Ubapesa loan app uses an online peer to peer money lending site to provide instant loans to its large customer base in Kenya.
By saying peer to peer, it means that both borrowers and lenders meet on the same platform. (You borrow and lend money to each other on a platform). So, how does it work? Where is trust?
Loan apps help people get unlimited access to credit and respond to an emergency fast. Here is how to use one of the loan apps that is first on its kind here in Kenya.
How Ubapesa Loan App Works.
Just like any other mobile money lending app in the market, Ubapesa uses a machine-learning algorithm to determine your loan qualification a limit.
The loan app does this through scanning your phone for the below information. The data includes the ones you provided during the registration process or sign up.
- Your National ID number.
- Phone IMEI, make and model
- Other apps installed on your phone.
- Your call logs and SMS logs.
This information is then compared to the database of a Credit Reference Bureau to determine your credit score and worthiness.
Related: Berry loan app download and loan application.
Ubapesa loan app Ubapesa loan app interests rates and fees
Ubapesa interest rates depend on the number of days and usually range from 8% for ten days, 9% for 20 days and lastly 10% for 30 days. Of course, there are other fees which are charged and are usually disclosed on every transaction made.
How to borrow or lend money on Ubapesa
Borrowing money on the platform is as easy as 123 as the app has quite several features to help you determine your loan amount.
For this post, you can view your loan limit and also lend or borrow any amount of money.
Here is how to borrow money from Ubapesa loan app
- Visit Google Playstore to download and install the loan app
- Open the loan app and click on the “Lend/Borrow” money menu icon.
- Select option two on the menu that pops up.
- Enter the amount you wish to borrow and then select the loan repayment period.
- That’s it! Simple ha? The loan amount will then be instantly credited to your mpesa mobile account.