Nigeria’s CDcare passes 500k download mark with “save now, pay later” approach

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Nigerian startup CDcare, which is making it easy for Africans to own gadgets, appliances, cars and more at zero interest through smart installment plans, has passed the 500,000 download mark.

Launched in 2019, CDcare combines savings and loans features in its marketplace, allowing users to automate the payment of a monthly or weekly amount towards buying an appliance. When up to half of the cost of the item has been saved, it is shipped, and the automatic payments continue until full payment is made. All of this at zero interest.

The startup, which recently took part in the inaugural ARM Labs Lagos Techstars accelerator, has seen more than 500,000 downloads of its app on the Google Play Store, and believes its growth is due to the success of its “save now, pay later” (SNPL) model as compared with the more common “buy now, pay later” (BNPL) approach seen across the continent’s fintech and commerce spaces.

Whereas BNPL services have been gaining popularity across the globe, they have also been criticised for leading consumers into debt traps. SNPL services, however, charge no interest, with customers only paying the exact cost of the item they are purchasing. 

To allow this, CDcare has partnered with the biggest wholesalers in the distribution chain, which allows it to get goods on credit without needing to raise debt to finance purchases. This enables CDcare to sell to its customers at the normal market price, making it affordable for them to improve the quality of their lives.

“CDcare’s impact focus is on empowering Africans to own assets that they would not have been able to afford otherwise. By allowing consumers to save first, the company encourages sustainable and responsible financial behaviour, which helps to build financial resilience and improve the overall economic well-being of individuals and communities,” said CEO Tobi Odukoya.

Having secured funding via Techstars, CDcare is now raising a seed round.



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