French startup Lydia announces a new partnership with Younited Credit, which allows you to borrow between 500 and 3000 € and repay in 6 to 36 months. The feature will be released in France at some point during the summer.
It is not the first time that Lydia plays with credit. The company has already partnered with Banque Casino to allow users to borrow between 100 and 1000 €. But this feature was limited to short-term credit, because you had to repay everything in three installments.
This time you can borrow more money and have more time to pay off your loan. Lydia will try to be as transparent as possible in matters of interests. And there is no charge in case of prepayment.
Compared to the first credit product, you cannot borrow money instantly. You request a loan in the application and get a response within 24 hours. If you accept the offer, you have seven days to change your mind - this is a regulatory requirement in France. You then receive money in your account.
By offering two different credit products, Lydia wants to cover more use cases. If something unexpected happens (your laptop has broken down, you need to book an emergency flight, etc.), you can borrow up to € 1,000 in seconds.
You receive the money in your Lydia account and you can start using it instantly using a virtual card, Apple Pay, Google Pay, Samsung Pay, Lydia debit cards or Lydia peer-to-peer payments.
The fees on instant credit lines are quite high because you pay 3.13% interest and one-time fees from € 6.90 to € 19.90 to receive the money instantly depending on the amount you borrow.
If you are planning a big purchase but can wait a week, you can check out the new credit offer with Younited Credit . This is not the first time that Younited Credit has offered an integrated credit product with another fintech startup. For example, N26 also offers lines of credit with Younited Credit in France.
Lydia started as a peer-to-peer payment app with 3.5 million users in Europe. He recently raised a $ 45 million round of funding led by Tencent. The startup now wants to build a marketplace for financial products. And the integration of Younited Credit into the application seems to be in line with this strategy.
