The Best Loans in Burkina Faso
Compare the best options on the market and choose the one which best adapts to your day to day needs.
Further Below: Our Guide To Loans in Burkina Faso, Everything you need to know.
General loan provider in Burkina Faso
- According to world bank statistics, Burkina Faso banks have not been approved to offer personal loans since 2005. The World Bank works with The Central bank of Burkina Faso to offer credits to all types of borrowers.
- These loans are offered on basis of the amount of income a borrower earns monthly.
- All loan disbursements are approved by the Central Bank of Burkina Faso which has sanctioned and is monitoring major lending entries in Burkina Faso.
- The current bank lending rate in Burkina Faso is at 6.25% and has been at that rate since 2021, according to the World Bank’s collection of officially recognized indicators for development. This data on the lending rate in Burkina Faso was provided on December 2022, by the World Bank.
Loans in Burkina Faso, All You Need To Know:
Thinking of taking out a loan in Burkina Faso but wondering how to go about it. Hang tight to learn everything about loans in Burkina Faso including what to consider before hiring these loans and which offer is best for you.
Quick Summary:
- Online mini loans are a quick source of money and are given even to first time applicants at a lower loan limit
- They come in handy during small economic contingencies
- Their repayment happens once and after one month
- Through online application, one gets funds without visiting the entity
- The loan funds are processed in a few hours
- Online mini loans are only taken out when the borrower is sure of their ability to reimburse them without straining
What are loans and how do they work?
Loans are financial instruments that grant us a certain amount of money and require us to repay it later under a set of conditions. They are granted by different lending institutions which curate different types of offers for different purposes. The borrower, hence, is supposed to know which offer they require and all the terms and conditions set for them.
In Burkina Faso, the loan conditions are determined by the entity and regulated by the Bank of Burkina Faso. Hence, the borrower can access the information about the loan before signing up for it. Loans differ in terms of their purposes, cost, their duration, etc. For instance, a mini loan only lasts a month while a mortgage loan or student loan lasts for many years.
It’s important to note that loans, once taken out, have to be reimbursed with the observance of the agreed-upon terms and conditions. It’s therefore advisable to read through contractual information before you get the funds.
What we should know about mini-credits
- They come in handy during economic emergencies
- They grant small amounts to new clients
- They finance us for one month
- The processing of the funds takes minutes
- They are more expensive than other loan types due to their high interest rates
When is it advisable to apply for loans?
An online mini loan is a financial instrument that offers small amounts of money. They are best taken out during economic contingencies due to their fast nature of application and concessions. Taking out this type of credit will require a full understanding of how they work.
YES, it is advisable to apply for mini-loans if/if not:
- The need comes once
- You need a quick financial injection
- You can repay the loan comfortably
- You do not solicit regularly
- You know how much money you’ll need to repay
- You’re fully aware of the terms and conditions of the loan
- The need comes regularly
- Your financial need is not urgent
- You are not sure of your ability to repay the loan
- You would like to take out the loan regularly
- You don’t know how much money in total you’ll need to return
- You’re not fully aware of how the loan works
You should repay a loan once you take it out. Hence, you want to make sure you’ve hired the best option using the above parameters.
How much money can I get with mini-credits?
Instant mini loans are best taken out to solve small economic emergencies. Therefore, the amounts of these loans are designed to be small at the first application. The amount and other conditions tend to change depending on our loyalty levels to the entity.
First time loan applicants are given a smaller loan amount which keeps growing following the borrowers’ creditworthiness.
Since these loans are given out under lax conditions, their amounts tend to be small for new clients. This happens also because the entity and client lack a background, and hence, the entity is not sure of the loyalty of the client to repay the loan. However, the loan conditions may improve after several on-time repayments.
Some lenders tend to increase the loan amounts and reduce the interest rates for loyal customers.
Requirements to access loans
As aforementioned, the requirements for granting online mini loans are a little laxer than other loan types. However, failure to meet the basic requirements below will have your application rejected:
- Be above 18 years. Some entities provide loans to applicants who are 21 years and above
- Have a stable source of income. This will show your ability to repay the loan
- Maintain a good credit history without a negative score on Burkina Faso Credit Bureau
- Have a Burkina Faso residence permit, either permanent or temporary
The above requirements may be a little different for some entities. While others require a minimum age of 18 years, others require a minimum age of 21 years.
Documents to be submitted when requesting a loan
After filling out the application form, entities will require documents showing that you meet their spelled-out requirements.
Below are the documents you’ll need:
- Valid ID card or passport
- The last two or three paychecks or income received
- Bank statements showing the holder and account number,
However, some lenders will use online verification methods to make the application process faster, reducing the pressure of sending paperwork.
How to take out loans online step by step?
Steps to contract a mini loan
- Choose the amount and term
- Fill in the form
- Send the documentation
- Read and sign the contract
The process of applying and getting online mini loans is faster than on other loan types. Since the application process is completely online, the borrower will only take 4 steps to get the money:
- Request the loan and select the amount of time you intend to repay it.
- Fill out all the provided blank fields with accurate personal data – name and surname, ID, date of birth, mobile, and address, among others.
- The lender will use the information to verify your application through an online verification system and assess your financial status. If all the information corresponds with your financial records and bank statements, the lender will go ahead to verify your application.
- The lender will send you contractual information which you’re required to read through carefully, noting down all the conditions of the loan before placing your signature through a digital signature.
After you send back the contractual documents, the lender will sign and process the funds. You’ll receive the funds in your account after a few moments.
About this page, our methodology
What this page is for: The essential target of this page is to guarantee that we give you precise data concerning the various personal credit facilities that work to solve your problems. We go to the different parts of the financial markets to gather all reliable information about the various types of individual credit that are available, the requirements for applying and repaying them, and their current trends. This aids in the development of exposure skills for selecting the best option.
Source: The information outlined here about personal loans in Burkina Faso and their features has been gotten from statistics of the World Bank, and the Central Bank of Burkina Faso among other referential sites.
Methodology: The data relating to the conditions of these products (amount, term, interest, etc.) have been obtained through online research and consultation of the official statistics of the aforementioned reference sources
About FUNDGECKO: FUDGECKO is a comparison site for personal financial products and home economics products. We compare the terms of available offers to provide quality information to help you find the offer that best suits your wishes and needs.
Note: the services we offer are totally free for the user, as FUNDGECKO obtains its income from advertising and its featured products