A short-term loan product for MTN mobile money users, dubbed: “Mjara loans” has been launched in Accra.
Introduced by MFS Ghana, a mobile phone financial services company, the product is expected to provide fast and convenient options for consumers to access loans without the usual challenges.
Targeting people from 25 years and above, the product is expected to be extended to other mobile networks by the end of the year.
Launching the product, the General Manager, Marketing, MFS Ghana, Ms Julie Neogy, said majority of Ghanaians within the lower to middle income brackets were unable to access loans from the bank hence the introduction of the products to help them out of that predicament and to help those in business to expand.
“For the few who are able to access loans through the bank, the process is laborious, time consuming and stressful. Mjara loans address these very problems by offering simple, fast and convenient loans through the mobile phone,” she said.
“With Mjara loans, there is no need for paperwork, guarantors or collaterals. Mjara loans are quick convenient and confidential,” she added.
Mobile money users are required to register with GH¢30 within three months.
The money is to be paid in monthly instalments of GH¢10 after which a customer qualifies to apply for a minimum loan of GH¢100 and maximum of GH¢2,500
Attracting a fee of four per cent, repayment of the loan is to be done between two weeks and three months.
Explaining the processes involved, the Marketing Manager, Mr Thomas Bannerman-Mensah, said the product was for people who appreciated the convenience the mobile money service offered.
“All transactions between the loan providers and customers will be done on phone so you do not need to walk a long distance to access loans,” he noted.
According to him, all one needs is to dial the service number *565*5# and follow the instructions.
MFS is a pan-African company that offers financial services such as life insurance, credits, international money transfers, merchant payment and others through mobile phone.