A Comprehensive Guide to Easybuy’s Buy Now, Pay Later Service in Nigeria
Easybuy is a Nigerian fintech company revolutionizing consumer finance through its innovative “Buy Now, Pay Later” (BNPL) offerings. Easybuy partners with retailers to allow customers to purchase products like smartphones, laptops, home appliances etc. by paying a portion upfront and spreading the remaining cost over flexible monthly installment plans.
This detailed guide will cover everything about Easybuy BNPL, from the customer process to pros and cons, repayment management, and tips for responsible usage.
Overview of Easybuy BNPL Service
Easybuy’s Buy Now, Pay Later platform enables customers to buy expensive products immediately and repay the cost slowly over time in affordable installments.
Here’s how it works:
- Customers select a product from Easybuy’s online/offline partner retailers
- They apply for a BNPL loan on Easybuy to finance up to 70% of the product price
- Upon approval, they pay a down payment for the remaining 30% or more
- Easybuy pays the retailer for the product upfront on the customer’s behalf
- Customer gets the product right away and repays the loan in 3-6 monthly installments
For retailers, Easybuy BNPL helps boost sales. For consumers, it enables purchases without full upfront payment.
Step-by-Step Guide to Using Easybuy BNPL
Here is a detailed step-by-step walkthrough of utilizing Easybuy’s buy now, pay later financing:
Step 1) Select your preferred product from an Easybuy partner retailer online or in-store.
Step 2) Initiate a BNPL loan application through the Easybuy website or mobile app. Provide your personal and employment details.
Step 3) Easybuy runs credit checks and affordability assessment. If approved, a loan offer is provided.
Step 4) Review Easybuy loan terms like repayment period, interest rate, processing fees etc. before accepting.
Step 5) Make minimum 30% down payment for product via Easybuy app, bank transfer, debit/credit card etc.
Step 6) Easybuy pays balance amount directly to retailer. Retailer confirms product shipment/pick-up.
Step 7) Receive your purchased product! Begin repaying remaining balance in equal monthly installments.
Step 8) Make repayments seamlessly via Easybuy app, bank, cash payments at retailers etc. on schedule.
And done! Follow this smooth process to buy electronics, appliances, furniture etc. without paying everything at once.
Advantages of Using Easybuy BNPL Service
Here are some excellent benefits of using Easybuy for your financing needs:
More Affordable Payments
- Spreads cost into smaller installments to ease financial burden
Instant Product Access
- Get products immediately rather than wait until full amount saved
Improved Credit Scores
- On-time repayments are recorded by credit agencies like CRC
Zero Collateral Needed
- BNPL loans approved without requiring assets, guarantors etc.
Headstart Rewards
- Regular shoppers earn points for discounts on future Easybuy purchases
Free Delivery
- Zero delivery fees on products bought via Easybuy BNPL
With these advantages, Easybuy makes purchasing aspirational and big-ticket items easier and more accessible.
Role of Credit Checks in Easybuy BNPL Approval
Easybuy conducts credit checks on loan applicants using agencies like CRC Credit Bureau. Here are key details:
- Soft credit check – This leaves a non-visible footprint during initial pre-eligibility screening.
- Hard credit check – A detailed check is done during final underwriting to approve BNPL loan amount. This is visible to other lenders.
- Credit score requirements – No minimum score, but higher scores increase approval chances and loan size.
- Historical data – Positive repayment history on past loans boosts your chances significantly.
- Alternatives – Easybuy also evaluates bank statements, utility bills etc. if credit history insufficient.
While not an absolute requirement, a strong credit standing makes getting approved faster and more likely when using Easybuy BNPL. First-time borrowers are still considered.
Easybuy Buy Now, Pay Later Repayment Process
Customers have flexibility in how they repay their Easybuy BNPL loans:
- Repayment period – Typically 3 or 6 months as chosen during application.
- Equal installments – The remaining balance is divided into equal monthly amounts.
- Payment channels – App, bank transfers, cash deposits at retailers.
- Early repayment – Option to repay full or partial amounts ahead of schedule without penalties.
- Late fees – Missed installments incur late fees of about 5% of amount due.
- Defaults – Severe late repayments can default the account, leading to penalties and credit damage.
Setting payment reminders and carefully following the repayment schedule is advised to avoid extra fees or interest.
Tips for Responsible Usage of Easybuy BNPL
When using Easybuy or any other BNPL service, following these tips will ensure a positive experience:
- Review all loan terms and conditions carefully before accepting
- Only borrow amounts you can comfortably afford to repay fully on schedule
- Have a fixed budget for your repayments each month
- Be cautious of overusing BNPL on too many purchases at once
- Avoid late repayments and defaults by proactively informing Easybuy if facing difficulty repaying
- Monitor your credit report and ensure on-time repayments are reflected
- Ask about available insurance options against potential non-repayment scenarios
Exercising financial prudence will help you maximize the benefits of Easybuy BNPL without taking on excessive debt.
Pros of Using Easybuy BNPL
More Convenient Purchases
BNPL allows buying desired products immediately rather than waiting months to save up.
Budget-Friendly Costs
Smaller installments are easier to budget for instead of one large lump sum payment.
Ownership Experience
You get to use and own the product during the repayment period unlike renting.
Credit Score Booster
Making repayments on time helps build your credit profile for future financing needs.
Limited Qualification Requirements
Easier approval than traditional loans with limited emphasis on pay slips, collateral etc.
Potential Cons of Easybuy BNPL
Higher Total Costs
Interest charges mean repaying more than original price over the loan tenure.
Risk of Late Fees
Missed payments incur additional late fees and interest charges.
Overspending Temptation
The ease of multiple BNPL purchases could lead to buying beyond means.
Credit Score Damage
Severe late or missed repayments get reported to credit agencies, hurting your score.
Limited Purchase Protection
You may have less recourse for defective products compared to one-time payments.
While very useful when used wisely, consumers should weigh the risks before committing to BNPL loans.
Conclusion
In summary, Easybuy’s innovative buy now, pay later platform lets customers conveniently purchase products immediately through affordable installment plans. By splitting costs over 3-6 month periods, buyers can own aspirational items without prohibitive upfront payments. Following responsible usage practices like carefully reviewing repayment capacity and avoiding late installments can help consumers benefit from BNPL financing while avoiding debt traps. Easybuy provides a powerful new spin on purchasing that makes various lifestyle products and electronics more accessible to African consumers looking for flexible financing options.
FAQs on Easybuy BNPL
Can I make partial early repayments on my BNPL loan?
Yes, Easybuy allows customers to make partial or full prepayments on loans ahead of schedule without early settlement fees.
What happens if I miss an installment repayment date?
You will be charged a late fee, typically 5% of the amount owed. Severe delinquency can also hurt your credit rating.
How long do I have to repay a Easybuy BNPL loan?
Easybuy offers 3 or 6 month installment tenures. The period depends on the loan amount and your chosen repayment plan.
Can I purchase from any store using Easybuy?
No, you can only use Easybuy BNPL at partner retailers that have integrated with their platform.
Can I apply for multiple Easybuy loans simultaneously?
Yes you can, but this should only be done with caution after assessing repayment ability to avoid over-borrowing.
Does Easybuy run hard credit checks on customers?
Yes, they conduct hard credit inquiries during final loan underwriting that can impact your credit score. Initial screening involves soft checks.
What happens if I default on my Easybuy BNPL repayments?
Defaulting leads to penalties, potential legal action, loan cancellation, and severe damage to your credit profile that stays for years.
Can I change my repayment dates after getting the BNPL loan?
No, the installment dates cannot be altered once set per the original loan agreement. But you can prepay installments.
Using Easybuy BNPL involves both advantages like 0% financing and risks like ballooning repayment costs if misused. Financial prudence and credit health monitoring are advised.
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