Kuda overdraft eligibility
To be eligible for a Kuda overdraft, you must be a user of the Kuda mobile banking app. An overdraft is a short-term loan provided by Kuda to help you address immediate financial needs.
Once you’re eligible for the Kuda overdraft feature, you’ll see it available in your Borrow account within the Kuda mobile app. You can use the overdraft whenever you need it, without needing to fill forms or provide collateral.
Kuda only runs credit checks to confirm your eligibility for the overdraft feature. If you’re eligible, here’s how you can borrow money using the Kuda app:
How to borrow money from kuda
Here’s a detailed explanation of how to borrow money from Kuda:
- Open the Kuda mobile banking app on your device. Locate the Kuda app icon on your device’s home screen and tap on it to open the app.
- Once the app is open, navigate to the menu or options section, usually represented by three horizontal lines or a menu icon. From the menu, select the ‘Borrow’ option.
- After tapping on the ‘Borrow’ option, you’ll likely see different borrowing options. Choose the option labeled ‘Get Your Overdraft.’ Proceed to the next screen by tapping on the ‘Next’ button.
- On the following screen, you’ll be prompted to specify the amount of money you wish to borrow. Enter the desired amount and tap on the ‘Done’ button to confirm your selection.
- To confirm the borrowing request, you’ll need to authenticate the transaction. Depending on your device’s settings, you may be asked to enter your Transaction PIN, use your Fingerprint ID, or Face ID.
- Once you’ve entered the required authentication, review the details of the borrowing request. If everything looks correct, tap on the ‘Okay’ button to confirm and proceed with the borrowing process.
Once you’ve completed these steps, you’ll be eligible to spend the borrowed money from your account. The Kuda overdraft is a convenient feature accessible through the mobile app, providing quick access to funds for urgent needs without complicated procedures.
By following these detailed steps, you can successfully borrow money from Kuda using their mobile banking app.
How to increase kuda overdraft limit
The Kuda overdraft limit is currently around N150,000 for regular users of the Kuda banking app. If you want to increase your overdraft limit, it might require some patience. Over time, Kuda might gradually allow users to borrow more money using the app.
As of now, the overdraft limit stands at N150,000, but in the future, Kuda may increase this limit, enabling users to borrow even higher amounts. So, for those who regularly use the Kuda banking app, there might be opportunities to borrow more money as time progresses.
How long does kuda overdraft last
The duration of a Kuda Overdraft depends on how you use the borrowed money. It’s directly related to the purpose for which you use the overdraft. If you use the money for a significant purpose, you’ll likely spend it more quickly. Conversely, if your purpose is smaller, the overdraft may last longer. In essence, the length of time a Kuda Overdraft lasts is entirely determined by how you choose to utilize the borrowed funds.
Kuda overdraft interest rate
The Kuda overdraft interest rate is approximately 0.3% of the amount you borrow. If you don’t repay the borrowed amount by the day before the date you received the money, an interest at that rate is added to the principal amount you owe. This interest accrues monthly for the period you haven’t repaid the overdraft.
How do I pay my kuda overdraft
The repayment for your Kuda overdraft is usually taken from your Spend account. If the balance in your Spend account is enough to cover the whole overdraft amount by the due date, the entire sum will be deducted at once.
If your Spend account doesn’t have sufficient funds to cover the full overdraft amount, the repayment will occur in smaller deductions. These deductions will continue until the entire borrowed amount, including the interest, has been fully repaid.
If you don’t end up spending the money you borrowed, or only spend a portion of it, the unused amount will be transferred back to your ‘Borrow’ account. This applies whether you spend a little or none of the borrowed funds.
In summary, the repayment for your Kuda overdraft is automatically deducted from your Spend account. If the full amount isn’t available, it will be deducted in smaller increments until the entire borrowed sum, along with any accrued interest, is settled. Unused borrowed funds are transferred back to your ‘Borrow’ account.
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FAQs
How much can Kuda borrow me?
Kuda offers loans of up to ₦150,000. To apply for a loan, please refer to the loan application guide in the Borrow section of your Kuda app or visit the Help Centre for assistance.