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15 Best Loan Apps in Nigeria with Low Interest Rate

By Oluchukwu Ikemefuna

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The use of loan apps in Nigeria has seemed to surge with increasing financial difficulty and economic hardships.

Loan apps have become accessible options for Nigerians, whether they need “quick cash” to invest in a business, money for an unplanned tragic event, or even to celebrate something.

Often, borrowers ask, “Which app is the best loan app in Nigeria with a low interest rate?”

With over 170 loan apps approved to operate in Nigeria, most people are not just looking for any loan app but for the best loan app with low interest rates. Stay with us as we delve into the 15 best loan apps in Nigeria with low interest rates.

What Are Interest Rates?

The interest rate charges a percentage of the amount lent, deposited, or borrowed per period. For example, with an interest rate of 3% per annum, one pays back 3% of the borrowed amount along with the original sum every year.

There are many interest rates; however, most loan apps use a fixed interest rate. It is important to ensure that the interest rate is not too high; otherwise, rather than providing financial assistance, it will become a financial liability.

For this reason, the best loan apps with low interest rates should be chosen.

Moreover, low interest rates are not the only criteria people should consider when choosing a loan app. In the next section, we will discuss a few others.

Also read: Loan Apps in Nigeria that Give Loans Without Credit Check

What Criteria Should I watch Out for while Choosing a Loan App?

It is not enough to discuss the best loan app in Nigeria with a low-interest rate without examining other factors that should be considered while opting for a loan app in Nigeria. Below are a few factors you want to know about before choosing the loan option of your choice:

Payment Terms

This question deals with the terms of payment. Is it possible to break the payment down to bits instead of paying all at once? However, the easier the payment terms, the higher the interest accrued since it will take longer to pay it back.

Data Safety

Fraudsters can easily obtain information provided online. You must make sure that the loan app will keep all of your data secure and prevent it from falling into the wrong hands. Do not give sensitive information to just anyone.

Duration of loan

Some loan apps give ample duration to repay loans and some give just a short time. While selecting loan apps, you must also consider if you can pay it within the period given.

Extra Fees

While choosing a suitable loan app, check for extra fees, including processing fees, pre-payment penalties, hidden charges, and late payment fees, which can significantly add to your loan costs. It is more common than not to find this kind of fees.


Positive customer reviews are important for loan apps because they can significantly reveal the handling of payment difficulties or financial hardships during the repayment period. Use apps with a proven track record.

Also read: 8 Illegal Digital Loan Companies in Nigeria You Should Avoid 2024

Best Loan Apps in Nigeria with Low Interest Rates

The best loan app in nigeria with low interest rate

Below are 15 loan apps in Nigeria which have low interest rates:

  1. Alat by WEMA
  2. Fairmoney
  3. Branch
  4. Aella Credit
  5. Okash
  6. Palmcredit
  7. Renmoney 
  8. Kiakia
  9. Carbon
  10. Umba
  11. Kuda
  12. Migo
  13. Xcredit
  14. New credit 
  15. Lidya 

1. Alat Loan

Introducing Africa’s first fully digital bank, ALAT, a product of WEMA Bank. ALAT instant loans are designed and structured to help people with urgent needs, and the repayment period and interest rate are clear.

Alat has played a significant role in providing loans to over one million Nigerians through its digital platform and has been crucial in helping users achieve their financial goals.

Interest rate: 2% per month. Salary earners can receive a minimum of N50,000 and a maximum of N4,000,000 within hours and between 3 and 24 months to pay back the loan.

How to Apply for Alat Instant Loan

  • Log in to the ALAT instant online loan app or sign up if you’ve not registered before
  • Go to Loans
  • Click “Take a loan.”
  • View loan offer (amount, due date, amount to be repaid)
  • Accept loan offer and terms and conditions
  • Setup collection on the account assessed for the loan and if it is on another bank account, a remita mandate will be set on the account.
  • Your account will be credited immediately.

2. Fairmoney

FairMoney is a popular online lending platform that provides an alternative way to get a loan without collateral.

This app is so popular because it does not require documentation or paperwork and a loan can be accessed in just five minutes. Basic smartphone data and credit history determine eligibility.

Interest rate: 10% to 30%. Loans can range from as low as N1500 to as high as N500,000(five hundred thousand naira). They can be repaid in sixty days or more.

There are no additional fees or hidden costs during processing. The platform caters to the business sector by providing SME loans reaching up to N5,000,000.

Also read: Update on How to Apply for Federal Government Student Loan in Nigeria

How to Apply for Fair Money Loan

  • Download the Android application from Google Play Store.
  • Sign up or log in with your phone number or Facebook profile.
  • Create a profile or apply for a loan as an old user.
  • Receive money in your bank account within minutes.

3. Branch

Branch is another online platform that provides access to quick loans without extensive or physical documentation. The user’s smartphone data determines loan eligibility.

Their loan process is engineered to unlock larger amounts as you build credit with them.

Interest rate: 1.5%—15% per month. Loans can range from a minimum of N2000 to a maximum of N1,000,000. They can be repaid in one to twelve weeks.

Your repayment history and the cost of lending to the Branch are two factors that affect interest rates.

How to Apply for Branch Loan

  • Download the Branch app from the Google Play Store using an Android Phone.
  • Create an account. Fill out a simple form in under 30 seconds and submit it.
  • Apply for the loan that meets your needs.
  • Receive the loan into your account.

4. Aella Credit

Boasting about 2,000,000+ users, Aella Credit is one of the best loan apps with low interest rates. It offers loans to individuals and businesses and aims to grant credit access to the unbanked and underbanked.

Numerous factors determine your eligibility for a loan, including your credit history through a smartphone, location, identity verification, and more.

Interest rate: 6% -20%. However, if you work with an Aella Credit partner company, you can access better rates.

Their repayment period ranges from one to three months, and you can get loans as low as N2,000 to as high as N1,000,000. As mentioned above, you can also get higher amounts if you work with an Aella Credit partner.

Also read: What Does it Mean to Liquidate a Loan?

How to Apply for Aella Credit

  • Download the Aella App on your Android or iOS device
  • Create your account by filling in all required fields accurately.
  • Once this is completed, check your eligibility and borrow the amount you can comfortably payback.
  • Receive the loan into your account.

5. Okash

Okash, managed by Blue Ridge Microfinance Bank Limited, is Opay’s lending service. It caters to the financial needs of underserved/ excluded individuals in Nigeria.

It is a short-term loan and is best for anyone looking for an unsecured personal consumer loan or a student typically ineligible for bank loans due to thin credit files.

The application process is very quick, involving only a few steps, minimal documentation and no collateral or guarantor.

Interest rate: 0.1% to 1% daily. However, the repayment plan ranges from 91 to 365 days, which makes it easier to pay off.

The app offers loans ranging from N3,000 to N500,000. However, the downside is the age restrictions. Okash only offers loans to people between 20 and 55 years old.

How to Apply for Okash

  • Install the Okash APP from the Play Store.
  • Register an account.
  • Select the loan you would like to apply for.
  • Fill out the basic information, then submit the application.
  • After the submission, you may receive a call for verification.
  • E-sign the loan agreement after approval.


Palm Credit is a loan app under New Edge Finance. It offers a wide range of loan products that will satisfy the needs of most customers. Loans are quick and can be gotten in less than 3 minutes without extensive paperwork or collateral.

Palm credit offers customers the opportunity to pay back the loans in installments, whether online or offline. With palm credit, you can build your credit history, hence getting access to higher loan amounts, provided that your loans are paid back on time.

Interest rate: 14% to 24%. However, with a good credit history, interest can be as low as 8%. Loan amounts range from N2,000 to N100,000, with a repayment period between 91 and 180 days.

How to Apply for a Palm Credit Loan

  • Download the Palmcredit app on Google Play Store.
  • Register with your phone number and a verification code will be sent.
  • Verify your identity by providing your name, surname, BVN, birthdate, and gender.
  • If you can’t remember your BVN, dial *565*0# to get it.
  • Keep in mind that your name arrangement and information must be the same as on your BVN.
  • Set up your Bank Information.
  • Fill in Education and Employment with your details.
  • Wait for application approval.
  • Receive the loan into your account.

7. Renmoney

Renmoney is best known for offering large loans with low interest rates and flexible repayment terms to low-risk borrowers with strong financial profiles.

It is a fintech company in Nigeria that offers personal and business loans, savings, investment products, and other banking services.

However, it includes documentation such as a government-issued ID, Utility Bill, or Bank Statement and has an age boundary of 18-59. Other factors, including location, debt-to-income ratio, credit history, etc also determine eligibility.

Interest rate: 2.76%—9.33% monthly. Loan amounts range from N50,000 to N6,000,000. The loan can be repaid over 3-24 months.

Also read: Top 8 Easy Loan Apps in Nigeria

How to Apply for Renmoney Loan

  • Download the Renmoney app from the Google Play Store
  • Fill in basic information, including name, contact details, and employment status.
  • Submit supporting documents such as a Valid ID card, proof of income, bank statements, etc.
  • Once your application is reviewed, you will receive information regarding the status of your application.
  • If the application is approved, you can choose your method of disbursement depending on your convenience.

8. KiaKia

KiaKia is a financial marketplace for accessing and lending capital. It offers a peer-to-peer lending option, so you can either borrow from KiaKia or offer a loan to someone else.

SMEs have timely access to capital and very low loan interest rates. The platform promotes responsible borrowing and lending.

Interest: 5.6%- 24% monthly. Repayment duration is a maximum of 30 days and varies in amounts as low as N10,000 to as high as N200, 000.

How to Apply for Kiakia Loan

  • Create an account by providing all required details
  • Stat an application chat
  • Upload work ID or government issued ID 
  • Enter the desired loan amount
  • Select duration
  • Upload screenshots of SMS alerts or PDF statement of your last 3 salaries or business income.
  • Wait for approval
  • Accept loan terms and conditions
  • Authenticate submitted bank documents
  • Get credited.

9. Carbon

Carbon online lending platform provides a range of financial service, including personal loans, business loans, payments, funds transfers, credit scoring, savings and investments.

It also facilitates consumers’ acquisition of essential items, particularly during the ember months, by enabling them to purchase necessary commodities and gradually repay the amount over subsequent months. It can be counted as one of the best loan apps in Nigeria with low interest rates.

Interest rate: 2% to 30%, amount for lending ranges from N30,000 to N200,000.

10. Umba

Umba is a flexible loan app that allows users to effortlessly apply for and repay loans directly from their smartphones or desktop computers. 

They offer loans based on credit history, including transactions on the bank account linked to your Umba Wallet.

Interest rate: 10% annually, repayment duration about 60 days, and maximum loan amount as high as N300,000.

Others Loan Apps in Nigeria with Low Interest Rate

11. Kuda: It is often referred to as the “bank of the free”. Its loan repayment period is 30 to 90 days, with an interest rate of 0.3% daily.

12. Migo: Its unique feature is that it can be accessed through a USSD code if you don’t use an Android. Loans range from N500 to N500,000 and can be repaid within 14-30 days. Interest rates range from 5% to 25%.

13. Xcredit: Its shortest loan tenure is 91 days, and the longest is 180 days. The interest rate is 12% of whatever was borrowed, and loan amounts can range from N5,000- N500,000.

14. Newcredit: Has a monthly interest rate of 4%, and repayment duration spans from 91 days to a whole year. Loan limit is N300,000.

15. Lidya:  Its interest rate is 3.5% per month and the loan amount ranges from N150,000 and above.


If you have come thus far, then you are no longer confused about the best loan app in Nigeria with low interest rate.

Just before we wrap up, it is important to know that the Federal Competition and Consumer Protection Commission (FCCPC) has approved all of the aforementioned online lending platforms, which are among the best loan apps in Nigeria with low interest rates.

This means you can rest assured you are not dealing with a loan shark when you explore any of them.

Bookmark this site, and allow notifications from us so you do not miss any of our interesting updates. Also, follow us on X or Twitter, @SiliconAfriTech for seamless access to news updates and other interesting reads.


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Oluwajuwon Oladiti
Oluwajuwon Oladiti

Oladiti Oluwajuwon is an ardent reader and a voracious writer who is passionate about informing the public with first-hand, authentic information. His writing expertise has spanned over 5+ years, an odyssey that began in 2018. Over the years, he has crafted pieces across multiple domains, including religion, education, politics, and tech. There are two principles at the core of his writing: information must be genuine and accurate, and there is nothing erudite about speaking in terms people don't understand. While maintaining technicality, messages must be passed in a way that resonates with the readers.

Oluwajuwon is also a software engineer who specializes in backend development with Python, and he has an unwavering passion for music, pop genre especially.

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