Access to finance remains a big problem for the majority of South Africans and businesses especially small and medium enterprises [SMEs].
Vodacom is doing something to solve the problem, the telecommunications firm has announced the launch of VodaLend Cash Advance, a product that gives its customers access to money.
The cash advance feature is the latest product to be added to the VodaLend financial services suite, which includes VodaLend Compare, Voucher Advance, and Airtime Advance.
”The new addition is geared towards underbanked consumers who need quick and barrier-free access to funds, whether it’s an emergency doctor’s visit or topping up pre-paid electricity just before payday,” Vodacom explained in a statement.
Vodacom customers can access a cash advance from R50 and up to R500, with the option to settle it over seven, 14, 21 or 28 days.
“Available exclusively to Vodacom customers through the VodaPay super app, the financial services offering forms part of the telco’s purpose-led ambition which includes accelerating financial inclusion for all South Africans,” adds Vodacom Group.
“With only 26 million South African consumers having a formal credit record, there is still a significant part of the population that doesn’t have access to formal financial services. VodaLend Cash Advance provides access to lending products for those who need these services most, but who have historically been prevented from doing so due to high fees and difficult-to-navigate paperwork,” says Mariam Cassim, CEO of Vodacom Financial Services.
Once approved, the money is advanced directly into the user’s VodaPay Wallet. It can be used for in-app purchases, including buying prepaid electricity and water, paying bills, scan-to-pay in shops, and sending money to friends and family.
