Instant loan app and easy credit in Kenya

October 28, 2022

Loan apps are a new phenomenon resulting from the rise of mobile banking. Before mobile banking took root in Kenya, instant loans were unavailable in the financial markets. The only means to any loan was through a bank or a FOSA-affiliated organization. 

Few banks could approve a loan application within a day. Quite on the contrary, it took months to get simple loan approval even with solid security to back you up. 

All this changed with the introduction of mobile banking and the rise of smartphones in Kenya. Increasing access across the entire Country in the past decade has opened up access to cheap credit for personnel and SMEs in the country.

A loan app

A loan app is simply an application that enables the borrower to access cheap credit without having to visit a physical branch. 

It streamlines the application process and reduces the amount of paperwork being done by the creditors.

Mobile applications emanate from the computer’s application which runs on memory and data. It’s these characteristics that made them appealing to both lenders and borrowers. 

You apply once and your application data is stored to be used again when you want another loan. No need to restart the application again

Hela Pesa’s salary advance loan app works on the same principles. Once you have made an application and you have been approved, you can apply for multiple loans without any need for consulting with us first. We are a purely digital product.

Secured vs Unsecured loans

Loans can be broadly divided into secured and unsecured loans. A secured personal loan is usually securitized; this means it is backed by collateral- the creditor can take something from the borrower if they fail to pay the loan under the agreed terms.

Some examples of secured loans include mortgages, motor vehicle loans, and business loans.

An unsecured loan does not require any collateral for the borrower to qualify. Further, should the borrower fail to pay, they are likely to have a bad credit score, which reduces their borrowing limit with the creditor.

Some unsecured loans include installment loans, revolving loans, student loans, and check-off loans.

Differences between secured and unsecured loans

There are three main differences between secured and unsecured loans:

How the loan will be used

Unsecured loans don’t come with a pre-defined usage of capital. Most will be happy to give you a loan for anything you wish to spend on it. As long as it is nothing illegal, you are free to spend the money however you wish.

Lenders of secured loans on the other hand will approve the loan for specific use like a mortgage to buy a house. If the money is diverted to other uses, the lender is likely to take the borrower to court for changing the terms of their borrowing agreement. With this type of loan, your option is limited to the specification set by the lender.

Borrowing limitations

Due to the higher scrutiny from relevant authorities, secured loans have higher borrowing limits. This gives the borrower access to more money, but with a lot of strings attached. Unsecured loans on the other hand have lower borrowing limits since they are offered on the premise of quick borrowing and quicker repayment plans.

Collateral

The main difference between unsecured and secured is securitization. With a secured loan, the borrower gives the creditor the right to seize an asset if the loan is not repaid on the agreed terms. With an unsecured loan, no assets are involved, with the creditor relying on the credit score to assess a borrower’s ability to pay.

 Hela Pesa Core Clients

Hela Pesa instant loan app offers unsecured loans. Moreover, our loans are targeted at government employees and we use the check-off system to give borrowers easy credit on a short-term basis of fewer than 12 months.

Our MoU covers 10 Counties and over 25 national government institutions

Counties Hela Pesa serves include

  • Nairobi County
  • Machakos County
  • Kitui County
  • Makueni County
  • Nakuru County
  • Kericho County
  • Nyandarua County
  • Kisumu County
  • Kajiado County
  • Narok County

More counties will be added as we expand countrywide. We serve national government institutions. Some of these include;

  • National police service
  • Kenya Prisons
  • Non-Uniformed armed forces personnel
  • Teachers service commission 
  • All National government ministries
  • Directorate of Criminal Investigation
  • Kenyatta National Hospital
  • Directorate of Public Prosecution

  • Office of the President
  • Office of the Deputy President

How to Apply for Hela Pesa Instant Loan

If you are a government employee looking to apply for Hela Pesa Instant Loan there are two ways to go about it.

Use the online loan application form. Just visit our registration form. Fill in the details and send. We will get back to you within five hours of starting your application. Once your application has been approved, you can put in a request for the amount you wish to borrow and it will be disbursed to your mobile phone.

The following are the details you will need to make a formal application;

  1. Email
  2. Your full name
  3. Mpesa registered phone number
  4. Your Government payroll number
  5. The county or national government institution you work for

Second, you can head over to the play store and search for Helapesa and download our app. The information you will use to sign up is the same as the one above.

The Approval Process in Hela Pesa Loan App

Once you have made the application, the approval of your registration wont take more than 12 hours depending on the institution you work for. The approval process will be determined by how your employer has set up the check-off system with us. Some require more due diligence than others, this is usually what causes delays during the application approval process. 

Once approved your loan request will be approved in less than one hour. The loan will be disbursed to the Mpesa registered number that you provided to us. Currently, we don’t offer disbursement to banks due to various regulations concerning user data privacy.

Conclusion

Hela Pesa is a Loan app that offers instant loans to its approved clients. It loans are unsecured and aimed specifically at government employees in the Kenya market. If you wish to apply you can use the online loan application form in Kenya or the App you can download from the google play store.