HomeMoneyFake Loan Apps in Nigeria

Fake Loan Apps in Nigeria

In current years, both the number of online loan companies and the number of crooks are taking advantage of the financial needs of Nigerians. Executing fraudulent acts via fake loan apps in Nigeria has gone up significantly.

Fake loan apps in Nigeria

Harming the needs of their targets and the secrecy given by the network. These fake loan apps give huge amounts of money with low interest. In addition to gathering a list of fake loan apps illegal in Nigeria. Which is eternally long. This post gives debtors a set of pointers to differentiate between a legitimate loan app and a fake. 

On the accounts of Play Store exclusion, FCCPC penalties, hostile collection methods, and other unlawful immoralities. Here is a list of the most disreputable fake loan apps in Nigeria:

Beware of these Fake Loan Apps

  • GoCash 
  • Okash
  • EasyCredit
  • Kashkash
  • Here4U
  • ChaCha
  • SoftPay
  • Speedy Choice
  • Easy Moni
  • Sokoloan 
  • LCredit
  • Maxi Credit 

How to Detect fake loan apps in Nigeria

Lacking web page Operation

Go to the giver’s authorized website to detect a fake loan app. And make sure that all keys and links work perfectly. If that is not the case, this might show that the website has been duplicated and can not be trusted.

A fake loan app may be exposed due to the operation of their websites. The most predominant are wrong spellings in the text, wrong Internet addresses, e-mail addresses, and other discrepancies with the loan app.

A good example of a fake loan app is LCredit. It has a terrible web page operation since its website has a false Google Play Store download link. Despite the program’s deletion from the Android app store. As a substitute for linking to the reliable store, LCredit will try to finish the download on its own website.

Sanctioned by financial Bodies

All loan money institutions must be recorded in the Central Bank of Nigeria’s (CBN) registration. Or the National Information Technology Development Agency’s (NITDA) register of supervised businesses.

A strict legal structure manages a loan.  Even loans among friends are controlled. This dodges manipulation and enables the detection of fraudulent operations.

For a loan app to be approved to issue money, authorization is needed. Before going for a loan, it is key, especially if you are a stranger to the brand. To confirm that the company is part of the Nigerian registry of approved financial agents.

Unsafe website

To fish out a fake loan app, go to their official website and make sure that they have a safe URL. If the web address starts with “HTTPS,” it is a safe website (not essentially a dependable one).

fake loan app

Also, if the URL only has “HTTP” without the final “s,” it might be a fake loan app because legal companies must adhere to the security rules to translate user data. In addition, the URL must have a lock, which shows that the SSL certificate of the website proves that it is safe.


Absence on Google Play Store

Despite the profusion of illegal loan applications on the Google Play Store. The huge bulk of fake loan apps can only be gotten through illegal programs. Sokoloan was one of the apps that were taken out from the Play Store after Google got orders from the agency.

Because of the swelling amount of fake loan apps on its platform. Which allows 81 percent of mobile owners in Nigeria to enter their accounts. Google had to beef up its security to avert another case of fraud. They have also taken out a number of dubious applications from its store at the demand of the FCCPC.

Advance payment demands

If a loan application asks for payment upfront preceding to payout of loans, this is a firm sign that the loan app is fake. A well-known loan company may ask for a fee upfront. This will be stated in the contract, but this money will never be asked for in advance. It will be added to your credit payment.

Cybercriminals play on the desperation of the user and naivety to ask for money upfront. Fake loan apps that ask for a down payment may state that it is a payment to acquire the loan. Or that this “little amount” would be paid back since it will be some insurance, but it is true that you should be wary of such services.

The FCCPC has also asked for the removal of Maxi Credit, Here4U, ChaCha, and SoftPay from the Play Store on account of immoral attitudes. Those who are inclined to fall victim to false loan apps.

Apps that can not be downloaded on the Google Play Store are commonly Nigerians looking for loans without BVN.  This has turned out to be a marketing attribute of these illegal credit apps. 

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Asking for passwords and Vital Details

Some fake loan apps are popular for asking for delicate information. Information such as passwords to bank accounts and credit card numbers. If they ask for these details, you should not give them to them. This is undoubtedly one of the main signs that warrant suspicion of how authentic the offer is.

Customer feedback is bad

Reviews from customers are an excellent way to find out if a loan app is fake. If their operation is legal, and what customer incidents have been. Remember that finding out about the company’s history is free, fast, and important if you want to be on the right side of the financial ladder.

Irrespective of why you’re asking for a loan, it is important that you do not fall into desolation. Take a few moments to check the standing of the loan app before accepting an application for the loan.

A backdrop check might be the thin line between being a victim of a fake loan app and getting loans that are legit. 

Mouthwatering interest rate

One of the first sets of wisdom for finding out a force at credit fraud is to think twice about offers putting out an interest rate nearing 0%. With a long and adaptable payback term. This red lining is effective enough to add to your sense of movement.

But how can you know if a 1% or lower low-interest loan rate hints at a fake loan app? When the news, articles, and bank adverts also encourage loans with interest rates of 1% or less?

Currently, banks have greatly lowered the interest rates on their loans, particularly on mortgages. In comparison, the conditions of consumer loans, that is, money that is not meant for buying a house, have not changed much.

According to a study done by professionals on loan apps in Nigeria, the minimum interest rate on an individual loan is now 3.5%.

fake loan app in Nigeria

Some loan credit companies do, on this basis, give marketing deals. In truth, however, these personal loans with interest rates of less than 1 percent are meant for rich borrowers. Who can request an equal minimum salary every month to make their monthly payments?

Before pledging into a particular loan application, it is important to find out the interest rates given by other companies.

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No website

Any true loan app must have the basis of the company, history, goal, and vision, as well as every institutional information that aids in confirming how credible the company is and its seriousness.

Some fake loan apps have been watched to show up on the Play Store without a solid website.

Omission from comparison sites

In total, online givers who appeared on a list of fake loan apps are inclined not to appear on evaluation sites as against original lending companies listed on such sites due to their glittering reputation. Or associate network adverts to promote their services.

A number of websites, such as Classified, are keen on giving information about original and fake loan apps so that customers can weigh up their options.

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They don’t care for solvency

Have you gotten a deal from a loan app to request a huge sum of money with “noting attached” irrespective of your huge debts? Another popular tactic of fake loan apps is stating not to inform the credit bureau; however, this is mostly a lie.

People who are in evasion or whose financial situation is not healthy should have it hard to get money than others.

As an aftermath, this is another trick in play by so many fake loan apps. Because unlike a well-known credit company. Fake loan apps are not concerned about the financial situation of their borrowers. And give huge sums of money without checking the risk that comes with giving out that amount.

loan app

Why is it happening?

Why is it happening? It is a trick in which the committers ask for a down payment before giving money to those in need and then disappear. Obviously, you should not be scared of all credit companies that offer loans to those listed on a proper register since some may be very legal.

However, if a loan app proposes a huge sum of money to you for a very long period despite your obviously low income, it is possibly a scam. These apparently shocking offers are a big sign, and serious care is needed.

Therefore, do not think it is a good deal if a loan app turns a deaf ear to your credit history. Be cautious if a loan app does not need a guarantor or collateral. But immediately offer you up to 100,000 NGN in one payment without needing signatures or collateral.


Some fake loan apps in Nigeria may even assure you that they will settle all of your debts without knowing exactly how much. 

FAQs for Fake Loan Apps in Nigeria

What is the easiest app to borrow money from in Nigeria?

Palmcredit instant loan app is, by all accounts, the fastest loan app in Nigeria, offering loan payouts of up to 100,000 NGN in under 3 minutes.

What happens when you don’t pay a loan from apps?

When you fail to pay off the borrowed amount even after a certain period of time, the lender will report your loan account as a non-performing asset (NPA) to the credit bureaus.

How can I get an instant loan in 5 minutes?

The best way to get an instant loan in 5 minutes is to borrow from a friend or family member since they can give you cash or use an electronic transfer service to send you money immediately.

Which app gives loans without documents?

Robocash offers you a cash loan without documents. All you need is Address proof and PAN Card.

Which app can I borrow money from without BVN?


It is fast, secure, and reliable and works 24/7. Requirements: An Android device, data connection, and a valid bank account.

Is there any instant loan app?

KreditBee is an instant personal loan app for young professionals.

What happens if you ignore loans?

Ignoring or avoiding the debt collector may cause the debt collector to use other methods to try to collect the debt, including a lawsuit against you.

Banks and loan applications must evaluate your solvency or capacity to repay the loan. As a result, every loan application that offers loans must always inquire about the applicant’s compliance with debt repayment, as this is the method for assessing risk before loan approval.