City Bank offers hassle-free ‘Nano-Loan’ with Bkash

Summary:

Eligible Bkash customers with no actual bank account can now procure easy-terms loans with bkash app and repay with 9% annual interest under the new initiative of the City Bank.

Content:

BKash customers, who are eligible, can now utilise the bKash app to request for a loan ranging from Tk 500 to Tk 20,000, will receive the loan instantaneously.

After that, they can repay the loan in three equal monthly instalments (EMI) from their bKash accounts with the interest rate of 9% as stipulated by the managing director and chief executive officer of the City Bank Mashrur Arefin.

Following the successful completion of a year-long pilot project, City Bank introduced a collateral-free quick ‘Digital Nano Loan’ for bKash users on Wednesday.

The Digital Nano Loan was launched at an event attended by ICT Division state minister Zunaid Ahmed Palak, Bangladesh Bank deputy governor Abu Farah Md Nasser, City Bank chairman Aziz Al Kaiser and its managing director and chief executive officer Mashrur Arefin, and bKash chief executive officer Kamal Quadir.

Mashrur Arefin further added that because the service requires daily computation and processing, borrowers will only be charged interest for the days the loan was outstanding until further notice.

According to the statement of the City Bank’s chairman, Aziz Al Kaiser, customers do not need to have a bank account in order to apply for this loan. Their bKash accounts will be used to receive and repay their loans. This loan will not demand any type of security. As a result, the business sector will benefit.

To apply for this Digital Nano Loan, bKash users must go to the app’s “Loan” icon and enter the desired loan amount, which must be within The City Bank’s permitted limit, as well as accept the terms and conditions.

The loan amount will be quickly dispersed into the user’s bKash account after inputting the bKash PIN. Three EMIs from the same account will be required to repay the loan.

With the support of bKash and its strategic partner, Ant Group, a leading technology company, the service was launched on a pilot basis with the approval of the Bangladesh Bank in July 2020, with the goal of expanding access to finance to unbanked populations and contributing to the journey to financial inclusion.

Source:  The Business Standard

Share this post

Leave a Reply

Your email address will not be published.

Translate »