Photograph — Ehis Okpamen

 A credit facility known as Paylater.ng has emerged at a time when easy loans have become almost impossible to get. From a huge amount of paperwork, to a rather lengthy process and collateral requirements (even for short term and quick loans), things only seemed to be getting more difficult. In this regard, I had an experience a few months ago, an online credit facility kept advertising on several instagram pages, one day I applied for a N10,000 quick loan but was asked to bring a car as collateral before it would be made available to me. I then concluded that if someone were in trouble and needed money as little as N10,000, he or she was doomed.

Quick loans have become the bane of the average Nigerian who is always on the lookout for quick means to squash the little financial challenges that may arise daily. For instance, some members of staff at various organisations may find it difficult to meet every day needs due to delays in salary earnings. Also, there are the unemployed people who do not have salaries or income to depend on, and may want to start up a small, informal business, paylater.ng is making small loans available for those who fall under these categories.

Paylater.ng provides quick loans without the usual paperwork and substantial amount time required. All an applicant needs is his or her Bank Verification Number (BVN), an internet enabled smartphone and a Facebook account. It seems like almost a dream come true for many Nigerians, especially those who have gone to the company’s facebook account to give some positive reviews. Solomon Omole, who recently got his loan almost immediately after he applied, applauded the platform as the best online credit service provider so far.

Credit - Paylater
Credit – Paylater

How does this work?

For first timers, the maximum range is N10,000 after which paylater expects a total of N11,500 in 15 days or N13,000 in 30 days. There are really no hassles involved in this as they simply debit the said amount from your bank account on the due date. For the application process, Paylater has made it easy for applicants as they all have to go through their facebook accounts (which already has details of each person) to login. Also, the BVN provides all the verification details the company needs before they can give out loans. At least, for those who will use the Paylater platform, all the frustration they encountered during the BVN registration exercise may finally be worth it.

But what about those who seek loans that extend way beyond N10,000? Well, if after you successfully pay back the first loan, you become qualified for a higher loan the next time.

However defaulting on payment comes at a high cost, if the platform does not receive your payback on the due date, you are likely to get your account suspended amongst other things. However, the good thing is, if you are strapped for cash, you can easily use the platform without any challenges. This development may inspire more credit platforms like Paylater, thereby giving Nigerians the opportunity to access loans without as many barriers.

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