What next after overpaying an online digital loan from a loan app? There are many loan apps now providing fast loans to smartphone owners in Kenya but do they behave the same when this happens?
Most of the digital lenders (apps) provide short term loans with an average of 30 days as the time before a loan matures. The minimum loan tenure is 1 day and the maximum is 1 year.
The majority of the loan apps have Mpesa Paybill Numbers where borrowers can easily pay through when the repayment date is due.
But what happens if one overpays a loan? Different loan apps handle this case differently.
If you pay more than what you were supposed to pay as loan plus the required interest, some apps will keep your balance and use it to repay your next loan. This is what is popular with many of the digital lenders including Branch International.
Some apps however will refund the excess money after a certain time period. This is the case with KashWay.
So, there's no one single answer to what will happen to your money after paying excess money during loan repayment. Just read the terms of use for each digital lender before proceeding.
Advertisements
Write a comment
Post a Comment
Loans Kenya Blog admin will never approve abusive or inciteful comments. In addition, avoid including sensitive or private personal information in your comments for your own online safety.