Many people oftentimes remain broke after the excessive festive season’s shopping sprees. Thus, they turn to micro-loan lenders, to make it to January’s pay-day.
Cash-loaners are part of financial institutions that temporarily lend people money on condition that the money is repaid with an interest fee.
Oshile Cash Loan was set up in 2008 by Andreas Akwenye to offer such services to those in need of instant cash. In Windhoek, it is found on Independence Avenue, Erf 1055.
The manager, Herta Epafras, says all a customer needs to borrow money from them are copies of their ID, pay slip and/or bank statements for three prior months. They then conduct a credit check since their cash loan system is connected to that of other cash loan service providers.
According to Epafras, Oshile Cash Loan gets more loan applications in January after the festive season and when schools are about to start either for the first, second or third semesters, or before the holidays.
“Oshile Cash Loan strives to give its customers the best services by helping them solve their immediate financial issues, as it makes profit,” says Epafras.
Since it is still a growing business, it only gives short-term loans. However, Epafras says they are looking into being able to provide their customers with long-term loans in the future.
Currently, the lenders give a minimum of N$300 and a maximum of N$3000 in loans with an interest of 30%. These loans should be paid back over a period of one month, in one go or through a stop-order into Oshile’s bank account.
The only challenge Oshile Cash Loan faces is that people do not pay their debts on time, “thus we end up taking unnecessary steps like sending credit collectors to them. It would be very helpful if Namibia Financial Institutions Supervisory Authority (Namfisa) helped us trace the customers who owe us”.
Besides cash-loaning, Oshile also has a security company with offices in the Khomas, Hardap and Erongo regions.