Timiza is a mobile banking and loan service offered by Absa Bank Kenya. It is available to both Absa and non-Absa customers and provides a variety of financial services, including:
- Loans: Timiza offers instant mobile loans of up to Kshs. 150,000 with a repayment period of 30 days. The interest rate is 10% of the loan amount.
- Savings: Timiza Goal Savings Account earns an interest of 9% per annum, paid monthly into your wallet/account.
- Airtime purchase: You can buy airtime for yourself or other people using Timiza.
- Bill payments: You can pay your utility bills, such as electricity, water, and gas, using Timiza.
- Goods and services: You can buy goods and services from merchants who accept Timiza payments.
- Money transfer: You can send money to other Timiza users or to bank accounts.
Timiza is a convenient and easy-to-use mobile banking service that offers a variety of financial services. It is a good option for people who need quick and easy access to loans, savings, and other financial services.
Facts about Timiza loan app
General
- Launched in 2018 by Absa Bank Kenya.
- Available to both Absa and non-Absa customers.
- Primarily targets individuals and small businesses.
- Offers mobile banking and loan services through their app and USSD code.
Loan Features
- Loan amounts range from Ksh 1,000 to Ksh 150,000, with higher limits for Absa customers.
- Repayment periods range from 7 to 30 days.
- Interest rates of 5% to 10% of the loan amount, which might be considered high compared to some competitors.
- Uses alternative data sources like mobile phone data to assess creditworthiness.
- Offers early repayment incentives and loyalty rewards.
Banking Services
- Timiza Goal Savings Account with 9% interest p.a.
- Money transfers between Timiza users and bank accounts.
- Airtime purchase for self and others.
- Utility bill payments (KPLC, ZUKU, DSTV, GOTV).
- Purchase goods and services at select merchants.
Financial Performance
- Over 8 million registered users.
- Disbursed over Ksh 300 billion in loans since launch.
- Claims a high loan repayment rate.
Awards and Recognition
- Winner of "Best Mobile Banking Innovation" award by Global Business Outlook (2020).
- Featured in The Banker's "Top 100 Fintech Companies in Africa" list (2021).
Criticisms
- Concerns about high interest rates on loans, especially for short-term borrowings.
- Potential for over-borrowing and debt accumulation.
- Limited loan amounts compared to some competitors.
- Some user reviews mention occasional technical issues and customer service challenges.
Here are some of the pros and cons of Timiza:
Pros:
- Convenient and easy to use
- Offers a variety of financial services
- Available to both Absa and non-Absa customers
- Competitive interest rates
- Good customer service
Cons:
- High interest rates on loans
- Short repayment period for loans
- Limited number of merchants who accept Timiza payments