LendPlus loan is a type of unsecured personal loan that disburses loans without relying on the borrower’s assets as security. LendPlus loans are approved based on the borrower’s creditworthiness. Therefore, these types of personal loans are easy, fast, and instant to apply for and get approved for because they do not require any collateral or paperwork.
LendPlus loans are emergency loans that can be used for personal uses such as home improvement, medical expenses, debt consolidation, and other personal expenses. This lender is an online lender that uses machine learning systems to understand a customer’s financial capacity. The machine learning uses data from the user’s devices to check and calculate the credit limit.
How does a LendPlus loan work?
LendPlus loans work by underwriting and disbursing loans to borrowers regardless of their credit history. It means that even if you have a low credit score, you will still get approved for the loan. During the registration process, LendPlus reviews the borrower’s personal details such as monthly income, residential area, and household. The data collected through the app is used to create a customer profile.
Below is a summary table for the LendPlus loan features, such as interest rate charged on the loan, loan amount, credit limit, annual percentage rate (APR), loan repayment terms, origination fees and processing fees and charges, loan disbursement method, and speed, the eligibility criteria of the LendPlus loan, the pay bill number, contact details, loan purpose, and the approval process. All these concepts are important to understand before applying for any personal or unsecured loans.
| Feature | Details |
|---|---|
| Loan Type | Unsecured Personal loan |
| Loan term | Repayment terms between 61 and 90 days with all loan extensions. |
| Interest Fee Range | 1.7% to 2.2% per day (Annualized rate of interest 620.5%) |
| Processing Fee Range | 12.5% from the approved amount plus applicable 20% excise duty tax |
| LendPlus Loan Amount Range | 1,000 KES to 50,000 KES |
| Limit Increase | Grow to a limit of KSh 30,000 by timely repayments |
| Loan Disbursement Time Period | 5-15 minutes In the working hours |
| What are the requirements | National ID, Mobile phone |
Expert Tip:
Unsecured personal loans often come with higher interest rates and additional fees compared to secured loans.
Check Out Most Preferred Personal LoansWhat is LendPlus loan App, and how does it work?
LendPlus loan app is a mobile application that allows users to apply and receive unsecured personal loans. Users can borrow money, repay, and manage their accounts through the app. The app works by assessing the user’s creditworthiness and disbursing the loan amount directly to their M-Pesa account. The LendPlus loan app does not require collateral and monitors repayment progress. The LendPlus app uses machine learning to train its models on user data retention and analyze user information collected during the registration process.
How can I borrow a LendPlus loan without the app? You can apply and borrow for a LendPlus loan by visiting the website and filling out a simple application form with the required details such as employment details and National ID.
LendPlus Loan app Download
How to download the LendPlus app via Google Play Store
To download the LendPlus Loan app, ensure you have enough data or are connected to WiFi. Then follow the steps below:
- Open the Google Play Store on your mobile device.
- In the search bar, type “LendPlus loan” to find the LendPlus loan app.
- Download and install the LendPlus app.
LendPlus Loan Application
How to Apply for LendPlus Loan via Mpesa
To borrow money from LendPlus, one should have an Android phone with an M-Pesa line, and an Android smartphone should have a good internet connection. Once the app is downloaded and installed from the Google Play Store, follow through with the registration process, which takes around 5 to 15 minutes.
Before requesting a loan, one should register an account first. Below is a simple process to open an account with LendPlus and start borrowing. To apply for a LendPlus loan via M-Pesa, follow the steps below:
- Open the LendPlus App
- Sign in to register with LendPlus.
- Enter valid national ID details.
- Sign up to complete the registration. Enter the details accurately, and a one-time PIN will be sent to you, which you need to change to your own unique PIN.
- Proceed with the application process by answering a few questions.
- Choose a repayment date that works for you.
- Receive your money straight to your MPESA
How to Cancel LendPlus Loan Application
LendPlus loan cancellation involves stopping the loan application process. A customer does not have to cancel a loan application under the following circumstances:
- If the borrower has not completed and submitted the application
- If the borrower has already applied but has not yet cashed out
- If the borrower accepts the LendPlus offer but has not yet cashed out
To cancel a LendPlus loan application one should do nothing and after 7 days the loan cancelation will have been processed automatically.
How to check the LendPlus loan application status?
To check LendPlus application status, just follow these steps:
- Log in to the LendPlus app.
- Go to the top part of your home screen and you will see the status of your application.
LendPlus loan Fees, Charges, and Interest rates
What is the interest rate for LendPlus loans?
The main disadvantage of unsecured personal loans is that the interest rates are charged higher with short-term repayment dates. The interest rate is the amount a lender charges a borrower and is a percentage of the principal—the amount loaned. The interest rate for LendPlus loans is between 1.7% to 2.2% per day plus 20% excise tax on your daily interest.
What fees does a borrower incur processing a loan with LendPlus?
When applying for a personal loan with a lender, fees and charges should be determined and analyzed. The fees that a borrower might incur during a loan process include the following: Processing fees, prepayment charges, late payment penalties, documentation charges, insurance charges, loan cancellation charges, Underwriting fees, origination fees, Service fees, and tax-related fees on the personal loan disbursed. When processing a LendPlus loan the following fees will be charged:
| Processing fees | 12.5% from the approved amount |
| Prepayment charges | The borrower can foreclose the digital loan by paying the principal and the proportional interest* without any penalty, along with a one-time processing fee. |
| Underwriting fee | No Underwriting fees |
| origination fees | The origination fee varies based on credit disbursed and lender terms; however, generally, unsecured personal loans charge higher origination fee of up to 32% |
| Auto-Debit Fee (On bank side) | Varies from bank to bank |
LendPlus loan app Bounce Fee (one-time fee)
| MIN (Loan amount disbursed) | MAX (Loan amount disbursed) | BOUNCE FEE | BOUNCE FEE (WITH Excise Duty Tax) |
|---|---|---|---|
| 2,500 | 5,000 | 100 | 118 |
| 5,001 | 10,000 | 200 | 236 |
| 10,001 | 15,000 | 300 | 354 |
| 15,001 | 20,000 | 400 | 472 |
| 20,001 | 25,000 | 500 | 590 |
| 25,001 | 30,000 | 600 | 708 |
| 30,001 | 35,000 | 700 | 826 |
| 35,001 | 40,000 | 800 | 944 |
| 40,001 | 45,000 | 900 | 1062 |
| 45,001 | 50,000 | 1000 | 1180 |
How much is the service fee for LendPlus loans?
LendPlus charges a one-time fee per loan. This fee is calculated as a percentage of the principal and is priced dynamically for each customer. The 78% of customers start at 26%. The fee does not roll over or compound
The following is an example of fees calculated for a loan amount of KSh 4000. If a borrower receives KSh 4,000 and repays after 60 days, he/she would owe interest of 26%* (or KSh 1070) and excise tax of 20% of interest (or KSh 214), which is a total payment of KSh 5,284 Breakdown: KSh 4,000 (borrowed amount) + KSh 1070 (interest)+ KSh 214 (excise tax) = KSh 5,284 (total payment).
LendPlus loan includes a service fee, which is a fixed fee based on the original amount of the loan. Other loans have a cost sometimes called an access or maintenance fee. These fees can be charged daily, monthly, or yearly.
This type of fee can add up quickly becoming extremely expensive. When taking a loan with growing fees, it’s important to pay back the loan immediately because the longer you wait, the more you’ll pay. Let’s look at an example of both types of loans.
LendPlus loan Eligibility Criteria
Eligibility criteria refer to a set of predefined standards or requirements that a borrower must meet to be considered for a particular loan. These criteria are used to determine who is qualified or suitable to get approved for the loan. For LendPlus loan offers the eligibility criteria can vary widely depending on the context and can include factors such as age, income, and credit score.
What are the requirements to apply for a LendPlus loan?
Borrowers applying for the LendPlus loans for the first time must check the prequalification and ensure they provide the right details. If you are applying for the loan the following are the requirements for LendPlus loans:
The following are the requirements-
- One must have a smartphone- that should be an Android smartphone. Because the LendPlus loan app is not currently available to IOS users.
- One must have a Valid National ID
- Have a valid phone number with an activated M-pesa account
How much is a first loan at LendPlus?
The first-time loan at LendPlus varies depending on the creditworthiness of the borrower. This means that first-time applicants may not be eligible for higher loan limits or none, because of their poor credit scores. However, borrowers with a low creditworthy may be eligible for lower credit limits in the range of Kes 1000 to Kes 2000 as first-time loans.
Why a borrower is not eligible for a LendPlus loan? The main reason a borrower is not eligible to get a LendPlus loan is that the system is unable to assign a credit limit mainly because of two reasons. The first reason is poor or low creditworthiness and secondly, because you may have provided incomplete and incorrect information during the application process. I recommend you reapply in the next 7 days if you are denied the loan for the first time.
Why is LendPlus not giving me a loan? LendPlus is not giving you a loan because the system in place failed to assign a credit limit. This is because you are not eligible for the loan.
How do I qualify for LendPlus loans? For you to qualify for LendPlus loans and have them approved, you should provide correct information about yourself, for example, you should allow the app to access your messages so that the system can automatically check your creditworthiness and assign your credit limit. To allow the app to access your messages, go to Settings, click on apps and permissions, and Then Allow all permissions for the app.
LendPlus Loan Repayment Methods
Loan repayment refers to the act of paying back money borrowed from a lender according to the terms agreed upon in a loan contract. This process involves a series of regular payments, often monthly, that cover both the principal amount (the original sum borrowed) and interest (the cost of borrowing the money). Loan repayment methods refer to the various strategies and schedules borrowers use to repay their LendPlus loans. Below is a list of ways to pay your LendPlus loan balance:
How to repay the LendPlus loan from the app?
- Step 1: Log in to your LendPlus app.
- Step 2: Tap “Make a payment” on the top part of your home screen.
- Step 3: Enter the amount you want to pay.
- Step 4: Select your preferred payment channel.
- Step 5: View the payment instructions and remember to:
- Note down your reference number
- Check the validity period of your reference number
- Follow the next steps written here to process your payment
- Step 6: Once your payment is successful, you will receive a notification and your updated balance will be reflected in your LendPlus app.
Can I loan immediately after paying LendPlus? Yes, You can instantly request another loan on the LendPlus App after you finish paying an outstanding loan.
How do I check my LendPlus loan balance? To check your LendPlus loan balance log into the loan app to check the balance.
How to Increase LendPlus Loan Limit
Loan limit increase refers to an adjustment in the maximum amount of money that a lender is willing to lend to a borrower. To increase the LendPlus loan the following steps should considered:
- Maintain a Positive Credit Score
- Regular borrowing from LendPlus
- Timely loan repayments
- Keep Your Account Active
- Refer friends to LendPlus
- Request a Higher Limit
- Increase Mpesa transactions and retain messages
- Avoid Changing or Upgrading Your Phone
- Maintain a Stable Income
- Exercise Patience
Consequences for Defaulting on LendPlus loans
Loan defaulting occurs when a borrower fails to meet the legal obligations or conditions of a loan agreement. This typically means that the borrower has not made the required payments on time or has stopped making payments altogether. The following will happen if you fail to pay your LendPlus loan balance:
You may be contacted by collections agents if you do not repay your loan on time. In the event of a long period of non-payment, you may be blacklisted from LendPlus and also reported to the relevant credit reference bureaus. Missing loan payments may result in late payment interest, lower loan limits, or the inability to get a subsequent loan from LendPlus as well as other lenders.
How much interest does LendPlus Charge for late payments?
The following table shows a list of late payments a LendPlus loan borrower will incur:
| MIN (Principal Outstanding) | MAX (Principal Outstanding) | LATE PAYMENT FEE | LATE PAYMENT FEE (WITH Excise duty) |
|---|---|---|---|
| 1 | 5,000 | 20 | 24 |
| 5,001 | 10,000 | 40 | 47 |
| 10,001 | 15,000 | 60 | 71 |
| 15,001 | 20,000 | 80 | 94 |
| 20,001 | 25,000 | 100 | 118 |
| 25,001 | 30,000 | 120 | 142 |
| 30,001 | 35,000 | 140 | 164 |
| 35,001 | 40,000 | 160 | 189 |
| 40,001 | 45,000 | 180 | 212 |
| 45,001 | 50,000 | 200 | 236 |
LendPlus loan History and the owner
LendPlus was founded and owned by Aventus Group. Aventus Technology Limited is a subsidiary company registered in Kenya that runs the digital loan product under the brand name LendPlus. The company is a registered unsecured loan lender in Kenya and is regulated under the Central Bank of Kenya. Lendplus was introduced in the Kenyan market in 2020. Aventus Group is a digital loan provider leading the financial progress of European, Asian, and African clients since 2009. To date, Aventus Group lending companies have issued nearly €4B in loans. Currently, Aventus Group companies are successfully running businesses in 17 countries.