How and When to take a Credit or Loan

CredPal — Mon, 13 Sep 2021 12:54:39 +0000

Let us tell you a story about how you can get credit or a loan without being denied. Fasten your seat belt and get your popcorn!

Meet John, a sound engineer who wanted to get credit or loan but did not know how to make it happen. John got a big deal with a company that needs sound equipment for an event. The company is willing to pay 25% of his fee and balance him 75% when he begins to set up for the event. John is happy that he got such a deal but unhappy because the 25% that was received cannot cover the total expenses to rent the equipment needed for the event.

Studio equipments are very expensive and John needs 500k to rent them. He tried to reach out to his friends but none could help. He thought to take a loan with the assurance that the company is going to pay him his balance on the day of the event. John has one week to the event and he has never taken a loan or a credit before and now he is filled with HOW he can get the loan.

Now, let’s talk about How and When because there might be a John out there who needs this information.

Credit cards and loans are lifesavers when situations call for them as portrayed in the case of John. A lot of people know the concept of credit or loans but they do not know how to go about getting one.

Here are 5 questions you should ask yourself before getting a loan or credit

1. How much do I need?

The first question you need to ask yourself is how much you need. You must have done the necessary calculations so that you do not later regret that the loan you requested was not enough. At CredPal we give out loans from 50,000 Naira up to 5 Million Naira.

2. How long do I have to pay it back?

You have to know how long it is going to take to pay back the loan. For some financial institutions, it takes 1–12 months to spread repayment but for CredPal, you are required to spread repayment within 1 to 12 months for loans, and for credit cards, you pay back all you have spent on your salary date. You cannot spread the repayment.

3. How much will I pay in interest?

You also have to find out about the interest rate of the financial organization you are about to commit to. Interest rates vary for different financial institutions and for CredPal, our loan interest rate is 3.95% to 7% monthly. For example, if John decides to take a loan of the 500 thousand Naira needed from CredPal, he will be paying a 3.95% interest rate on his monthly payment for the period of 9 months.

4. Do I have a good credit score?

This is a factor that determines if your loan will be guaranteed or not. A credit score is a number that depicts a customer’s creditworthiness. You do not have to wait to meet your financial organization before you check your credit score.

5. How soon do I need the funds?

Answering this question will help you find out the urgency of the loan and the financial organization to get it from. If John takes a loan with CredPal. He would be able to get the equipment he needs before the day of the event.

Just like John, taking loans or credit comes when there is an urgent need to meet, and the need cannot be met if you have to save for it. John would probably have to wait for months if he has to save to get the equipment he needs and that could lead to forfeiting the job.

Here are some cases that would require you to get a loan.

1. You do not qualify for a credit card

Some organizations like CredPal only give out credit cards to salary earners so if you are self-employed and you do not qualify for a credit card, you can get a loan.

2. Your credit limit cannot fix your need

CredPal gives you Credit limits that suit your earning capacity. This means that you are given a credit limit that will not stress you to pay back when your salary comes. A loan is advised if you need to make a purchase that exceeds your credit limit.

3. A loan is your least expensive borrowing option

You should get a loan after you have weighed all your options and getting a loan is the least expensive option on your list.

Loans are forms of installment credit. If you are a John and you need a loan for whatever reason, CredPal is here to help you get both your loan and credit card.

Source

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Need An Emergency Loan? Get A CredPal Credit Card

CredPal — Fri, 10 Sep 2021 19:37:50 +0000

Traditionally, the regular way most people get loans was by going to queue at a bank, offering properties as collateral, or getting friends and family members to stand in as guarantors. These are tedious and stressful processes that many go through to get a loan or an emergency loan. This is done without an assurance that the loan will be approved.

Now, that long and tedious process has been shortened to a seamless online process with a credit card. You can now get easy access to loans when you have a credit card. In this article, we are going to highlight how you can get an emergency loan effortlessly when you have a CredPal credit card.

When you get approved for a credit card, you get a credit limit that you can use for small-ticket purchases and pay back all you have spent with an interest on your salary date. However, when you apply for a loan, you get a whole sum of money that is above your credit limit as long as you are eligible and have the ability to payback. You can also spread your loan repayment within 1–9 months with a certain interest that you will be required to pay back monthly.

How to get a CredPal loan

To apply for a loan, you must first be a CredPal credit cardholder.
If you are not, you can apply at www.credpal.com
You sign up and provide all the necessary information and documents.
CredPal offers loans from 50,000 Naira to 5,000,000 million Naira so once your credit card is approved, you can proceed to request a loan of your required amount.
Once your loan request is approved, you will get an offer letter that entails the information and duration of the loan, repayment days, monthly repayment amount, interest rate, and many more.
You will be required to accept this offer letter so we can be sure that the loan is from you and not someone else.
After you have accepted the offer letter, your loan will be disbursed to you.

Benefits of CredPal loans

Getting a loan with credit cards is seamless and timely and it also comes with some amazing benefits that are discussed below.

1. Suitable for Emergency needs

CredPal loans are built for urgent and emergency needs. You do not have to wait for days before you get approval or queue at the bank to get approved. So long as you have a CredPal credit card, you are eligible for a loan.

2. Easy to secure

You can easily secure a CredPal loan because you do not need collateral or a guarantor that might be too scared to stand in for you. This is because he/she is careful of being harassed for a loan he didn’t apply for. All these are not necessary with CredPal, it is safe and you can access it on your smartphone.

3. Requires no collateral

You don’t have to stand in with any property like your house, car, land, company, or whatever property you might have. However, CredPal will not approve your loan if you do not have the capacity to pay it back.

Eligibility requirement for CredPal loan

Although you do not need collateral to get a CredPal loan, you need to be eligible to be approved. Here are some criteria that CredPal would consider before you get a loan.

A salary earner with at least 50,000 Naira monthly or an entrepreneur with a 6 months average turnover of over 300,000 Naira
Must be a resident of Nigeria
Must be between 21–55 years of age.
Good credit history

Taking a CredPal loan can be tempting especially when you do not have to go through a tedious process to get your loan approved. However, it is advisable to only take them when you have emergency needs, days you cannot wait for the maturity of your savings, or the risk of borrowing from friends.

Do not wait till you need a loan to get a CredPal credit card, treat your needs with all urgency, get a CredPal credit card now and save yourself some future stress.

Also Read; Money mistakes you should avoid in Nigeria