Nabil Bank expands Foneloan; larger loan limit & extended eligibility pool
Foneloan will be available to Nabil Bank customers with saving accounts as well as QR merchants, whereas previously only salary account holders were eligible.
KATHMANDU: Nabil Bank, the first bank to offer Foneloan, has increased the loan limit and eligibility requirements. Previously offering a loan limit of Rs. 100,000, Nabil Foneloan now offers a loan limit of Rs. 200,000.
Furthermore, Nabil Bank’s eligibility pool has been expanded. Foneloan will be available to Nabil Bank customers with saving accounts as well as QR merchants, whereas previously only salary account holders were eligible.
The bank has also improved its Foneloan offerings, allowing eligible customers to see the Foneloan icon on their Nabil Smart Bank App’s Home Screen. Customers can also use the ‘Buy Now Pay Later’ and EMI options for Foneloan.
Customers can pay for their purchases in monthly installments by scanning any Fonepay merchant QR code during purchases and selecting the “Buy Now Pay Later” option during checkout.
Customers who want to pay off their Foneloan early have the option of doing so directly from their apps. Nabil Bank charges no prepayment penalty and allows loans to be cleared immediately if customers have sufficient funds in their accounts.
“Banking in Nepal is still evolving, but it is currently focused on collateral-based lending primarily due to the legal and regulatory regime, as well as the ease of managing NPAs,” said Mr. Niraj Basnet Danil, Head SME and Microfinance at Nabil Bank. “Although our risk-taking appetite has increased recently, we must shift away from collateral-based loans and toward behavioral and cash flow-based credit.” Foneloan’s approach to automated credit underwriting and loan management is the first step in that direction. We are convinced of the product’s effectiveness and customer demand, which is why we are expanding our Foneloan offering.”
Nabil Bank, founded in 1984 AD, has been a cornerstone in the development of Nepal’s financial services industry. The bank has always adhered to its three pillars of service excellence, technology, and product innovation. This has resulted in the establishment of a customer-centric banking culture through the development of innovative services and products, which have enriched customers’ livelihoods and set benchmarks in the domestic banking sector.
