At Tala, we listen to the needs of our customers. That’s why we’ve been working to make our products more flexible so that you can manage your finances better.
With our new features, you have more freedom over when to repay what you owe.
You can monitor and control how much you spend, and you can have peace of mind knowing that you have continuous access and growth opportunities with Tala loans.
Our new daily fees allow you to manage exactly how much you spend.
What is the daily fee?
Tala now charges a standard daily interest charge. You will only be charged for the days when you are using the loan service.
Tala’s interest rates are from as low as 0.3% per day and you decide how long you need the loan for. Tala allows you to select your repayment date so that you can manage your budget.
However if you repay earlier, you will pay less interest. You will also pay less interest if you make partial payments towards your loan. This is because the daily interest is now charged based on your outstanding balance.
While the rate will not change if you repay early, the interest you pay will only be for the days that you use the service.
How does the Tala flat, daily fee work?
For example, if you initially selected to repay on day 30, but you unexpectedly have the capability to pay earlier, you can pay sooner and pay less. Why do you end up paying less? That’s because we only charge interest for the days that you use the service! You save the interest you would have been charged had you paid on day 30, by paying early.
You can always check your daily rate in-app.
What happens to the daily interest if I don’t pay before the 61st day?
If you are not able to pay your loan within the 61 days, you will be charged a one-time late payment interest of 8% on your remaining balance.
Make sure you repay your loan before day 61. If you cannot repay in full, make a partial payment towards your loan. You will pay less daily interest when you make partial payments. Your late fee will also be less because it is charged based on your outstanding balance.
Now that you know how the new Tala loan gives you more flexibility, control, and a chance to save money, you can maximize its features to your advantage. Borrow what you need, set a personal target to repay, repay early when you can pay less, and practice healthy financial habits to lead you on the path to financial growth and success! Don’t be trapped in the many fixed term mobile loans in Kenya. Tala is here to support you!
You can learn more about our new Tala loans here.