NAIROBI, Kenya, Sep 17 – Okolea Mobile lending application has now launched multiple loans function that allows the users to have three loans simultaneously, a break from other digital lenders where the maximum is one loan.
The move allows users to have three different loans with different rates and duration.
“You can now borrow up to three times but within your assigned limit without paying your first loan, a feature meant to encourage customers to only borrow what they need at a time. This is a testament that at Okolea we are in the business of helping people, not exploiting them, ” said Peter Muraya, Chief Executive Okolea International.
The firm has also lowered its interest rates to a minimum 5 percent and a maximum 15 percent from its previous high of 20 percent.
“Okolea recognizes that having rates fixed per month is detrimental to the welfare of the customer since some customers pay before the month ends. This led to introduction of interest bands which depends on time repaid passing benefits to those who pay early,” Muraya added.
The interest bands are five percent for those who pay within two weeks, eight percent for one week repayments, 11 percent for two weeks, 13 percent for three weeks and 15 percent for one month.
Digital lending is now the leading source of credit in Kenya with over 6 million online borrowers in different platforms.
It is mostly used to finance working capital and day to day consumption needs.