Loans with NIN-only" refer to loan services that require only the National Identification Number (NIN) for verification and approval. The NIN is a unique identifier issued by the National Identity Management Commission (NIMC) in Nigeria.
However, I'm afraid to let you know that 99.99% of legit online loan apps in Nigeria will not only collect your NIN, they'll also require your Bank Verification Number (BVN).
Many borrowers possess a NIN and doesn't have a Bank Verification Number (BVN). In this case, they'll be looking for ways to get cash advance without needing to submit their BVN. And trust me, you'll find it difficult to find lender that requires NIN-only.
If you need money urgently but can't get a Loan due to one reason or the other, explore these options to safe your self from the financial situation.
The NIN and BVN are crucial for loan processing in Nigeria for several reasons. Firstly, they play a significant role in fraud prevention and identity verification. Requiring NIN and BVN helps lenders confirm the identity of loan applicants, ensuring that only qualified individuals can access loans.
BVN, in particular, is used to track transactions and curb financial fraud since it is a unique number assigned to each bank customer.
Additionally, these identifiers are essential for assessing creditworthiness and repayment capacity. BVN allows lenders to link loan disbursements directly to the borrower's bank account, improving security and efficiency. The proof of identity, income, and credit history provided through NIN and BVN enables lenders to determine the risk involved in lending and the borrower's ability to repay the loan.
Moreover, compliance with financial regulations necessitates the use of NIN and BVN. The Central Bank of Nigeria has made BVN a compulsory requirement for accessing loans. Providing NIN and BVN is crucial for lenders to comply with financial directives and curb illegal activities.
In a nutshell, NIN and BVN are essential prerequisites for obtaining loans in Nigeria. They enable lenders to verify identities, assess creditworthiness, and comply with regulations, ultimately protecting both the lender and borrower from fraud and default risks. Hence, there's currently no lender or online loan app that can give you loan with NIN-only. Even the ongoing NELFUND (Student Loan) is requiring BVN and NIN from applicants.