TruePesa – How to Apply Using USSD Code and Mobile App Guide takes you through a seamless process. The app is generally an online lender that employs machine learning technology to determine a customer’s financial capability. Machine learning utilizes data collected from users’ devices to verify and calculate the credit limit.
TruePesa offers unsecured personal loans, meaning that no security is required.
Loans are approved depending on the borrower’s creditworthiness. This translates to easy, fast, and instant access to loans applied.
Efficiency is enhanced since paperwork is reduced during the loan application and processing.
TruePesa loans are often referred to as emergency loans. The money can be used for personal purposes, including home improvement, medical expenses, and debt consolidation, among others.
How the TruePesa loan app works
The TruePesa loans app works by underwriting and disbursing loans to clients regardless of their credit history. Although one might have a low credit score, approval for the loan will be granted.
At the registration stage, TruePesa reviews the borrower’s details, including monthly income, residential area, and household composition. The data collected is then used to create a customer profile.
Features and details
| Features | Details |
| Loan Type | Unsecured Personal Loan |
| TruePesa USSD Code | None |
| Loan Term | 14 days-365 days |
| Interest rate charged | Between 1.8%-6% (monthly) |
| Service fee | 5% |
| Loan Limit Range | Ksh.500-Ksh 50,000 |
| Max Effective APR | 36%-72% |
| Paybill Number | 4089191 |
| Late loan repayments | 2.5% per day |
| TruePesa Contacts | Telephone：+254 719276399 WhatsApp: +254 748356470 Email: support@truepesa.com |
TruePesa mobile loan App
The TruePesa app allows users access to unsecured personal loans.
Users can borrow money, make repayments, and manage their accounts through the app.
The app assesses the user’s creditworthiness and disburses cash directly to their bank account.
The TruePesa loan app does not need any form of loan security but monitors repayment progress.
The mobile application employs machine learning technology to train its models on data retention. In addition, it analyzes user information collected during the sign-up process.
The TruePesa loan app uses data from your device, including your handset details, financial transaction messages, and the reason for borrowing.
The TruePesa loan app analyzes a borrower’s repayment history to create an individualized credit score and determine a loan offer tailored to their needs.
How to download the mobile app through the Google Play Store
Download the TruePesa Loan app by following the guide below:
- Go to the Google Play Store on your mobile phone.
- In the search icon, type “TruePesa loan” to find the TruePesa loan app.
- Download and install the TruePesa app.
TruePesa App Loan Sign Up and Application Process
To access money from the TruePesa loan app, one should have an Android phone with an M-Pesa line and a stable internet connection.
Once the app is downloaded, proceed to install it from the Google Play Store and follow the easy registration process, which takes approximately 5 minutes.
Before requesting a loan, please register for an account. Below is a simple process for registering and opening an account with TruePesa to start enjoying the services.
To begin, follow the step-by-step guide below:
- Open the TruePesa App installed on your phone
- Sign in to register with the TruePesa loan app.
- Enter your valid national ID (Identification) details.
- Sign up to complete the registration process. Fill in the details accurately, and a one-time PIN will be shared with you, which you need to change to your unique PIN number.
- Proceed with the application process by answering a few Know Your Customer (KYC) questions.
- Select the repayment date that works for you.
- Be ready to receive your money directly into your M-Pesa registered account.
How to reset or change the PIN
On the login page, click ‘Forget password’ and enter the mobile number you registered with. Then, type the verification text provided and then share.
You will get another verification code (OTP number) through SMS. Proceed to input the code, set the new password that meets the recommended criteria, then share.
How to Cancel Mobile Loan Application
TruePesa loan cancellation entails stopping the loan application process due to personal reasons.
A client does not have to cancel a loan application under the following scenarios:
- If the borrower has not completed and applied,
- If the borrower had already applied but has not yet,
- If the borrower accepts the TruePesa offer but has not yet cashed out
To cancel a TruePesa loan application, do nothing, and the loan cancellation will be processed automatically.
How to check the TruePesa mobile loan application status
To check the TruePesa application status, follow these steps:
- Log in to the TruePesa mobile app.
- Proceed to the top side of your home screen and view the status of your application.
Interest rates charged for TruePesa loans
The primary disadvantage of unsecured personal loans is that the interest rates are typically higher, often accompanied by shorter repayment terms. The interest rate is defined as the amount a lender charges a borrower, usually expressed as a percentage of the principal—the amount loaned.
The interest rate for TruePesa loans ranges from a minimum of 1.8% to a maximum of 6%, plus a 20% excise tax is charged.
Fees charged for processing TruePesa loans
After the application has been submitted, the fees charged are determined and analyzed based on the collected data.
The fees that a borrower incurs during loan processing are not limited to:
Processing fees, prepayment charges, late repayment penalties, documentation charges, insurance charges, loan cancellation charges, and underwriting fees. Additionally, origination fees, service fees, and tax-related fees associated with the personal loan disbursed are also taken into account.
When processing a TruePesa loan, the following rates apply:
| Processing Fee | 20% |
| Service Fee | 5% |
| Prepayment Charges | Not Applicable |
| Underwriting fee | There are no Underwriting fees |
| Fees for Late Repayment | interest fee of 2.5% per day |
| Loan cancellation charges | Not Applicable |
| Origination fees | The origination fee varies depending on loan terms |
Rate charged as a service fee for TruePesa loans
TruePesa loan app charges a one-time service fee per loan requested. This fee is calculated as a percentage of the principal amount and is dynamically priced for each customer.
Statistics reveal that 78% of customers start at 15% and are eligible for payments. Clients need to have a good credit history.
Below is an example of fees computed for a loan amount of KSh 4000 requested.
If the Ksh 4,000 amount is to be repaid after 60 days, it will attract an interest of 18%, KSh 720, and excise tax of 20%.
This translates to a total payment of KSh 4,864 is expected. The TruePesa mobile App loan includes a service fee, which is a defined percentage of the principal loan amount.
Other loans have a cost, sometimes referred to as an access or maintenance fee. These fees are prone to changes on a daily, monthly, or yearly basis.
These types of fees can add up quickly and might be extremely expensive to service.
When taking a loan with growing fees, it’s essential to repay the loan promptly.
The longer you wait, the more you’ll pay. Let’s look at an example of both types of loans.
Tim takes two loan products for Ksh. 5,000, where Loan A attracts a one-time service fee of 5% within a 30-day period. His service fee would be Ksh. He would owe a total amount of 5,250 KSh, while Loan B attracts a one-time service fee of 1% and a daily fee of KSh 30.
Kian will take 30 days to repay Loan B. On the first day of his loan, Tim would owe 1% of 5,000 KSh, which is 50 KSh. Additionally, a daily fee of Ksh. 30 is Applicable. 80.
Ultimately, he would owe a total amount of Ksh. 5,080.
On the second day of his loan, Tim will owe another extra 30 KSh, bringing his total to Ksh. 5,110.
If Tim waits 30 days to resettle the loan applied, he would owe 950 KSh in fees, making a total repayment of Ksh 5,950.
It would be like his interest rate was 19%. Loan B might appear cheaper initially, but clients need to consider the long-term costs.
TruePesa Mobile Loan Eligibility
Eligibility refers to a predetermined set of requirements needed to define creditworthiness.
To qualify for TruePesa loans, users must provide personal details, including their family name, phone number, place of work, and residence. These criteria may not suit everyone. More flexible options can be explored by checking various mobile loan apps that offer a diverse range of loan products. The eligibility requirements vary and may provide alternatives that match clients ‘ financial needs and borrowing capacity.
Minimum requirements for accessing TruePesa loans
Borrowers applying for TruePesa loans for the first time must prequalify and ensure they provide the correct user details.
When applying for the loan, the following are the requirements for TruePesa loans:
The following are the requirements:
- One must have a smartphone, preferably an Android smartphone, since the app is not currently available to iOS users.
- One must have a Valid National ID for identification purposes
- Have a valid and registered phone number with an active M-Pesa account.
- Place of Work ( proof of source of income)
Limitations to accessing through mobile loan
This happens when the system is unable to assign a credit limit, mainly due to two reasons. The first is due to the applicant’s poor or low creditworthiness, and the second is due to the provision of incomplete and incorrect information during the sign-up process.
First-time customers are advised to reapply after 7 days if they are denied the loan.
Repayment Methods
Loan repayment refers to the act of settling money borrowed from a lender in line with the terms and conditions specified.
This process entails a series of regular payments, which are made either daily, monthly, or at the shortest time possible.
Loan repayment can be made using various strategies and schedules that borrowers use to settle their TruePesa outstanding loans.
Ways used to settle TruePesa loans:
1. Paying TruePesa Loans using M-Pesa Pay bill number
- Visit the Safaricom menu and choose the M-Pesa option.
- Select Lipa na M-Pesa and go to the Pay Bill section
- Input the TruePesa business Number (4089191)
- Enter the registered phone number as the account number.
- Enter your preferred amount in Kenya Shillings
- Enter your secret M-Pesa Account PIN
- Confirm whether all details are correct and press ‘OK.’
2. Repaying the TruePesa mobile loan using the mobile app?
- Log in to your TruePesa mobile app.
- Click the “My Loan” button.
- Choose any of the listed loan products..
- Click Repay in Advance.
- Confirm if all details are OK and choose “Repay now.”
- Select your payment method of choice and press “Repay now” to complete the repayment process.
- Once payment is successful, you will be notified about your updated balance, which will reflect on your TruePesa mobile app Account.
How to Increase TruePesa Loan Limit
The loan limit is defined as an adjustment in the amount of money that a lender is willing to give.
The following aspects are considered when determining the loan limits:
- Ensure to maintain a Positive Credit rating
- Regular borrowing from the TruePesa mobile App.
- Timely loan settlement
- Refer friends to the TruePesa mobile app
- Keep on requesting higher loan limits.
- Enhance Mpesa transactions and maintain the messages.
- Avoid Changing or Upgrading Your Phone
- Maintain a Stable Income, and exercise patience to improve your credit rating.
Consequences of Defaulting on TruePesa Loans
Customers are listed as defaulters when they fail to fulfill the legal obligations or conditions outlined in the agreement.
Collections agents may reach out to you if you fail to settle the loans on time. In the event of a long period of non-payment, you may be blocked from accessing TruePesa loans.
Defaulters can also be reported to the relevant credit reference bureaus, which may penalize them for the same.
Frequently Asked Questions
TruePesa mobile app is a legally registered loan app regulated and licensed by the Central Bank of Kenya (CBK). The application has the capacity to disburse loans instantly to borrowers without requiring a credit check or an asset to act as security.
You can only apply for and borrow a TruePesa loan through the app.
The first-time loan application process at TruePesa varies depending on the borrower’s creditworthiness. This means that first-time applicants may not be eligible for higher loan limits or any loan limits at all due to their poor credit scores. However, borrowers with low creditworthiness may qualify for lower credit limits, ranging from Kes 500 to Kes 2000.
Clients who make late loan repayments are charged a fee of 2.5% per day.
To delete your account with TruePesa, please contact them via email at support@truepesa.co once you have repaid all outstanding debts.
In scenarios where you don’t have pending dues, book an appointment with the team to finish the formalities for closing your loan account.
Customers must provide accurate details to facilitate faster KYC verification.
For instance, you should enable the app to access messages so that the system can automatically verify your creditworthiness and assign your credit limit.
TruePesa loan approval enables seamless transactions via the loan app.
Yes, you can instantly request another loan once you clear the outstanding app loan.
To check your TruePesa loan balance, log in to the app and refresh the page using the ‘Repay’ button, which is displayed.
Conclusion
TruePesa customers must settle their loans promptly to enhance their credit score and improve their financial situation.
The loans can be accessed using mobile applications just the same way as other mobile loan apps. Prospects need to follow simple step-by-step guidelines and they are good to go.
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