Peer to Peer Lending in Nigeria: How it Works & Top 5 Platforms in 2024

  • November 19, 2023

Peer to Peer lending in Nigeria is a modern way of borrowing and lending money that has gained popularity in the country over the past few years.

It is a platform that connects borrowers and lenders directly without the need for intermediaries such as banks or financial institutions.

P2P lending has revolutionized the financial industry by providing a more convenient and accessible way for individuals to access loans and invest their money.

The purpose of this post is to provide a comprehensive overview of P2P lending in Nigeria, including its advantages, popular platforms, and how it works.

We will also delve into the risks associated with P2P lending to help prospective investors make informed decisions.

With the increasing demand for alternative lending solutions, it is crucial for individuals to understand the P2P lending landscape in Nigeria.

So, without further ado, let’s get started!

What is P2P Lending?

P2P Lending, short for “Peer-to-Peer Lending,” is where individuals lend money to each other online, bypassing traditional banks.

It’s like a digital marketplace for loans, making borrowing and lending more direct and often quicker.

How Does Peer to Peer Lending Works in Nigeria?

As explained earlier, Peer to Peer Lending, also known as (P2P) Lending is a direct lending model where borrowers and lenders connect without the need for intermediaries such as banks.

Imagine you’ve got a friend, Tunde, who needs some cash to start a small business. But instead of going to a bank, he comes to you and a few other friends to borrow the money. You all chip in and lend him what he needs.

In return, Tunde agrees to pay you back with a bit of interest after a while. That’s basically the concept of P2P lending!

In the digital world, P2P lending platforms connect people who need money (like our friend Tunde) with people willing to lend.

So, instead of banks being the middleman, these platforms help folks borrow and lend money directly among themselves.

Now, let’s further breakdown how P2P lending works for both the lenders, and the borrowers.

See Also: Top 20 Loan Apps in Nigeria Right Now

How Peer to Peer Lending in Nigeria works for Lenders

The following is how peer to peer lending works for lenders/investors in Nigeria:

  1. Sign up: To start lending on P2P loan platforms in Nigeria, first, you need to sign up and create an account on the platform of your choice.
  2. Choose a loan: After creating an account, you can browse through various loan opportunities and choose the one you wish to invest in.
  3. Lend money: Once you have selected a loan, you can lend money directly to the borrower. The amount you lend will be credited to the borrower’s account.
  4. Repayment: The borrower will repay the loan and interest over a specified period of time, and the payments will be credited to your account on the P2P platform.
  5. Withdrawal: Once the loan has been fully repaid, you can withdraw your funds from the P2P platform to your personal bank account.

Related: Top 21 Investment Platforms that Pay Daily in Nigeria

How P2P Loans Work for Borrowers in Nigeria

For borrowers, P2P lending in Nigeria works as follows:

  1. Sign up: Borrowers need to sign up and create an account on a P2P lending platform in Nigeria.
  2. Apply for a loan: After creating an account, borrowers can apply for a loan by filling out an online application form and providing the necessary details.
  3. Loan evaluation: The P2P platform will evaluate the loan application, including credit checks and other verification processes.
  4. Loan funding: If the loan application is approved, the loan will be funded by lenders on the P2P platform.
  5. Repayment: The borrower will repay the loan and interest over a specified period of time, making payments directly to the P2P platform.
  6. Loan closure: Once the loan has been fully repaid, the loan will be closed, and the borrower’s account will be updated to reflect the successful repayment.

Now that you’ve known how peer to peer lending works in Nigeria, let’s see some of the platforms that offer this service.

Read Also: Top 15 SME Loans in Nigeria Without Collateral

Top 5 Peer-to-Peer (P2P) Lending Platforms in Nigeria 2023

In Nigeria, the best P2P lending platforms for 2023 include:

1. KiaKia

best P2P lending platforms

KiaKia is one of the most popular peer to peer lending apps in Nigeria. This app offers investors/lenders high returns on idle money they lend to borrowers.

On the other hand, borrowers also enjoy low-interest loans for a relatively long tenor on KiaKia. These loans have flexible repayment terms which are often made directly on the app.

Kiakia has been around for a long, and it offers one of the best P2P lending services in Nigeria. To use this platform, you must be at least 18 years old and have some basic documentation.

As a lender, you can get your returns based on your terms starting from monthly, quarterly, bi-annually and annually. KiaKia loans are usually provided for businesses as the amount ranges from N50,000 and N10,000,000.

Check Out: 1 million Naira Loan Offers without Collateral

2. P2Vest

p2p loan app in Nigeria

P2Vest is another reliable P2P lending platform in Nigeria. Despite being a new P2P loan app in Nigeria, it offers top-notch services to its users.

On this platform, you can also find a borrower as an investor, so as borrowers too can find lenders easily. P2Vest offers great returns to investors, while borrowers also enjoy low interest rates.

P2vest lending service is available to both individuals and businesses. Although it is best to go for the platform’s B2B loan service called P2VFB if you want to borrow money to fund your business.

See Also: Top 14 Urgent Loan Apps Without Documentation in Nigeria

3. AjoBox

AjoBox is another reliable platform that offers peer to peer lending in Nigeria. Just like KiaKia, this platform’s lending service is mainly focused on SMEs.

These SME loans are funded by individuals and/or groups of investors with low-interest rates for borrowers, and guaranteed ROI for the investors. AjoBox loan service comes with long tenor ranging up to 12 months with flexible repayment terms. The minimum investment as a lender on this platform is N50,000.

Related: Best Crowdfunding Platforms in Nigeria

4. Sukfin

Sukfin is another P2P loan app in Nigeria that is mainly focused on providing finance for businesses through investor lenders. To access a loan on this platform as a borrower, you must have a good credit score and also provide some documentation about your business.

Investors also get good ROI on this platform as the investment amount is relatively huge. Loans on this platform usually don’t require collateral, and the processing time is fast.

Related: Top 10 Platforms that Give Loans in Minutes in Nigeria

5. Fint

Peer to Peer lending in Nigeria

On Fint, borrowers can easily find lenders, so as lenders too can easily find borrowers. Fint is another new peer to peer lending platform in Nigeria that offers loan services to borrowers at very low interest rates.

Lenders also enjoy juicy returns on their investments on Fint, as the platform assesses borrowers to make sure that they can pay back so that investors won’t lose their money. Lenders can start with a minimum of N4,750 for a flexible tenor ranging from 2 weeks to 6 months.

For borrowers, the minimum amount you can get on FINT is N20,000 and the maximum is 1 million Naira for individuals, while businesses can get up to 20 million Naira.

Related: List of USSD Codes for Loans in Nigeria

Advantages of P2P Lending in Nigeria

Here are some of the benefits of peer to peer lending in Nigeria:

Access to funding

P2P lending provides borrowers with an alternative source of funding, allowing them to access loans quickly and easily.

Lower interest rates

P2P lending platforms typically offer lower interest rates compared to traditional banks and financial institutions.

Flexible repayment terms

P2P lending platforms offer more flexible repayment terms, allowing borrowers to choose a plan that works best for them.

No collateral required

Most P2P lending platforms do not require collateral, making it an accessible option for borrowers who don’t have assets to use as collateral.


P2P lending is a fast process, allowing borrowers to access funds quickly compared to traditional loan application processes.

Increased transparency

P2P lending platforms are transparent and provide information about the loan and the borrower, allowing lenders to make informed investment decisions.

Diversification of investments

P2P lending allows individuals to diversify their investments, reducing the risk of loss compared to investing in a single stock or bond.

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P2P Lending in Nigeria – FAQs

What is an example of peer-to-peer lending in Nigeria?

An example of peer-to-peer lending in Nigeria is the FINT platform, which connects borrowers and investors directly.

How do I borrow from peer-to-peer lending in Nigeria?

To borrow from Nigerian P2P lenders like FINT, register on their platform, fill out the loan application, and meet their eligibility criteria.

What is the largest peer-to-peer lender in Nigeria?

The largest peer-to-peer lender in Nigeria as of 2023 is likely “KiaKia”, renowned for its vast network of lenders and borrowers.

What is the best peer to peer lending for investors in Nigeria?

“KiaKia” is considered the best P2P lending platform for investors in Nigeria due to its secure, high-return lending opportunities and excellent reputation.


P2P lending in Nigeria offers an alternative source of funding for borrowers and a new investment opportunity for individuals. With lower interest rates, flexible repayment terms, and increased transparency, P2P lending is an attractive option for many.

However, as with any investment, it’s important to understand the risks and conduct thorough research before participating in peer to peer lending in Nigeria. By doing so, individuals can make informed decisions and take advantage of the benefits that P2P lending has to offer.