Nabil Bank, the first bank to provide Foneloan, has expanded the limit and eligibility of the digital financing product. Previously offering a loan limit of Rs. 100,000, now the limit for Nabil Foneloan has increased to Rs. 200,000.
Additionally, Nabil Bank’s eligibility pool has also been expanded. Nabil Bank customers holding regular saving accounts and even QR merchants will be eligible for Foneloan, whereas only salary account holders could avail the service before.
Nabil Bank has also upgraded their Foneloan offerings, allowing eligible customers to see the Foneloan icon on the Home Screen of their Nabil Smart Bank App. Furthermore, customers can also get ‘Buy Now Pay Later’ and EMI option for Foneloan. Customers can scan any Fonepay merchant QR codes during purchases and choose “Buy Now Pay Later” option during checkout to pay for their purchase in monthly installments.
Customers looking to clear their Foneloan dues early also have the option of prepaying their Foneloan directly from their apps. Nabil Bank takes no prepayment charge on prepayment, and allows instant clearance of loans provided that the customers have adequate funds in their accounts.
“Banking in Nepal is still in process of evolution but is currently focused on collateral based lending primarily due to legal and regulatory regime and in view of ease in NPA management.”, said Mr. Niraj Basnet Danil, Head SME and Microfinance at Nabil Bank. “Though our risk-taking appetite is increasing in recent days, we need to shift from collateral-based loans to behavioral and cash flow-based credit. Foneloan’s approach of automated credit underwriting and loan management is the first step towards achieving the same. We are convinced with the effectiveness of the product, as well as the customer demand for it, which is the reason for expanding our Foneloan offering.”
Established in 1984 AD, Nabil Bank has carved a cornerstone in the development of the financial services industry in Nepal. The Bank has always stayed true to its three strong pillars: Service Excellence, Technology, and Product innovation. This has led to the start of customer-centric banking culture with the development of innovative services and products, enriching customers’ livelihoods and setting benchmarks in the Domestic Banking Sector.
