Despite High Interest Rates, Consumers Say Loan Apps Remain Lifeline

Despite punishing interest rates, Nigerian consumers say digital loan apps remain a lifeline, giving households and small businesses fast cash when incomes cannot cover urgent expenses, even as analysts warn that the borrowing is deepening debt.
Borrowers who spoke with LEADERSHIP Weekend, said they turn to the platforms out of necessity, not choice, to restock shops, cover emergencies at home and bridge the gap between income and rising living costs. Many said they keep borrowing even after complaining of weekly charges as high as 45 per cent, overdue penalties of five to 10 per cent daily and, in some cases, recovery methods that involve contacting their friends and family.
Analysts...