In a move aimed at enhancing continuous access to affordable, flexible, and convenient credit amid the ongoing credit crunch, Kenya’s largest non-bank lender by market share, Tala, has introduced a top-up loan feature, where millions of its customers can now borrow multiple times within their pre-approved loan limit, without needing to re-apply, saving time and reducing the hassle of the repetitive application process.
With this feature, Tala aims to serve customers who need support for their day-to-day, budgeted expenses such as school supplies, and utility bills, while continuing to help them get through an emergency. Previously, when customers needed a loan, they had to repay in full and reapply. Now, with the top-up loan feature, customers will have a credit limit to withdraw from as many times as they want, as long as it’s within their due date, without having to reapply.
“This is about giving power of choice and control back to the customer’s financial lives while also inching further into our responsible lending principles. A customer is now able to borrow a specific amount of money for a particular need without having to use their full credit limit in one go if they don’t wish to. Every shilling a customer repays is added back to their available credit for them to use whenever they like,” explained Tala’s General Manager, Annstella Mumbi.
Speaking on Tala’s customer-facing innovation strategy, Ms. Mumbi said that for a digital credit provider to thrive within the next decade, the customer must be at the center of every boardroom decision. “At Tala, we are cognizant of the current financial challenges being faced by Kenyans at all levels of the social strata and we want to work for and with Kenyans to help erase credit barriers that have for so long cut off customers, including small businesses from their survival life raft that is access to affordable credit.”
“Our true measure of success and the transformation of Kenya’s financial system will only come from the changed lives of our customers and through shared growth and prosperity with every financially underserved Kenyan. That is why we will keep on adding features and introducing new flexible products tailored to each individual’s needs to ensure no Kenyan is left behind,” concluded Mumbi.
Tala has disbursed over $2.7B of loans to its 8 million customers across Kenya, India, Philippines, and Mexico.
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