Cell phone becomes collateral to ask for a loan; see how it works

Some people end up finding themselves in need of borrowing in a period of financial crisis, but the person does not always have enough assets to justify the request. Recently, companies in the sector have started to suggest the customer’s personal cell phone as a guarantee to offer a loan.

  • How to make a loan with Nubank
  • 18 tips for you not to fall into scams when looking for a loan online
  • Procon-SP fines C6 Bank for granting unsolicited loans to account holders

According to a July survey by FinanZero, one of the companies in the field, interest in Google for loaning smartphones as collateral grew 500% from January to July this year, compared to the same period in 503175. The demand is justifiable, as almost every Brazilian has a smartphone these days: there are 55 millions of them, to be more exact, according to the Getúlio Vargas Foundation. So when the going gets tough, it can be an item to help you get the extra cash.

Who offers the loan?

SuperSim provides this service under certain conditions, such as being over 12 years old, have their own current account and have a device with internet access. It lends independently, but also with partners such as Serasa eCred or FinanZero itself. In the latter, the requirements increase a little: it is necessary to have more than 18 years and prove a minimum income of one minimum wage (BRL 1.47), in addition to the bank account.

Want to catch up on the best tech news of the day? Access and subscribe to our new channel on youtube, Canaltech News. Every day a summary of the main news from the tech world for you!

How much does the loan pay by cell phone?

The amounts obtained on the loan may also change. In Serasa eCred, they range from R$ 400 to R$ 2.500, with payment within 18 times. SuperSim pays from BRL 380 to BRL 2.600. FinanZero and another company, Bom Pra Crédito, release much higher amounts, of R$ 10 thousand or more, depending on the client’s income. Anyway, the customer suggests how much he wants and there will be an analysis of the company to close the quote.

Can you use any cell phone as loan guarantee?

Not. These are usually Android phones. Some companies specify even more: Samsung models only.

What happens to the cell phone?

The company that approves the loan asks the customer to install their own application. In case of default, the cell phone will be blocked, with access only to emergency calls. After payment of the installment debt, the cell phone is automatically unlocked.

Image: Julia M. Cameron/Pexels

Do people who are denied get credit?

It depends on the company. At Bom Pra Crédito, it is not possible for a customer with debt in the market to obtain the money. At Serasa or FinanZero, yes. But it is worth remembering: it is important that you analyze your current financial situation so as not to commit yourself to a debt that you will not be able to pay later.

What are the interest rates of mobile phone loan?

They may also vary according to the amounts requested and the financial institution involved. An example: at Serasa, a loan of R$5. has an interest rate of 3.23% per month in 23 monthly installments of R$ 400,234. The total amount to be paid will be R$ 6.849,234. In extreme cases, they may exceed 1024% per year.

Did you like this article?

Subscribe your email on Canaltech to receive daily updates with the latest news from the world of technology.

Related Articles

Back to top button