How to apply for Tala loans in Kenya

How to apply for Tala loans in Kenya

Consumer credit demand is enormous in Kenya and demand for bread-and-butter business loans remains massive. That soft outlook disbursement stems from the fact that Tala loans are available for everyone.

Traditionally, Tala operates a mobile banking system and serves millions of people. They instantly disburse loans to people with credit history and no formal credit history on their mobile.

We will take you through Tala loans and all you need to know.

About Tala loans

Shivani Siroya is the founder and chief executive officer of Tala loans. Tala operates in some other countries like Mexico, Philippines, India and Tanzania. They found the app in 2011. They provide unsecured mobile money loans. Every one can qualify for Tala loans as long as they meet up with the requirement.

How Tala loans work

  1. Download the app
  2. Apply for the loan
  3. The app reads your phone information to gain some information
  4. Loan approved

Pros and Cons of Tala loans

Pros:

  1. Data submitted is secure
  2. They disburse loans within few minutes of application
  3. Tala has gained name and is one of the trusted lending platforms in Kenya

Cons:

  1. App can’t run on IOS.
  2. App runs on mobile phones with 4.0.3+ android versions

Minimum and maximum of Tala loan

Upon application, remember you can borrow between Ksh. 1000 to Ksh. 50,000 which solely depends on your credit score and loan limit. Your loan limits increase over time as you make early loan repayment.

There are three loan limits:

Bronze: It is the starting point and loans disbursed ranges between Ksh 500 to Ksh 4,999.

Silver: The minimum loan limit is Ksh 5000, and the maximum is Ksh 9,999

Gold: The minimum loan limit for this level is Ksh 10,000, and the maximum is Ksh 50,000. 

How do I get Tala loans

To get the loans, follow the steps below:

  1. Download the app from google play store
  2. Open the app and sign up by supplying your personal information for loan application
  3. After application, you see the loan offer available to you depending on your credit score
  4. Click to apply for the loan you qualify for
  5. Tala processes your loan applications within 5minutes
  6. If approved, you get a message on your Tala account or M-Pesa account of your loan disbursement.

Note: You can only take one loan at a go

What is the interest rate of Tala loans

Tala loans interest rates vary and depend on the loan you applied for and the repayment duration.  30 days loans have an interest rate of 7% to 19% which depends on your frequency of loan applications. 21 days loans incurs an interest rate of 5% to 14%.

Note: Some persons may qualify for a larger and additional loan durations. Always review your options and choose the one you want.

Additional fees for Tala loans

Tala loan repayment of 120 days has a onetime fee of 13% to 33%. 

How do I qualify for Tala loans

To qualify for Tala loans, follow the steps:

  1. Download the app from the Google Play store.
  2. launch the Tala app and sign up for a pin number
  3. Tala asks your permission to access your phone’s data
  4. After accessing your phone’s data, you can apply for a loan

What are the requirements for applying for Tala loans

Requirements for applying for Tala loans range from:

  1. Have a valid national ID
  2. Possess a registered phone number
  3. Have an active M-Pesa Account
  4. Have an android smartphone with operating system 4.6 upwards. 

Tala loan app

Tala app is an android mobile application software.  It provides lending services to citizens of Kenya. The app also offers unsecured mobile loans by accepting applications and disbursing immediate funds. Once you have an ID and active M-Pesa account, you are ready.

Features of Tala app are:

  1. It has more than 5million downloads on play store 
  2. A star rating of 4.5 out of 405,478 reviews 
  3. Requires android version of 4.0.3+.

How to repay Tala loans

This is a run down procedure on how to repay Tala loans.  They are:

  1. Launch your M-Pesa account 
  2. Locate M-Pesa paybill
  3. Enter the paybill number as 851900
  4. On the account number section, input your phone number 
  5. Enter the amount you want to repay
  6. Click Ok and have your loan repaid.

What you need to do when your Tala loans don’t reflect.

After repaying your Tala loans and it still doesn’t reflect on their system/Database. Open your Tala app and send your M-Pesa confirmation code to their support app chat.

What happens when you make late loan repayment

Missing loan repayment may result in submitting your details to any CRBs agencies. Late and missing loan repayment may also result in;

  1. Extra fees
  2. Lower late repayment 
  3. Inability to get future loans

After 112days, your loan repayment is late. To be sure that they do not list you, dial *433# and follow the prompt.

Errors encountered using Tala app

Below are solutions to common Tala App errors;

Loan repayment not reflecting on Tala loans database

Using the app chat section on the app, send in your M-Pesa successful confirmation code. Also include your repayment time and amount repaid.

What would I do when I lose my verification code details

 Try to Uninstall and reinstall Tala app. A verification code will be sent to you, be rest assured that you won’t lose your account. 

How to Change your Tala loans pin

 Launch the app, search and locate “Forgot pin”, click on it to reset your pin.

What you would do when Tala blocks your pin

Through the app chat, snap your National ID and send to them.

Device not supported on your Mobile

Tala app only works on Android smartphones phones with version 4.0.3+

When account is linked to another device elsewhere 

This error is encountered when you lose or change your phone. Contact the support team, report the error So they would unlink your previous account.

Your national ID number has been registered

This is a serious case and actually means a case of fraud. Send a message to Tala immediately. 

What happens when you are not eligible 

You would notice that even when you have taken a first and second loan, on the third one, you might still not qualify. Reason is that, if you are not using your phone to send messages, make a call and do M-Pesa transactions, you will not qualify. The way out here is to try out another week or day.

How to contact Tala Loans

You can reach Tala customer care through;

Email: hellokenya@talamobile.com

Chat: Go to Tala App chat section

SMS: send SMS to 21991

Website: https://tala.co.ke

Conclusion 

Tala is a financial company that uses different suitable technological tools to build a system that works for everyone. They disbursed more loans in recent times and also willing and ready to render more funds to the people. Tala app is a good product for a quick loan. Customers use Tala loans to start and expand small businesses, pay school fees and bills, and build more stable financial lives.

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