Kuda has become a popular financial app in Nigeria, known for its user-friendly interface and innovative features. But when it comes to borrowing money, you might be wondering: does Kuda actually give loans?

The answer is yes, Kuda offers two main borrowing options:

  • Kuda Personal Loans: These are traditional fixed-term loans with a one-time payout directly to your Kuda account. You’ll repay the loan with interest in fixed monthly installments over a predetermined period. Kuda offers personal loans up to ₦150,000 (Nigerian Naira).

  • Kuda Overdrafts: This feature provides a safety net for your everyday banking. Once you’ve used your Kuda account regularly for a while (think buying airtime, paying bills, etc.), Kuda might offer you an automatic overdraft. It’s essentially a short-term loan you can access anytime, with a low daily interest rate of 0.3%.

Here are some FAQs to help you understand Kuda’s loan options better:

Kuda Personal Loans:

  • How much can I borrow? You can borrow up to ₦150,000.
  • How do I apply? You’ll need to submit an application through the Borrow section of your Kuda app. Kuda will assess your eligibility through an automated process and might request your bank statement verification.
  • Is approval guaranteed? No, loan approval depends on your creditworthiness as determined by Kuda’s checks.
  • How long does it take to get the loan? If approved, the funds will be deposited into your Kuda account within minutes.

Kuda Overdrafts:

  • How do I qualify for an overdraft? Kuda will assess your account activity and automatically offer you an overdraft if deemed eligible. There’s no formal application process.
  • What’s the limit? The overdraft limit isn’t publicly disclosed, but it likely depends on your Kuda usage history.
  • How much interest do I pay? Kuda charges a low daily interest rate of 0.3% on your overdraft balance.
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Important Considerations:

  • Always borrow responsibly. Before applying for any loan, make sure you have a plan to repay it comfortably. Don’t borrow more than you can afford.
  • Review the terms carefully. When applying for a Kuda Personal Loan, understand the interest rate, repayment period, and any associated fees before accepting the loan offer.
  • Alternatives to borrowing. Consider exploring alternative options like budgeting or dipping into your savings before resorting to a loan.

In Conclusion:

Kuda offers its users both traditional personal loans and a convenient overdraft facility. Make sure you understand the terms and conditions before borrowing and remember to borrow responsibly. You can visit the Borrow section of your Kuda app or their Help Center for more information.


Many loan apps change their interest rates and repayment terms over time. Always review the terms and conditions carefully before downloading any loan app. B4loan doesn't promote any loan app, we just help you make informed decisions.

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