aking up a personal loan can be quite expensive, depending on where you take the loan out from. If you choose to take a loan from a bank you can benefit from lower interest rates as well as personalised solution according to your unique financial needs.
Most banks offer personal loans for South Africans only and this means that if you are a South African citizen, full-time employed and have a good credit record, you can apply for a personal loan. The terms of your loan will be determined by your credit profile, as well as the income level and in most cases you can choose the loan repayment period.
ABSA, FNB, Nedbank, Standard Bank and Capitec all offer personal loan products, and depending on factors like your income, credit history and employment status, you can get a personal loan anywhere from R3,000 to R200,000 or more. Is always a good idea to familiarise yourself with the requirements of each bank so that you know whether or not you comply.
As personal loan can be quite expensive to repay, especially if you make use of service providers and ask high interest rates, it’s important for you to compare different options so that you can find the most affordable personal loan in South Africa. Of all the options available, seeking finance from one of the banks may be your best option as their interest rates are usually lowest.
If you are looking for a personal loan, start with your bank and find out what you qualify for. You will likely get better interest rate at your bank and this means lower repayment period as well. You can also make use of alternative credit providers in the benefit is that loans can be paid out to you the same day and you will have an answer the application within a matter of minutes, but they might be more expensive than bank loans so always explore your options.