No Collateral? No Problem! How to Get an Online Loan in Ghana

If you’ve ever felt the need for an online loan in Ghana, then this article will be an invaluable resource for you. Ghana has many Western banking options, but loans are often difficult to obtain, whether it’s a personal loan to start your own business or one for an unexpected bill. Online loans in Ghana offer fast, flexible loans secured by the mobile phone, which can otherwise be difficult to come by, whether it’s crippling medical bills or funeral expenses.

The Process Of Getting An Online Loan In Ghana

In Ghana, online loans are becoming more popular and easier to obtain. The biggest advantage of online loans is that they are often easier to get than traditional bank loans. This is because online lenders do not require collateral. Collateral is something of value (such as a house or car) that can be used to secure a loan.

If you default on the loan, the lender can seize the collateral. Many people in Ghana are aware of the many benefits that come with online loans. But not everyone understands the process or what they need to do to apply for one. This article will break down how to go through the process of getting an online loan, which is less daunting than you might think!

How To Apply

If you are looking for a loan but cannot get to the bank, there is still hope. With online loans, you can apply without ever stepping foot into the bank and get approved for a loan with little effort. You can apply for an online loan from anywhere you are, in any time zone. The application process will take no more than a few minutes. The Internet has made borrowing money easier than ever before, with a wide variety of lenders offering loans to anyone via mobile apps and online applications.

Mobile money loans in Ghana provide short-term loans with low-interest rates. You can borrow up to GHC 10,000 from them and repay it in a month, two months, or within three months, depending on the lender.

What You Need

With the convenience of getting loans online now available in Ghana and around the world, people of all ages can find relief when they need it most. But how do you know if you qualify for an online loan? You will need the following before you can apply for a loan online in Ghana.

  1. Valid ID (Passport, Voter’s ID, Driving License, National ID, Ghana Card)
  2. Recent months’ bank statements (this is not mandatory for some lenders)
  3. Valid Residential Address (Where you live)
  4. Mobile Money Account
  5. Bank Account

Online Loans In Ghana

Now that you know the things you need and the process involved in securing an online loan in Ghana, let’s now look at some legit loan platforms that give out loans without collateral. There are many platforms in Ghana that give out loans without collateral, but we will look at only three in this article. The list will be updated as we continue to do more research on this topic to provide you with the best information.

Instant Mobile Money Loans In Ghana Without Collateral

MTN Mobile Loans

The MTN mobile loan service is available in Ghana and some other countries. The idea of the MTN mobile loans is to help people with different emergencies like paying bills, borrowing money for a small business or purchasing a new one, covering medical expenses, school fees, or tuition fees, and providing funds for family members while on the move, and more.

Currently, MTN is running three different sets of mobile loans in Ghana. The MTN QWIKLOAN, XpressLoan, and the AhomkaLoan.

The MTN Qwikloan is the most popular among the three, and it was an initiative by Afb Ghana and MTN MoMo to provide an innovative financial service that offers MTN MoMo subscribers an easy and rapid loan. It’s a short-term online loan with no collateral involved, and the loan is deposited into your MTN Mobile Money wallet. There is no requirement for prior funds, making the loan easy to obtain. You will continue to have access to loans if you make on-time payments on all of your debts.

How to Apply for MTN Mobile Loans in Ghana.

Follow the steps below to apply for any of the mobile loans provided by MTN;

  1. Dial *170#
  2. Select option 5, financial services.
  3. Select option 3 – loans
  4. Choose the type of loan you want.
  5. Select option 1, “Get a loan.”
  6. Enter your MM PIN Number to confirm your loan selection
  7. Select option 1 to register for free or option 2 to view terms and conditions

Quick Notice: You must be a subscriber of MTN and have a valid sim registered on the MTN Mobile Money service before you can apply for this loan.

Fido Loan App

The Fido loan app allows users to get a personal loan with their mobile phones. Fido is licensed by the Bank of Ghana to provide loans. Loans are available to subscribers with no collateral, no guarantors, and no application costs. Fido loans are offered to professionals that are salaried, contract, or self-employed.

Before money is disbursed, only a one-time verification of ID and mobile money account is required. There is no need for collateral or guarantors.

People who are in search of instant loans online in Ghana can get a loan with the Fido app with no fees upfront. Fido loan subscribers are only charged a processing fee, which is communicated to the consumer before accepting a loan, and are paid only when your loan is due for repayment after you have received your funds.

The smallest loan amount is 200 GHS and the maximum is 1000 GHS. Customers are limited to one loan at a time. You can only apply for a second loan after paying off the first.

What are the interest rates for Fido Loans?

The interest rate for a 30-day Fido loan for new consumers begins at 14 percent and is stated in the app before application. Customers who have a history of repaying their Fido loans on time receive a lower interest rate on future loans; the lowest rate is 8% for 30 days.

How To Apply For Fido Loan

The application for a Fido loan is straightforward. To acquire a loan, please follow the below steps. Installing the Fido Loan mobile application is a prerequisite for this process. The app is only available on the Google Playstore at the moment.

  • On your mobile phone, launch the mobile App.
  • On the Fido Loan Mobile App, tap the “Get a loan” button.
  • Fill up the APP’s loan application using your correct personal and mobile money Account information.
  • Wait a few minutes for your loan application to be reviewed.
  • When your data is validated and your loan approved, you will receive your funds immediately.
  • Repay on schedule and your next loan amount will be increased and the interest rate reduced

Carbon (Now Paylater Ghana)

Unlike the MTN loans and the Fido loan, Carbon loans are purposely for Registered Businesses(Self-employed) and Employees (people receiving monthly salary in a bank account).

Get assistance when you need it, within minutes. With a low-interest Carbon loan between GHS 100 and GHS 5,000, you can handle your personal expenses or emergency situations.

There is no mobile app yet for Carbon loans as you can only apply for a loan online with Carbon through a google form.

How To Apply For A Paylater Loan Ghana

The steps in the google form are summarized in three parts below:

  1. Apply Online: Kick start your loan application process by filling out the form online, from anywhere.
  2. Prove your identity: Upload valid credentials like National ID, bank statements, and passport photograph.
  3. Receive funds: Get your money in your bank account as soon as your application is reviewed and approved.

The Benefits Of Getting An Online Loan In Ghana

  • Quick and easy: You can obtain a loan in Ghana online in less than 10 minutes. You don’t need to go through the strenuous process that commercial banks have laid down in the process of obtaining a loan. This makes it very easy to get loans in case of an emergency.
  • No collateral needed: No collateral is needed when you apply for online loans in Ghana. Or let me say, most online loans in Ghana do not require collateral or guarantors before approval. This makes accessing them more convenient than the traditional loan systems.

The Risks Of Online Loans

Online loans have become more and more popular because of the convenience factor. They are easy to apply for and quick, which is why they are becoming such a huge part of the loan market in Ghana. But with convenience comes risk, and there are quite a few things you need to know about before taking out an online loan.

The first thing you should know is that not all online lenders are created equally. Even if they advertise higher rates than other banks or lenders, they might charge fees in special cases that can vastly outweigh the discount rate they offer. You need to read all the fine print before you sign up for a loan and make sure there aren’t any hidden fees or traps you’ll have to pay later on.

The second thing you should know is that online loans can have higher interest rates than traditional loans. This is because they are riskier for lenders, but it’s pretty easy to turn things around by finding the lender who offers the lowest rates. However, that can take some time, which is why it’s important to start looking early and get the process started well before you actually need cash.

Bottom line

A lot of people need money to live daily, and some people have it as hard as getting regular checkups. There is a solution for each who needs more than their current take on life can offer. This article gives information about online loans in Ghana and how you can apply for them.

You don’t need anything more than access to the internet to apply for an online loan. As there is no physical or paper-based application process, you’re sure to save time and headaches.

DISCLAIMER: This article is meant mainly for general informational purposes and does not address specific situations. It is not a replacement for professional advice or assistance and should not be used to make any decisions. Any action you take based on the contents of this article is totally at your own risk and under your sole responsibility!

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