Five Things You Should Know About Loan Cards in Nigeria

Most Nigerians are used to the traditional methods of getting loans, which is predominantly by applying at a bank. However, in current times there are increasingly new and easier ways to get financial support; one very interesting method is through a card. If you’d like to learn more about what a loan card is and how to get yourself one, then read on.

What is a Loan Card?

A loan card is simply an electronic payment card – which can be used at a POS, an ATM and for online purchases – that has been preloaded with a loan amount by the card issuer.

Difference Between a Credit Card and Loan Card?

There is no difference between a credit card and a loan card. Although it is more commonly known as “credit card” it can also be called a loan card because it allows users to borrow money from a bank or other issuers up to a set limit. This set limit is called a “credit amount” and is replenished once a user repays a percentage of the used credit by the agreed date.

How Does a Loan Card Work?

A loan card works similarly as a loan, except that it can only be accessed through a card. A loan card comes with a credit balance which is the preset loan sum from which you can make electronic payments or withdraw in cash at an ATM. With every purchase or withdrawal, a deduction is made from your credit card balance. For example, if your credit card limit is ₦200,000 and you make a purchase of ₦150,000, your credit card balance remains ₦50,000. To keep funds available in your credit card, you are required to pay back a percentage of the overall credit card balance within set dates.


Failure to pay by the due date will not only accrue interests but affect how much funds you can access through your card in the future. On the other hand, prompt payment improves your credit score so you can apply for a higher sum to be available through your credit card.

Where Can I Get a Loan Card in Nigeria?

Anyone who has a bank account can make a special request for a loan card from the bank, however, bank loans are generally difficult to obtain. Which is why O3 cards are the best loan card for you because they save you the stress of bank processes, are accessible to you no matter which bank you use and also offer up to 2 million Naira in credit card value.

Who Can Apply for a Loan Card?

Most banks only give credit cards to special account types and usually require proof of collateral. With O3 cards, you are do not need collateral to apply, you simply need to be:

  •  Between 21 – 55 years of age

  • Resident in Nigeria

  • A salary earner with at least a gross monthly salary of ₦200, 000 or an Entrepreneur with a 6 month average turnover of ₦200, 000.


Avoid bank loans stress. Get a loan card with O3 card today. Visit now.

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