Recredit

What a Recredit loan is

Recredit is an online MFI issuing short-term loans to a card at any Ukrainian bank. The product is aimed at people needing a small “until payday” sum or to cover an urgent expense, with no branch visit or paperwork.

Cost of the loan

Per BankSorter data, the full loan cost (annual rate including all payments) is 1,346.27%. The lender's site separately states a base daily rate: 0.5% per day on the outstanding balance for new customers, and 0.4% per day for those who've used the service before. Since interest accrues daily on the remaining balance rather than the full original amount, the faster the borrower repays, the less they overpay. The maximum loan amount is 40,000 UAH.

Terms and requirements

Recredit offers a flexible choice of loan term - 3, 4, 5, 6, 9, or 12 months, unusual among similar services: most MFIs limit themselves to a few weeks. Early repayment is possible at any time with no extra fee - only the interest actually accrued for the days used is charged. The site states there are no hidden fees or mandatory insurance. The lender also separately offers discounted repayment terms - for both new and repeat customers - for terms up to 12 months.

How to apply

The process is fully online: the lender transfers funds to a card at any bank, with no office visit. The detailed step-by-step process isn't spelled out on the offer page - a standard MFI application via the site's calculator is assumed.

Pros and cons

Here are the offer's key strengths and weaknesses.

Summary

Recredit suits those looking for a short-term loan with the option to spread payments over up to a year and repay early with no penalty. The key thing to remember is that the full loan cost reaches 1,346.27% annually, so this is a solution for urgent rather than planned expenses, and the debt should be repaid as quickly as possible.