‘Pay-Later’ service in bKash app with Digital Nano Loan from City Bank
Provides 7-day interest-free purchase opportunity
For the first time ever, City Bank and bKash have jointly launched ‘Pay-Later’ – a special collateral-free digital nano loan service that facilitates payments with interest-free loan through bKash app. Now customers can buy any product or services and pay directly with this special loan, even if they don’t have sufficient balance in their accounts. They don’t have to pay any interest if the due amount is paid within seven days.
Mashrur Arefin, Managing Director and CEO of City Bank and Kamal Quadir, Chief Executive Officer of bKash inaugurated this special digital nano loan service 'Pay-Later' at the head office of City Bank, today. Senior officials of both organisations were also present in the launching ceremony.
Subject to eligibility, customers will be given a combined limit of Tk 500 to Tk 30,000 loans through which they can avail both Pay-Later and Digital Nano Loans instantly.
This Pay-Later service has been launched with the aim of accelerating financial inclusion, increasing the ability of marginalised people to purchase essentials and daily necessities. Customers will get the opportunity to use the Pay-Later service by shopping with the bKash app at more than 600,000 merchant points across the country.
To avail this loan, eligible customer needs to scan the merchant QR code or input the merchant number, input the transaction amount and select Pay-Later option. In the next step, the customer has to select between the following methods – interest free repayment within seven days or repayment in 6 months.
For 7-day interest-free repayment option, if a customer fails to fully repay within seven days, then that Pay-Later will convert into a 3-month loan with a 9% interest per annum.
In the 6-month repayment option, customer need to make an upfront payment 20% of the total payment amount, rest 80% will be divided into equal instalments. The instalments will be paid automatically on the specified date of every month. In this case, a 9% interest per annum will be applicable. In both cases, a processing fee of 0.575% including VAT will be added.
Bangladesh has entered the era of digital loan through this joint initiative of bKash and City Bank. Since its inception in 2021, Tk 7.5 billion has been disbursed to more than 250,000 bKash customers with a total loan count of around 800,000.
Mashrur Arefin, Managing Director and CEO of City Bank and Kamal Quadir, Chief Executive Officer of bKash inaugurated this special digital nano loan service 'Pay-Later' at the head office of City Bank, today. Senior officials of both organisations were also present in the launching ceremony.
Subject to eligibility, customers will be given a combined limit of Tk 500 to Tk 30,000 loans through which they can avail both Pay-Later and Digital Nano Loans instantly.
This Pay-Later service has been launched with the aim of accelerating financial inclusion, increasing the ability of marginalised people to purchase essentials and daily necessities. Customers will get the opportunity to use the Pay-Later service by shopping with the bKash app at more than 600,000 merchant points across the country.
To avail this loan, eligible customer needs to scan the merchant QR code or input the merchant number, input the transaction amount and select Pay-Later option. In the next step, the customer has to select between the following methods – interest free repayment within seven days or repayment in 6 months.
For 7-day interest-free repayment option, if a customer fails to fully repay within seven days, then that Pay-Later will convert into a 3-month loan with a 9% interest per annum.
In the 6-month repayment option, customer need to make an upfront payment 20% of the total payment amount, rest 80% will be divided into equal instalments. The instalments will be paid automatically on the specified date of every month. In this case, a 9% interest per annum will be applicable. In both cases, a processing fee of 0.575% including VAT will be added.
Bangladesh has entered the era of digital loan through this joint initiative of bKash and City Bank. Since its inception in 2021, Tk 7.5 billion has been disbursed to more than 250,000 bKash customers with a total loan count of around 800,000.