Getting finance without a salary in Zimbabwe
In Zimbabwe, someone without salaried work almost never gets a standard bank loan, but can access microcredit, Empower Bank for young people, mukando groups or secured finance by showing informal activity and income visible on EcoCash.
A country dominated by informal work
A large majority of working Zimbabweans earn a living in the informal economy: street trading, transport, small-scale mining, tailoring or repairs. Without a payslip, the payroll-deducted loan, the country's most common product, remains closed to them.
Proving income with EcoCash and OneMoney
EcoCash, OneMoney or bank statements, supplier invoices and a council stall licence all serve as proof of activity. A regular sales book, however simple, helps the loan officer estimate how much the applicant can afford to repay.
Solidarity groups of informal traders
MFIs fund solidarity groups of traders, for example at Mbare market, replacing the payslip with mutual guarantees. Our guide to microfinance loans in Zimbabwe lists the types of institutions and their usual conditions.
Empower Bank and young jobseekers
Empower Bank was set up to fund young people, including those without formal employment but with a business idea. Amounts remain modest, and the application must present a specific, costed activity with a credible plan for repayment.
Contributing to a mukando to access a lump sum
Joining a mukando gives access to a lump sum without going through a lender, in return for regular contributions. Our guide to peer-to-peer loans in Zimbabwe explains how these groups work and how to protect yourself.
Sewing machine, vehicle or stock as security
A person with no salary who owns a vehicle, an industrial sewing machine or stock can offer it as security, registered on the Collateral Registry. The lender can seize it on default, which puts a working asset at risk.
A relative in the civil service as guarantor
Some MFIs accept a salaried relative, such as a civil servant or an employee of a stable company, as guarantor. The guarantor commits to repaying if the borrower defaults, and the commitment may appear on their own Financial Clearing Bureau file.
Diaspora remittances and the lender's view
Regular transfers from a relative abroad may be considered by some lenders if they show up in an account. They are nevertheless seen as less reliable than a salary, which limits the amount that will be granted.
Fake loan offers for the jobless on Facebook
Adverts for no-strings loans for the unemployed on Facebook or WhatsApp almost always demand upfront fees. No lender registered with the RBZ guarantees a loan without an assessment, and these offers can be reported to the police.
Chimbadzo and confiscated documents
Chimbadzo lend without asking about employment, but at very high rates, and sometimes keep the borrower's ID card. The Moneylending and Rates of Interest Act penalises excessive rates, which can help a borrower challenge an abusive debt.
Poultry, market gardening and resale: building an income
For a jobless person who wants to get started, a little capital for poultry, market gardening or resale can create an income that can be demonstrated. NGOs and public youth programmes sometimes offer kits or training without debt.
Where these options fit in Zimbabwean credit
To understand how these options compare with banks, building societies and mobile wallets, the page on loans in Zimbabwe describes the system as a whole, including the role of the Reserve Bank.
Looking for finance without a job in Zimbabwe
- Run your takings through EcoCash or a bank account for several months to build a track record.
- Obtain a council licence or a proof of activity from the market or association.
- Join a solidarity group or a mukando to access a first round of funding.
- Identify an asset to pledge or a salaried relative willing to act as guarantor.
- Apply to a registered MFI or to Empower Bank with a costed plan.
Costs of credit for people without a salary in Zimbabwe
| Element | Factor | Comment |
|---|---|---|
| Interest rate | Perceived risk and type of lender | Higher than a payroll loan |
| Processing fees | Amount requested | Check before signing |
| Mukando contributions | Group rules | No bank interest but a regular commitment |
| Registering the security | Movable asset offered | Collateral Registry fees |
| Penalties | Late payments | Set out in the contract |
Evidence to gather without a payslip in Zimbabwe
- National ID card
- Six months of EcoCash or OneMoney history or bank statements
- Stall licence or proof of activity
- Invoices for goods purchased
- Salaried guarantor's documents where applicable
- Proof of address or letter from the village head
Traps for jobless applicants in Zimbabwe
- Paying upfront fees to a so-called lender promising on social media a loan with no job and no checks.
- Leaving your ID card with a chimbadzo, which then blocks all your dealings with the authorities.
- Borrowing for consumption with no income-generating activity, which quickly leads to default and a credit bureau listing.
- Asking a relative to stand as guarantor without explaining that they will have to repay if you default.
Lenders to contact
- FBC Building Society: Building society within Zimbabwe's FBC group, specialising in mortgage loans for acquiring and building residential homes.
- NMB Bank Zimbabwe: Zimbabwean commercial bank providing personal banking services, including personal loans described in its online customer support centre.
Out of work and needing credit in Zimbabwe: questions
Will a bank lend to an unemployed person in Zimbabwe?
Very rarely without security or demonstrable income. Banks favour employees whose pay goes into an account with them. A person without a job has a better chance with an MFI, Empower Bank for young people or a solidarity group.
Can EcoCash statements replace a payslip?
They do not replace it, but many MFIs use them to estimate the cash flow of an informal business. Regular receipts over several months strengthen an application, especially when they match the trade the applicant has declared.
Is a dollar loan possible in Zimbabwe without a job?
Yes, most microloans are in dollars, the currency used for trading in the markets. Repayment must then come from dollar takings, otherwise the borrower carries an exchange-rate risk throughout the term of the loan.
How can you check that a Zimbabwean lender is legal?
The Reserve Bank of Zimbabwe publishes lists of registered banks and microfinance institutions. A lender missing from those lists that asks for money before granting a loan should be avoided and reported to the authorities.