Alternative Circle launched an Shika Loan App to help reach out to borrowers in Kenya at the comfort of their smartphones.
Due to the current economic hardships, there has been a rise in the demand for loans. This situation has led to growth in the number of credit companies seeking to give financial aid in form of loans.
Just like any other Instant Mobile Loan applications, Shika Loan App gives credit to customers within a very short period after they have applied.
The loan limits that are given by Shika Loan App range between Ksh. 500 and Ksh. 20,000.
Read through this article to find out the necessary procedures to be followed when registering, applying as well as repaying a loan on Shika Loan App.
Shika Loan App Registration
To register for the services, you first need to download and install the application on your device. After the app is installed, you are supposed to create your own account. This account is where you will be accessing the app services from. The processes for downloading the app and registering are outlined below.
Shika Loan App Download
The app is only available in Android version. This means only those with Android-powered devices can access its services. To download, follow this procedure.
- Got to google play store
- Type “Shika loan” in the search box
- Once you locate the app, press “Install”
The speed at which the app is downloaded and installed depends on your network connection as well as the RAM of your device.
Once the app is installed, you are required to create your user account. The procedure for creating an account is listed below.
Creating an account
- Open the app on your device
- Click “Sign up”
- Fill in the necessary details as required on the app. (Includes name, Your ID number as well as your phone number)
- Set your pin for the app
- The account will be activated.
After completing the account creation process, your loan limit will be displayed on the app after your credit history has been analysed. You will only be allowed to borrow as much as your limit.
The loans given by Shika Loan App attract an interest of 15%. The period of repayment ranges between 1 day to 30 days. With this app, any late repayment attracts an extra 10% penalty. This implies that the more you delay, you pay more when returning the loan.
However, the company also forwards borrowers for CRB listing if the repayment is delayed for more than 60 days. These conditions do not make the application suitable for those who do not have a sure source of income.
To repay your loan from the Shika Loan app, follow the steps below.
How to repay your loan
- Log in to your account
- Select “Repay loan”
- Select “COPY” button. (This will automatically redirect you to your sim toolkit section)
- Select Mpesa
- Select “Lipa na Mpesa”
- Select PayBill
- Enter 811655 as PayBill number
- Enter Account number. (The Mpesa number you used to register on the app)
- Enter amount. (The loan due)
- Enter Mpesa pin
- Submit.
Once you have submitted, you will receive a notification message from Mpesa and Shika Loan App showing that the transaction is successful, and your loan has been settled.
This app is limited to Mpesa. Therefore, it means that only those with registered Safaricom lines can benefit from it.
It is advisable that the loans which are taken from this app be repaid on time to avoid extra costs charged as fines for delaying. Also, punctual servicing of the loan boosts your loan limit making you able to access larger loans.
However, there are other applications such as the CBA Loop application from Commercial Bank of Africa which gives out huge loans at lower interest rates. This means that if the terms and conditions of the Shika Loan App don’t favour you, you can always find another way out of your situation.
Now that you have all the procedures of applying and repaying a loan from Shika Loan App, you have a key to your financial freedom. You should take note that you are only supposed to borrow when you really need the loan. Bad borrowing habits might affect your future creditworthiness.