Glossary

Lidya Bridge - Is the complete credit infrastructure that Lidya offers to lenders in Africa so they can digitize their loans and scale with confidence. It is composed of two  secure and flexible platforms: Lidya Webapp (for Borrowers) and Lidya Bridge Backend (for Lenders). With Lidya 3.0, Lenders can acquire borrowers, originate loans, manage their portfolios and collect their loans. 

Lidya Webapp - Is a platform meant for borrowers where they can apply, manage and receive their loans from multiple lenders. 

Lidya Bridge Backend - Is a platform for lenders to digitize their lending process and acquire borrowers, originate loans, manage their portfolios and collect their loans. 

Loan - A loan refers to a sum of money that is borrowed by an individual, organization, or entity from a lender, often a financial institution or bank. The borrower agrees to repay the borrowed amount, usually with interest, over a specified period according to mutually agreed-upon terms and conditions.

Collections - The process to have the loan + fees + interest repaid by the borrower to the lender, by an automated direct debit process. 

Lidya Collect  - The process to have the loan + fees + interest repaid by the borrower to the lender, by an automated direct debit process. 

Pre-Approved - The borrower had a loan evaluated by Lidya and met the conditions to get a loan proposal. However, due to past history or some uncertainty the proposal is pending  a credit check by the credit bureau to advance. 

Bank Statement - A bank statement is a document provided by a financial institution, such as a bank or credit union, to an account holder. It typically includes a record of all financial transactions related to a specific bank account over a defined period, in this case 3 months/90 days. Bank statements provide a detailed summary of deposits, withdrawals, transfers, purchases, fees, and other transactions that occurred within the account during the stated time frame. 

Collateral - Collateral is an asset or property pledged by a borrower to a lender as security for a loan. The purpose of collateral is to provide the lender with a form of guarantee that if the borrower fails to repay the loan as agreed, the lender can take ownership of the collateral to recover the outstanding debt. Collateral can take various forms, such as real estate, vehicles, valuable possessions, stocks, bonds, or cash deposits. The type and value of collateral required may depend on the loan amount, the lender's policies, and the borrower's creditworthiness. No collateral is required in our loans. 

Mandates - The mandates are the direct debit orders placed in each account of the borrower to advance with the collections set-up. 

Consent - Is the process by which the borrower gives Lidya the permission to do an account inventory search, to find all of his bank accounts. 

Interest and Fees -  Interest refers to the interest rate associated to your loan and Fees to any other applicable fees.