How to Create a Money Lending App like Kredito

How to Create a Money Lending App like Kredito

09 June 2023 • 14 min read

Do you want to create a money lending app but need help figuring out where to start? You're not alone! Many businesses encounter similar challenges when venturing into the consumer credit market. People view money lending apps as a more convenient way to loan money and fintech companies actively seek to build lending software.

At Softermii, we know the ins and outs of these solutions and have the knowledge and skills to create a lending app that will stand out with lower rates and faster approvals.

In this article, you will learn all about the features of money lending apps, their functionality, how to build a loan app, and how much it would cost. Drawing from our experience with real-life use cases like Expedipay and SmartStart, we will share all we've learned about developing a payment processing app that users would love.

Without further ado, let’s learn how to create a money lending mobile app.

Why Are Loan Lending Apps So Popular?

In 2022, 27% of US banking customers used digital-only banks. Such features as around-the-clock access and reduced banking fees contribute to the growing audience of digital banks. Meanwhile, companies waste no time and quickly occupy various niches of digital banking, ranging from cash advance apps to loan lending apps.

Let’s dive into the reasons why users prefer money lending apps to the hassle of traditional bank loans:

  • Accessibility and Convenience: You don’t need to spend hours going to the banks and waiting forever for the approval to come through. Instead, users get to apply for loans, upload documents, and receive money with just a few taps on the phone.
  • Streamlined Application Process: The apps cut the time spent on the application process and make it more convenient for users.
  • Faster Approvals and Disbursements: As the apps use data analytics and advanced algorithms, the users spend less time waiting for the creditworthiness assessment and disbursements of money.
  • Personalized Offerings: Data analytics also allow personalized loan options by analyzing user’s data and financial behavior.

Due to the rising popularity of lending apps, more and more companies are entering the market by developing their own solutions. This increased competition has given rise to new trends and practices in the digital lending industry.

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Latest Trends in Digital Lending

As of January 2023, Europe's six most popular apps-only digital banks had more than 80 million app downloads combined. With the growing popularity of app-only digital banks in Europe, it's evident that digital lending is gaining significant traction. Now, let's explore the emerging trends and tendencies that will shape the future of this dynamic industry.

Increased customer-oriented support

Exceptional customer experience is a focus of many fintech companies. Personalized support, such as dedicated customer service teams and self-service options, is no longer a benefit but a necessity. Customers expect instant resolution of their issues and won't settle for less.

Usage of virtual assistance and AI-powered chatbots

With the integration of virtual assistants and AI-powered chatbots, you can provide round-the-clock support to your customers. These advanced technologies offer personalized loan recommendations and ensure enhanced user experiences, smoother operations, and increased customer satisfaction.

Open API banking

Open API banking allows you to integrate the services with financial institutions and share customer data securely. Fintech companies use open APIs to access banking infrastructure and offer innovative lending solutions, expanding their reach and transforming the lending landscape.

These trends lead to personalized, efficient, and accessible lending experiences, allowing both borrowers and lenders to navigate the evolving financial landscape with confidence and convenience.

How Do Loan Lending Mobile Apps Work?

Loan lending mobile apps streamline the process through several key functionalities.

User Verification & KYC

During the first step, users create a profile by providing their details, contact information, and essential documentation. The app performs identity verification and checks the user's credit history and rating to determine whether they qualify for a loan.

The loan application process

Once registered, users can apply for the loan. They input the desired loan amount and repayment terms and submit supporting documentation. The lender checks the application, assessing the borrower's creditworthiness and eligibility based on the application's information.

Loan approval and outlay of money

Upon approval, the app facilitates the secure outlay of money to the customer's preferred account. Users can conveniently organize their repayment schedule based on the information about repayment amounts and due dates. Integrated payment gateways allow users to make repayments easily, while automated reminders and notifications help ensure timely payments.

Repayment and collection of the loan

In cases of delayed or missed payments, the app may provide mechanisms for collections and manage associated fees or penalties. Loan lending mobile apps offer a user-friendly platform, simplifying the loan application, approval, disbursement, and repayment processes for borrowers.

Must-Have Features in Loan Lending Apps

Users expect to see specific features no matter what the focus of the loan lending app is. With these features, you enhance the user experience and provide crucial functionality for borrowers. Whether you're a financial institution or a fintech startup, incorporating these must-have lending app features can improve usability and appeal to the target audience.

Loan tracking and reminders

Create a money lending app

The app should provide a clear overview of the loan amount, repayment schedule, and pending payments. Push notifications and reminders can help borrowers stay on top of their loan obligations, ensuring timely repayments and avoiding late fees or penalties.

User-friendly interface

An intuitive and easy-to-navigate interface allows customers to access the various features and information within the app effortlessly. Clear and concise menus, well-organized screens, and logical placement of important functions also enhance the user experience.

Loan Calculator

Loan lending app development

With this tool, users can estimate their monthly payments, interest rates, and total repayment amount based on the loan amount and selected terms.

Secure payment gateway

The developers incorporate secure payment gateways to ensure user data protection during loan repayments. They also utilize industry-standard encryption protocols like SSL, SFTP, and AES. You can also partner with trusted payment providers, such as Stripe payment to safeguard users' personal and financial information from unauthorized access.

Transfers and withdrawals

How to create a money lending mobile app

You should aim to integrate with popular payment systems and banks such as PayPal integration to facilitate quick transactions. To enhance flexibility and convenience, consider offering multiple transfer and withdrawal methods such as direct bank transfers, mobile wallets, or payment cards. Doing so will give borrowers options that suit their preferences and make managing their loans a breeze.

Document upload and verification

Including a feature allowing borrowers to upload necessary documents, such as identification proof of income statements, can cut the application review and approval process time. Additionally, by integrating verification services, such as digital identity verification or credit score assessment, you will enhance the app's efficiency while maintaining data accuracy and compliance.

Advanced Features to Consider for Loan Lending App

Besides the standard set of features, you can go even further and implement advanced features of money lending mobile apps that will take the user experience to the next level. Let’s review some of them:

Big data analytics

With big data analytics tools, you can analyze user data and gain insights to enhance your app further. For example, with time, you’ll have enough data to segment your customer base and tailor products and offerings accordingly. Additionally, you’ll be able to create targeted marketing strategies and personalized loan solutions.

Machine learning for risk assessment

Every loan lending app needs proper risk assessment to analyze user data, credit history, and other risk factors. Machine learning helps to generate acute risk profiles and leads to more reliable loan approval decisions.


Chatbot use skyrocketed as 88% of users claim they had at least one conversation with a chatbot as per 2022. Users engage with chatbots to get quick answers or resolve complaints or requests. Implementing a chatbot into the app allows instant support and address queries regarding a wide range of issues.

CMS integration

With content management system (CMS) integration, you can manage and update the content straight from the app. Whether you need to change the loan product details, interest rates, or terms & conditions, all of it can be done directly in the mobile app.

By integrating these advanced features into loan lending apps, you can optimize operations, enhance risk assessment capabilities, improve user engagement, and deliver a seamless borrowing experience to customers.

Time required to complete all stages of development from scratch

One of the first questions regarding how to start a loan app is how long it will take. The exact duration varies based on the project's complexity, and your specific requirements. Here's a rough estimate of the time spent to create a money lending app.

Discovery & Research: 280 hours

For anyone curious about creating a money lending app, initiating with this phase is crucial. Our business consultants perform market studies, decipher consumer needs, and evaluate industry trends during this preliminary phase. This data forms the groundwork for projecting the budget of the project.

Additionally, this period sees our design squad crafting a prototype and forming a concept. In the process of generating the application's UI and UX prototypes, our team examines how well the technology stack, functionalities, and overall design align with the client's expectations.

Development: 640 hours

Our skilled team creates an early iteration of the complete product within the chosen technology stack.

Testing and Deployment: 240 hours

The phase of testing and deployment is pivotal when you opt to build a money lending app. Gathering user feedback about the product is a must to enhance the app's features, make it more user-centric, and eradicate bugs.

After the completion of testing and bug fixes, your money lending app is set for launch. Remember, even after the app's release, support is necessary for successful market competition.

Preparing Technical Documentation: 40 hours

This final stage of building a financial lending app encompasses the creation of all the necessary documentation for the app, with a special focus on the product manual.

Read Also: Financial Literacy App Development

The cost of loan app development and how to decrease it

The cost to develop a money lending mobile app varies based on different factors, from the required features and functionality to the experience and skills of the developers. Hourly rates for specialists are also different based on their location.

For example, here’s the average hourly rate for specialists in different countries:

  • North America - $80-$150
  • South America - $30-$50
  • Eastern Europe - $40-$65
  • Western Europe - $70-$120

Let’s calculate the average cost of developing a money lending app while working with specialists from North America and Eastern Europe. With a North American specialist, you’ll need $57500 on average. With developers from Eastern Europe, it will cost you $26500.

If you do choose working with Softermii team, we’ve calculated the approximate cost of all the development stages in one table:

Development Stages




Discovery & Research

280 hours

$11 200



640 hours

$25 600



240 hours

$9 600


Creating technical documentation

40 hours

$1 600


1 200 hours (5 month)

$48 800

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Please bear in mind that this is just an approximate cost division, and the ultimate price of the money lending app can differ based on several factors such as the number of features, team composition, deadlines, and more. Therefore, if you require a more accurate estimate, feel free to reach out to us for a free quote.

Softermii Experience

The key to creating a robust money lending app is to collaborate with a trusted fintech software development company. At Softermii, we have extensive experience in developing successful fintech solutions. Let's take a look at some of the projects we have worked on:


How to build a loan app

Expedipay revolutionizes mobile banking by providing a secure and user-friendly solution for P2P money transfers, wallet card lists, live chat support, and robust fraud detection. Expedipay offers a modern, intuitive interface and seamless eKYC integration to ensure a fraud-proof environment.

Expedipay's mission goes beyond providing a convenient and secure mobile banking experience. The team recognized the global issue of financial exclusion, with billions of people lacking access to basic financial services. With this in mind, Expedipay was developed as a solution to bridge the gap, offering a comprehensive range of financial services that are accessible to all.


Create a loan app

SmartStart is a user-friendly mobile and web app that helps individuals manage their finances effectively. With features like spending analysis, goal setting, and loan opportunities, it is an all-in-one financial management tool. Seamless integrations with banks and property management tools ensure a secure and convenient experience.

SmartStart is more than just a financial management app; it is a comprehensive solution designed to empower individuals to manage their finances effectively. The team recognized the need for a user-friendly app catering to individuals with limited wealth management knowledge. With this vision, the app was developed to give users real-time information about their spending habits and loan opportunities, ensuring a holistic view of their financial health.


Money lending apps are a preferable option compared to traditional bank credit. These apps offer lower rates and fast approval processes, benefiting customers and fintech companies.

At Softermii, we know all about the long journey of developing a successful money lending app. Our expertise in planning, development, testing, and deployment allows us to be your reliable and trusted development partner in creating cutting-edge lending solutions. Contact our team today and discover how to create a loan app from scratch with us.

Frequently Asked Questions

How much would it cost to develop a mobile lending app?

Many factors affect the final cost of loan lending mobile app development, from the app’s complexity and range of features to the development platform and chosen development partner. You can pay as little as a few thousand dollars for a basic MVP to tens of thousands and more for a fully-featured and customized application.

How long would it take to develop a loan lending app from scratch?

On average, developing a mobile lending app from scratch can take a few months to a year. Among the factors that affect the time most are efficient collaboration between the development team and the client and timely feedback and decision-making process.

How to ensure the safety of users’ data on the app?

The development team takes different measures to ensure data security, including encryption protocols, secure data storage, strict access controls, etc. They also implement robust authentication mechanisms, conduct regular security audits, and check compliance with industry regulations.

How can Softermii assist in developing a lending application?

Our expertise and experience in fintech solutions allow us to offer a wide range of services, from requirements analysis to UI/UX design, development, testing, and deployment. You will regularly communicate with the project managers and developers to ensure everyone is on the same page about the process. Client collaboration and delivering efficient solutions are our top priorities.

What factors to consider when creating a mobile lending app estimate?

The cost of a loan lending app development depends on various factors. These factors include the app's complexity, desired features, and functionalities. Additionally, platform compatibility (iOS, Android, web) is important. The UI/UX design requirements, integration with third-party systems, and security affect the cost. Post-launch support is another aspect to consider when estimating the expenses of developing a loan lending app.

The development team's experience and hourly rates also play a role. We can provide an accurate estimate of money lending mobile app cost by evaluating these factors.

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