Payday Loans In Nigeria And List Of Banks That Offer Instant Payday Loan


Payday loans are a type of short-term borrowing that is designed to help individuals meet their urgent financial needs. In Nigeria, payday loans have become increasingly popular in recent years, as they provide quick access to cash without the need for collateral or a lengthy application process. These loans are typically offered by banks, microfinance institutions, and online lenders, and are designed to be repaid on the borrower’s next payday.

While payday loans can be a useful financial tool for those who need cash urgently, they also come with high-interest rates and fees, which can make them expensive if not managed properly. Whether it’s a medical bill, home repair, or any other urgent financial need, having access to quick funds can make a significant difference. Payday loans, especially those available without collateral, have emerged as a popular solution for individuals seeking immediate financial assistance.

What Is Payday Loan?

A payday loan is a short-term borrowing option that allows individuals to access small amounts of money to cover their immediate financial needs until their next paycheck. These loans are typically repaid in full on the borrower’s next payday or within a short period, usually not exceeding 30 days.

Unlike traditional loans offered by banks and financial institutions, payday loans are often available without the requirement of collateral. This means that borrowers do not need to provide any valuable asset, such as property or a vehicle, as security against the loan. Instead, payday lenders focus more on the borrower’s income and repayment capacity.

Benefits of Payday Loans without Collateral

  1. Accessibility: Payday loans without collateral are designed to provide quick and accessible financial assistance. The application process is often straightforward, with minimal documentation and paperwork requirements. Many lenders also offer online applications, allowing borrowers to apply from the comfort of their homes.
  2. Speedy Disbursement: One of the main advantages of payday loans is the swift disbursement of funds. Once approved, the loan amount is typically disbursed within a short period, sometimes within hours. This feature makes payday loans an excellent choice for urgent financial needs when time is of the essence.
  3. No Collateral Required: Traditional loans often demand collateral, which can be a significant hurdle for individuals who do not possess valuable assets. Payday loans without collateral offer a viable alternative, as borrowers can obtain funds based on their income and repayment capability, rather than tangible assets.
  4. Flexible Loan Amounts: Payday loans usually provide borrowers with the flexibility to choose the loan amount that suits their needs. The loan amount can vary, depending on the borrower’s income and the lender’s policies. This allows individuals to borrow only what they require, avoiding the burden of excessive debt.

Factors To Consider Before You Apply

  1. Repayment Terms and Interest Rates: Before applying for a payday loan, it is crucial to carefully review the repayment terms and interest rates offered by different lenders. Compare the rates and fees charged by various lenders to ensure you choose the most favorable option. Pay attention to any hidden charges or penalties for late repayments.
  2. Lender’s Credibility: Research and choose a reputable lender with a track record of fair practices and positive customer reviews. Verify the lender’s registration and license with relevant regulatory bodies to ensure they operate within the legal framework.
  3. Borrow Responsibly: While payday loans can be a useful tool for managing short-term financial needs, it is essential to borrow responsibly. Only borrow what you can comfortably repay within the agreed time frame. Failure to repay on time can lead to additional fees, higher interest rates, and a negative impact on your credit history.

Which banks offer payday loans in Nigeria?

Here are some more banks in Nigeria that offer payday loans:


  1. Guaranty Trust Bank (GTBank) offers Quick Credit, which has a low-interest rate.
  2. First Bank of Nigeria: FirstAdvance is a loan product offered by First Bank that is designed to meet the urgent financial needs of salary earners.
  3. Zenith Bank also offers instant loan services to suit various customer needs
  4. Sterling Bank: Sterling Bank offers Payday Loans to salary earners who have their salary accounts with the bank.
  5. Fidelity Bank: Fidelity Bank offers the Fidelity FastLoans product, which is designed to meet the urgent financial needs of salary earners.
  6. Union Bank: Union Bank offers the UnionPlus Salary Advance product, which is designed to provide quick access to cash for salary earners.
  7. Stanbic IBTC Bank: Stanbic IBTC Bank offers the Salary Advance product, which is designed to provide quick access to cash for salary earners.
  8. Access Bank offers payday loans to salary earners.

How do you qualify for a payday loan?

The qualification criteria for payday loans may vary depending on the lender and the country in which you reside. However, here are some general requirements that are common among most payday loan providers:

  1. Age: You must be at least 18 years old to apply for a payday loan.
  2. Income: You must have a steady source of income to qualify for a payday loan. This could be a salary, pension, or regular income from self-employment.
  3. Employment status: You must be employed or self-employed to qualify for a payday loan. Some lenders may require you to have been employed for a certain period, such as six months or a year.
  4. Bank account: Most payday lenders require you to have an active bank account. This is because they usually transfer the loan amount directly to your account, and also collect repayments automatically from the same account.
  5. Credit score: While some payday lenders don’t require a credit check, others may check your credit score to determine your creditworthiness. If you have a poor credit score, you may still be able to qualify for a payday loan, but you may be charged a higher interest rate.

How do I get a payday loan from Zenith Bank?

To get a payday loan from Zenith Bank, you can follow these steps:

  1. Ensure that you have a salary account with Zenith Bank. If you don’t have one, you can open one by visiting any Zenith Bank branch near you.
  2. Log in to your Zenith Bank internet banking account or mobile banking app.
  3. Look for the loan section on the dashboard of your Internet banking or mobile app and select the instant loan option.
  4. Select the amount you want to borrow and the duration of the loan.
  5. Review the loan terms and conditions, and if you agree to them, submit your loan application.
  6. Wait for Zenith Bank to review your loan application. If your application is approved, the loan amount will be credited to your account within a few minutes.


Payday loans without collateral have emerged as a valuable financial resource for individuals facing urgent financial needs in Nigeria. These loans provide accessible and speedy solutions, eliminating the need for collateral and extensive paperwork. However, it is essential to consider the repayment terms, interest rates, and the credibility of the lender before applying. By using payday loans responsibly and understanding the terms and conditions, individuals can bridge financial gaps and address unexpected expenses when they arise.