borrow money on mtn momo

Key takeaways

  • MTN Qwikloan lets you borrow GHS 25 to GHS 1,000 with a 30-day repayment period and a 6.9% interest rate.
  • To apply for a Qwikloan on your phone, dial *170#. No paperwork, guarantors, or collateral is required.
  • Other MTN loan services include Xpressloan, Ahomka Loan, and MTN XtraCash.

MTN Ghana, in collaboration with AFB Ghana, launched Qwikloan to borrow and repay small loans with minimal interest. In this guide, we go over the entire process of getting a loan, from eligibility to repayment.

What is MTN Qwikloan?

Qwikloan is an easy-access, small-scale loan service for MTN mobile money users. The service lets you borrow between GHS 25 and GHS 1,000 and pay back after 30 days with an interest rate of 6.9%. This means that if you take a loan of GHS 25, you will pay back a total of GHS 26.73.

MTN Qwikloan eligibility criteria

Not everyone with an MTN MoMo account qualifies for a Qwikloan. To apply for the loan service,

  1. You must be 18 years and above.
  2. You must have a registered MTN Ghana SIM card.
  3. You must be an active MTN user for at least six months.
  4. You must actively use your MTN Mobile Money wallet for at least three months.

If you meet these requirements, you can borrow money from the MTN Qwikloan service without a guarantor or complicated paperwork.

How to borrow money from MTN (Qwikloan)?

Here’s how to apply for an MTN Qwikloan:

  1. Dial *170#.

mtn mobile money ussd code

  1. Select Financial Services.

mtn mobile money wallet menu

  1. Choose Loans.

mtn momo financial services menu

  1. Select QWIKLOAN.

mtn momo loan options

  1. Choose Get a Loan.

get mtn momo loan

  1. Enter your MoMo PIN code for approval.

enter momo pin to confirm

  1. Enter an amount within the given range.
mtn momo amount to borrow
We entered GHS 20 for this demo.
  1. Confirm loan amount and fee.

confirm loan amount

  1. Confirm repayment plan.

confirm momo loan repayment plan

  1. Review the loan terms for the selected amount.

mtn momo loan terms

  1. Select Next to agree to late payment terms.

mtn momo late payment terms

  1. Select 1 to agree to MTN Qwikloan’s terms and conditions.

mtn qwikloan terms and conditions

  1. Choose the purpose for your loan.

mtn momo qwikloan purpose

  1. Your application is now complete.

mtn qwikloan approved

An SMS like the one above will be sent to you once your account is credited with the borrowed amount.

How to repay your Qwikloan?

MTN Ghana offers 30 days to repay your Qwikloan at an interest rate of 6.9%. You have two repayment options:

Option #1 – Manual repayment

You can manually repay your loan in installments or in full within the 30-day period. Deposit the total amount owed, including interest, into your MoMo wallet and follow these steps:

  1. Dial *170#.

mtn mobile money ussd code

  1. Select Financial Services.

mtn mobile money wallet menu

  1. Choose Loans.

mtn momo financial services menu

  1. Select QWIKLOAN.

mtn momo loan options

  1. Select Repay my loan.

repay mtn momo loan

  1. Enter your MoMo PIN to confirm.

enter mtn momo account pin

  1. Choose a repayment option: part payment or full payment.

mtn momo loan repayment options

  1. Confirm the MoMo loan to repay.

confirm mtn momo loan to repay

  1. Wait for an SMS confirming the loan payment.

mtn momo loan repayed

That’s it. You’ve successfully repaid your MTN Qwickloan.

Option #2 – Automatic repayment

For automatic repayment, wait till the end of the 30 days. The system will automatically deduct the payment from your wallet. You must have sufficient funds in your MoMo account to cover the amount owed and accrued interest.

Other MTN loan options

Besides Qwikloan, MTN offers loan options through partnerships with other financial institutions. Here are three of them:

  • Xpressloan: Set up in 2019 by ECOBANK Ghana and Jumo, the service provides affordable, collateral-free microloans to petty traders and individuals at an interest rate of 6.9%, paid back in 30 days.
  • Ahomka loan: In response to the COVID-19 pandemic, the Ahomka loan offers affordable and short-term loans with an interest rate of 6.9%, just like Xpressloan and Qwikloan.
  • MTN XtraCash: MTN Ghana, in collaboration with Forms Capital, has introduced Xtracash, which allows you to borrow money (GHS 50 or less) and pay it back in 7 days. Late payment attracts a 10% extra on the amount borrowed.

MTN also has a pick-and-pay-later service. Unlike cash loans, qualified customers can purchase a device (phones and tablets) and pay through their mobile money account over 6-12 months.

3 tips to qualify for an MTN loan

Just because you are eligible doesn’t mean you are qualified for an MTN Qwikloan. Here are three of the most important tips to look out for.

  • Regularly use MTN mobile money services.
  • Register and link your MTN SIM card to your Ghana card.
  • Maintain a good repayment history with any previous loans. You must pay all outstanding loans on time. This also allows you to access higher loan amounts.

FAQs

What is the maximum MTN loan limit?

The maximum loan amount you can get from MTN Qwikloan is GHS 1,000.

What happens if my MTN loan is not paid on time?

If you don’t pay your MTN Qwikloan on time, the interest rate will increase from 6.9% to 12.5%. Also, not paying your loan on time or not paying at all will automatically disqualify you from applying for another loan in the future.

Conclusion

MTN Qwikloan offers a quick and convenient way to borrow money from your mobile phone. It’s instant and an ideal solution for handling urgent financial needs.

There is no need for guarantors, processing of formal documents, bank accounts, or putting up properties as collateral. Share your questions and experiences with us below.

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