrowers to repay our interest free grants. On repayment, borrowers build a good repayment track record. This helps registered lenders (licensed, where applicable, in the jurisdictions they operate and vetted by us) to evaluate the repayment capacity of borrowers, before lending to the borrowers under terms that do not exceed the maximum costs of loans allowed by Loans and credit terms and conditions.

We provide a system where borrowers can review lenders (and vice versa) and a mechanism to file complaints where there is abuse or unethical behavior.

Lenders near you. We allow licensed lenders near you, and provide a registry of lenders to give borrowers as wide as possible a choice when looking for finance. Loans and credit offers the option of switching countries, so that a borrower can check on the lenders in other countries. For example, a borrower in Lagos, Nigeria can see whether there are any cross-border lenders from Nairobi, Kenya or even New York, USA.
Loan applications. Lenders spend a lot of marketing money trying to find borrowers who fit their target market. Loans and credit provides an abundance of loan applications from all over the world (grouped by country), where registered lenders can be able to start a conversation that can lead to a loan.
Register of defaulters. Defaults cause losses to lenders, especially private lenders who have no access to credit reference bureaux. That lack of information also harms borrowers, because lenders do not know how to price their loans. Lack of information on defaulters is solved by Loans and credit by providing a member’s only accessible register of defaulters in every country.
References. In a bit to increase creditworthiness, borrowers may list friends and family as references for lenders to see. This is done through the My References section in Loans and credit. A borrower in Chile with ten friends as his references is a better lending risk than a borrower in Paris with no listed references.
Legal documents. We provide lending contracts, claim forms, loan applications forms and other legal documents for use by lenders and borrowers.
Lender reviews. Which lender was difficult in their approval process? Who as considerate during default? Which lender offered transparency in their lending process? The lender review section allows users to give feedback on their experience so as to help other users educate themselves.
Bounties and rewards. Are you offering a reward for the tracing of a debtor who has absconded with a loan? We have a large international user base of bounty hunters in every country that can help you track missing debtors.
Debt collectors. Do you have a debt that you want collected? Loans and credit has a debt collection platform that connects you with registered debt collectors that are effective and professional.
Lawyers. Have you been treated unfairly or has there been a breach of a lending contract? We have a lawyers section where lawyers who have expertise in loan disputes.