How it works

If you have read these before, please skip to number 7 for more info:

NaijaLoan is an innovative member-to-member lending platform where all members are lenders and borrowers at the same time.

Member-to-Member lending means whenever you are giving a loan, you are giving it directly to a member on the platform, and whenever you are requesting for a loan, another member on the platform will give you the loan directly. We are the middle-man that connects everybody. That is, we are not the one giving you the loan, neither are we the one borrowing from you.

But how can all members be lenders and borrowers at the same time? That's tough to answer, but you will get it, do not worry. Scroll down to the next question for explanation.

As we said, all members on Naijaloan are lenders and borrowers at the same time.

That means, whenever you give a loan, you are also borrowing from the platform. So let's say you give a loan of N5,000 (on level 2), you will get N10,000 back (the N5,000 you gave + N5,000 interest). But at the same time, it means not only are giving a loan of N5,000, you are also borrowing N10,000.

You are confused right? Don't worry. It will get simpler.

Here is the scope. You gave a loan of N5,000 in order to get N10,000 right? That's right. You will get your N10,000 without stress. But whenever you upgrade (let's say from level 2 to level 3), you will have to pay back the N10,000 you are owing the platform (that N10,000 we said you borrowed). And that N10,000 you paid will upgrade you to level 3, where you will get N20,000 in return.

So in other words, you paying N10,000 to move from level 2 to level 3 means you have paid back the money you borrowed & you are also giving a new loan at the same time.

In summary, whenever you give a loan on NaijaLoan, you are borrowing & lending at the same time.

Whenever you give a loan, you are actually lending to the platform.

That means the whole community will be responsible for the loan. If one member fails to pay, other members will be directed to pay you.

"You said whenever I'm giving a loan, I'm also borrowing. If I refused to pay back the borrowing aspect, will I still get back the amount I loaned + interest?"

Like we said before, if you give a loan of N5,000, you will get N10,000 back (and you are also borrowing N10,000). The N10,000 you will get back is a guarantee. Whether you paid the money we said you owed or not, you will always get the amount you loaned + the interest.

It's only when you are upgrading that you will pay back the N10,000 we said you borrowed. And by paying it back, you will also get N20,000 (the loan you gave + interest).

Are you confused?

What we mean is that if you do not upgrade, then you are not owing us (the community) any money.

And if you upgrade, not only are you paying back the money we said you owed us, you are also giving us a loan at the same time.

NaijaLoan operates what is called a Progressive Level System. And this is what enables your N1,000 to turn to N120,000.

Check below for how the progressive level system works.

There are 6 progressive levels on NaijaLoan, and no member can risk more than N1,000, as everybody has to start from level 1.

Level 1
Pay ₦1,000
Get ₦5,000 (1 day)
Withdraw & upgrade to level 2
Level 2
Pay ₦5,000
Get ₦10,000 (2 days)
Withdraw & upgrade to level 3
Level 3
Pay ₦10,000
Get ₦20,000 (4 days)
Withdraw & upgrade to level 4
Level 4
Pay ₦20,000
Get ₦40,000 (6 days)
Withdraw & upgrade to level 5
Level 5
Pay ₦40,000
Get ₦80,000 (8 days)
Withdraw & upgrade to level 6
Level 6
Pay ₦80,000
Get ₦120,000 (10 days)
Withdraw your N120,000 & spread the good news

Go to the Transactions page and click on Activate. You are to click on Join Level 1. Once you've done that, the transaction will be pending till you are paired with the member you will make payment to. Once you are paired, you will see the bank details you will make the payment to.

You will receive N5,000 in your NaijaLoan balance. To withdraw the money, click on Withdraw (on your Transactions page).

If you don't have a downline, you will be asked to bring at least 1 downline to be able to withdraw. This is only required on level 1. Level 2 upwards doesn't require this.

Once you have 1 downline, click on withdraw again. You will be paired with a member that will pay you.

Level 1: You will pay N1,000 to get N5,000. Withdrawal is also N1,000 each. That is, you will withdraw N1,000 five times. Making a total of N5,000.

Level 2: You will pay N5,000 to get N10,000. Withdrawal is also N5,000 each. That is, you will withdraw N5,000 two times. Making a total of N10,000.

Level 3: You will pay N10,000 to get N20,000. Withdrawal is also N10,000 each. That is, you will withdraw N10,000 two times. Making a total of N20,000.

Level 4: You will pay N20,000 to get N40,000. Withdrawal is also N20,000 each. That is, you will withdraw N20,000 two times. Making a total of N40,000.

Level 5: You will pay N40,000 to get N80,000. Withdrawal is also N40,000 each. That is, you will withdraw N40,000 two times. Making a total of N80,000.

Level 6: You will pay N80,000 to get N120,000. Withdrawal is N80,000 once, and N40,000 once. Making a total of N120,000.