Fairmoney is a popular digital lending platform that offers quick and convenient loans to individuals.

While it provides accessible financial solutions, it’s crucial for borrowers to understand the consequences of failing to repay their loans.

One common concern among borrowers is whether Fairmoney will call their contacts if they miss a payment.

So, Does Fairmoney Call Contacts? The short answer is NO, Fairmoney does not call your contacts. However, there are other important repercussions to be aware of.


Fairmoney’s Loan Repayment Approach: Does Fairmoney Call Contacts

Fairmoney employs a responsible and ethical lending approach. They do not engage in practices that involve calling or harassing the contacts of borrowers who fail to repay their loans.

Instead, they have a different process in place to deal with delinquent borrowers by reporting your BVN to credit bureaus.

What will happen if FairMoney report me to credit bureau?

If a borrower fails to repay their Fairmoney loan, the company will report this information to credit bureaus.

This reporting can have a significant impact on the borrower’s credit score and financial future. Here’s how it works:

If FairMoney reports you to a credit bureau due to a missed payment or loan default, several consequences may follow:

1. Negative Impact on Credit Score:

The most immediate consequence is a negative impact on your credit score.

The credit bureau will update your credit report to reflect the missed payment or default, which can significantly lower your credit score.

2. Reduced Borrowing Opportunities:

A lower credit score can make it more challenging to obtain credit in the future.

Traditional lenders, such as banks and credit card companies, may be less likely to approve your loan or credit card applications.

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3. Higher Interest Rates:

If you do manage to secure a loan or credit card with a lower credit score, you may face higher interest rates.

Lenders may view you as a higher-risk borrower and charge you more to compensate for that risk.

4. Limited Financial Services:

Beyond loans and credit cards, a damaged credit history can affect your ability to access other financial services, such as mortgages, auto loans, and personal loans.

5. Housing and Employment:

Landlords and employers often check credit reports when making rental or hiring decisions.

A negative credit history may make it more difficult to secure housing or certain job opportunities.

6. Difficulty in Utility Services:

Some utility providers may also check credit histories when setting up accounts for services like electricity, gas, or internet.

A poor credit history could result in higher deposits or difficulties in obtaining these services.

7. Loan Collection Agencies:

If FairMoney is unable to recover the unpaid debt and reports it to a credit bureau, they may also engage collection agencies to recover the outstanding amount.

This could lead to collection calls, letters, or legal actions.

How To Improve Your Credit Score

It’s essential to understand that negative information on your credit report can remain there for several years, impacting your financial opportunities during that time.

To mitigate these consequences, it’s crucial to manage your debts responsibly, communicate with lenders if you face financial difficulties, and work towards resolving any outstanding debts as soon as possible.

Regularly monitoring your credit report can also help you stay informed about your credit status and take steps to improve it over time.



While Fairmoney does not resort to calling your contacts if you fail to repay your loan, it’s important to understand the serious consequences of defaulting on your loan with them.

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The company’s practice of reporting loan defaults to credit bureaus can have lasting effects on your financial life.

Therefore, it’s advisable to borrow responsibly, only taking out loans you can comfortably repay, and communicate with Fairmoney if you anticipate difficulties in making payments to explore possible solutions or payment arrangements.

Maintaining a good credit history is crucial for your long-term financial health, and understanding Fairmoney’s policies is an essential part of that process.

Frequently Asked Questions

These FAQs provide valuable information for individuals seeking to understand the implications of loan defaults with Fairmoney and how to manage their financial situation responsibly.

1. What is Fairmoney, and how does it work?

Fairmoney is a digital lending platform that provides quick loans to individuals. It operates through a mobile app and offers loans based on a user’s creditworthiness and repayment history.

2. What happens if I miss a payment on my Fairmoney loan?

If you miss a payment on your Fairmoney loan, it can result in negative consequences, such as late fees, interest charges, and, most importantly, reporting to credit bureaus, which can harm your credit score.


3. Does fairmoney call contacts if you failed to repay your loan?

No, Fairmoney does not call your contacts if you fail to repay your loan. However, they may report the default to credit bureaus, which can impact your credit history.

4. How does credit bureau reporting affect me?

Credit bureau reporting can lower your credit score, making it harder to access credit in the future.

It can also result in higher interest rates on loans and impact other financial aspects, such as housing and employment opportunities.

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5. Can I repair my credit after a Fairmoney loan default?

Yes, you can work to repair your credit over time. This may involve paying off the defaulted loan, making consistent on-time payments on other debts, and managing your finances responsibly.

6. What should I do if I’m struggling to make Fairmoney loan payments?

If you’re having difficulty making loan payments, it’s important to contact Fairmoney as soon as possible.

They may be able to work out a payment plan or provide guidance on how to handle your situation.

7.  How long does negative information stay on my credit report after a Fairmoney loan default?

Negative information, such as a loan default, can typically stay on your credit report for several years.

The exact duration may vary depending on your location and credit reporting agency.

8. Can I still borrow from Fairmoney after a loan default?

Fairmoney’s lending decisions may be impacted by your credit history.

After a loan default, it may be more challenging to secure a loan from them, and if approved, you might face higher interest rates.

9. Is there a way to check my credit report for free?

Yes, you are entitled to a free credit report from major credit reporting agencies once a year.

You can request your free credit report to monitor your credit history and check for inaccuracies.

10. What are some strategies to avoid loan default with Fairmoney?

To avoid defaulting on your Fairmoney loan, it’s essential to borrow responsibly, budget for repayments, and communicate with the lender if you encounter financial difficulties. Planning and financial responsibility are key.


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