How to apply for a credit card in Nigeria

most commonly used debit cards inNigeria

In Nigeria, credit cards are issued for convenience, and the Central Bank of Nigeria regulates how they operate (CBN). Although not widely utilized in Nigeria, credit cards are in several other regions of the world.

The percentage of credit card users in Nigeria, according to an unsubstantiated estimate, is 0.5%. Even the figure itself may be excessively liberal, according to some analysts. The country has very little credit awareness.

Despite this number, it is very much possible to get yourself a credit card in Nigeria.

In this article, you will understand what a credit card is, how you can apply for a credit card in Nigeria, and you’ll be able to find a credit card that best suits your needs.

Credit cards

A credit card is a type of payment card that is given to customers (cardholders) to allow them to pay a merchant for products and services depending on the amount of debt they have accumulated (i.e., promise to the card issuer to pay them for the amounts plus the other agreed charges).

The card issuer (often a bank or credit union) establishes a revolving account. It provides the cardholder with a line of credit from which they can borrow money to pay for purchases or to get a cash advance. Consumer credit cards and corporate credit cards are the two types of credit cards.

Most cards are made of plastic, however, some come in metal (stainless steel, gold, palladium, titanium) and some even have gemstones embedded in them.

What is the Nigerian credit card system like?

In Nigeria, a credit card is a kind of payment that gives you access to cash advances within a predetermined limit that you may use only with the card. Each purchase takes the amount from your credit card balance in Nigerian banks. For instance, if your credit card limit is 50,000 Naira and you make a transaction of 10,000 Naira, your available credit in Nigeria is still 40,000 Naira.

In any case, as long as you pay back the smallest amount by the deadlines specified, the money available on your credit card can be renewed again.

Similar to traditional loans, failing to pay your whole statement balance by the due date may result in interest charges, which may lower your credit score and limit the amount of cash you can access. However, if you pay on time, your Nigeria credit card limit will increase as a reward.

Qualifications for a Prepaid credit card in Nigeria

For the Nigeria prepaid credit card, you must be

• A Nigerian citizen

• Between the ages of 21 and 55

• A wage employee with a minimum gross monthly salary of 210 000 or an entrepreneur with a turnover of 210 000 during the previous six months.

How do I apply for a credit card in Nigeria?

In contrast to debit cards, you cannot apply for a credit card online in Nigeria, therefore you must physically visit a bank office to register. This makes the process more difficult.

Here is how you can apply for a credit card in Nigeria

  • Firstly, Visit any nearby bank location and ask for a credit card application.
  • Then you are to open an account with your desired bank. It can either be a savings account, current account, domiciliary account, or diaspora account.
  • Additionally, you must maintain a bank salary account (this helps to make your application approved faster) because the bank needs to be sure that you can pay back your credit.
  • Submit your bank verification number (BVN). This is due to the fact that your BVN is always required when completing a credit card application.
  • Indicate which account you want the credit card to be connected to.
  • Complete the form properly.
  • Select the preferred card. (This is either a Master, Verve, or Visa card.)
  • Fill out the form, then wait while it is processed (This takes about 30 to 40 minutes)
  • You will receive your credit card when your application has been reviewed and authorized with the available card.
  • You must choose your credit card’s pin when prompted.

Find out in a bank location if you qualify for one of their credit cards as different banks have different eligibility standards.

You must fulfil a number of requirements and restrictions before a bank can offer you a credit card. If you are eligible, your credit card will be issued promptly and sent via courier to the location of your choice, or you may pick it up yourself.

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