Mogo is one of the companies that offer loans in Kenya.Many Kenyans have taken loans from them and majority of them are regretting. But before taking a loan from the company,these are the things you must know.

Hidden charges

When you are told about the charges when taking a loan, ask about hidden charges. Normally, people take loans in a hurry and later they come to regret.You are only told about interest but there are charges which come up in the course of the loan repayment.

Interest

Interest is very important when repaying a loan. Ask whether it’s fixed or changes over time. You should also ask to know whether it’s calculated annually or monthly.

Documents needed to get the loan

You will be required to provide basic documents like ID, KRA Pin and Mpesa statement. When inquiring about the loan, make sure that every document is available.

What if you default

Ask them what will happen if you default or delay in repaying your loan. If there is a penalty, what amount? You should also ask about CRB issues.

Total amount to pay

They should also calculate the total amount to pay to clear the loan.Once they do so, make an agreement. In case they change the story, you will take them to court.

Will you pay in local currency or dollars

When taking the loan, it’s in local currency but when repaying, sometimes they require you to pay in US dollars. You should repay in local currency instead of US dollars.

Conclusion

I’ll advise you,instead of taking a loan from Mogo or these microfinance institutions,get a loan from Sacco,Bank or chama. You can also borrow from a friend.

And for logbook loan,it’s better to sell the car and use the money.