All Personal Loans

Thinking of Getting an Absa Personal Loan? Read This Article Now!

Have you been experiencing financial issues and unable to cover your immediate finances? Or maybe you want to buy a home or car or need finances for some other personal expenses? If such is the case, getting a personal loan might be a great idea. 

A personal loan gives you the ability to cover your finances without putting immediate pressure on your budget. However, remember that you need to repay your loan over time every month. 

But which bank you should choose to get a personal loan from? The answer is simple. You can get a personal loan from Absa, a registered credit provider in South Africa. Absa personal loans will surely accommodate your needs easily. 

Sinceit is a registered credit provider, you can rest assured that you will be easily able to cover your finances. You can take out a loan between R250 and R350, 000. You can get a loan based on your individual circumstances and cover any personal needs you might have. Let’s get to know about Absa loans in detail in this article. 

Absa personal loans: How do you qualify?

Following are the requirements for you to qualify for Absa personal loans:

  • Proof of residence
  • Minimum age of 18 years and above
  • Valid South African ID book or card
  • Credit protection
  • Bank statements of the past 3 months as proof of income

For credit protection, you can either have your plan or you get the credit protection plan offered by Absa. 

Absa personal loans: How to apply?

Following is the process to apply for Absa personal loans:

  • Before you apply for a personal loan with Absa, you should use the monthly repayment calculator to determine your monthly repayment amount for a specific loan amount and term. Once you have found the monthly repayment amount that suits your budget, you can start filling the application form. 
  • To go to the website of Absa personal loans, you can click on ‘Snap It’ on our website Snappy Loan. This will take you to their website. 
  • If you already have an Absa bank account, you can directly login online using a tablet, mobile or PC. 
  • From the menu, you can choose Apply and Personal loans.
  • Fill the application form with the required details and submit the required documents.
  • Once your application is approved, the amount will be transferred to your bank account in a few hours.
  • You can either apply for loan online at the Absa website or visit your nearest Absa branch and talk with an official about the process. 

Absa personal loans: How much money can be borrowed?

When you apply for a personal loan online at Absa, you can get a minimum amount of R250 and a maximum amount of R350, 000. If you want a larger loan amount, you need to earn a minimum of R2, 000. However, if you are applying for a smaller amount, you need to earn a minimum of R1, 500. Also, smaller loan amounts up to R8, 000 get repaid in a short duration of 2-6 months. 

Absa personal loans: What are the repayment terms? 

To repay your Absa personal loan, you get a loan term of 12 months to 84 months. However, for current Absa customers, the minimum loan term is of 2 months. If you have taken smaller amounts, they usually get repaid in 2-6 months. 

Apart from an interest rate, the bank also charges an initiation fee and service charge on the loan amount.

Absa personal loans: What are the benefits?

  • With Absa’s personal loan, you don’t need to provide any personal property as collateral. This makes it easy for you to get a personal loan. However, the loan approval depends on your credit history.
  • You can find a personal loan calculator with Absa that will help you calculate your monthly repayment amount for a loan amount and term to help you make an informed decision.
  • Once your application is approved, the loan amount is transferred to your account quickly, usually, within a few hours.
  • With Absa personal loans, you can get competitive interest rates. 
  • With Absa personal loans, you also get credit protection. This ensures that your debt is paid in the event of an illness, disability, or death. 

Absa study loan: A brief introduction

Apart from a personal loan, you can also get a study loan from Absa. This loan will help you fund your education. Following are the things you need to qualify for an Absa study loan. 

  • Valid proof of South African citizenship
  • Proof of residence
  • Minimum salary of R3, 000
  • Acceptance or registration certificate for any undergraduate and postgraduate program from a university. 

The student loan offered by Absa is available for parents, guardians, and students who have a part-time or full-time job with proof of income. You can get a minimum study loan of R3, 000 and a maximum loan of R150, 000. 

You can use the Absa study loan for covering your costs for every year of your study. You can use the money to cover the expenses of 

  • Tuition fees
  • Prescribed textbooks
  • Accommodation
  • Registration fees
  • Any computer equipment that you might need to cover your educational needs

To apply for the Absa study loan, you can visit the nearest Absa branch, or apply through their student bureau or by calling their call centre. 

Absa express loan

The express loan offered by Absa is a type of short term loan that is usually repaid in 2-6 months. If you have a regular monthly income, you can get an express loan of a minimum amount of R1, 500 and a maximum amount of R8, 000. 

When you take the first express loan from Absa, you need to give an interest rate of 5%. If you take any subsequent credit in the same year, you need to pay an interest rate of 3%. You need to pay service and initiation fees as applicable. 

If you have a good credit score, you can get your Absa loan application approved in a few days. Once approved, you will get the amount in just a few hours. 

If you want to know more about Absa loans, you can visit our website Snappy Loan. You can search, review, and apply for Absa personal loans with just a few clicks.

All Personal Loans

Personal Loan in South Africa: A Complete Guide!

As per the latest statistics, around 40,000 people search and apply for a personal loan in South Africa. If you are one of them, clearly you are not alone. But do you have a complete guide about a personal loan that will help you navigate your search and application?

Well, in this blog post, we give you a complete rundown of personal loan in South Africa. So, let’s get started, shall we?

Personal loan: What is it?

When you borrow money from a financial institution to cover any financial gaps, it is a personal loan. Since you have borrowed money from the lender, you ought to pay it back. Following are the general features of a personal loan:

  • You can get a personal loan for an amount between R2, 000 to R300, 000.
  • You need to pay back the money in a span of 1 month to 84 months (7 years)
  • You can use the funds for several general purposes such as covering wedding expenses, home renovation, buying a car, debt consolidation, and more.

Standard terms: Definition

  • Loan terms:
  • Principal Amount: This is the base amount that you borrow from the lender. This amount does not include any interest charges or any other fees.
  • Term of Loan: This is the time in which you need to pay back the loan amount. For a personal loan, the loan term is between 1 month to 84 months (7 years).
  • Interest: This is the amount charged by lenders on the borrowed amount. This can vary based on the lender as it is decided by the lender.
  • Monthly Repayment: This is the amount of money you pay back to the lender monthly. This amount is meant to cover your principal amount and interest rates charged by the lender.
  • APR: This is the annual percentage rate also known as the comparison rates. This rate includes all the other debt charges and interest rates.
  • Terms for your situation
  • Credit History: This is the history of all different types of loans you might have taken from the lender. It also shows how you made your previous repayments. In South Africa, you are entitled to have one complete credit report for free.
  • Credit Score: This score is evaluated from your credit history. The score indicates how good you are at repaying your debt. A credit score of 800 and above indicates that the lender can trust you for repayment of the loan. However, a credit score below 579 is not a good indicator. It shows the lender you can default on the loan repayment.
  • Drawdown: Once your application is approved, the lender will draw down the loan amount in your account. You can start using your loan amount as you want.
  • Defaulting: So, if you fail to pay your monthly repayment amount, you have defaulted on your loan. Defaulting can lead to a poor credit score.

Personal loan: How do they work?

Following are the steps generally involved in applying for personal loans in South Africa:

  • Compare Loans: There are different types of personal loan plans offered by lenders. Each plan has different terms and conditions. So, you must compare each credit plan before you choose the one that suits you.
  • Checking Qualification Requirements: Once you have finalized a loan plan that suits your needs and budget, you must ensure that you fulfil all the eligibility criteria such as minimum age or proof of income.
  • Contacting the Lender and Applying for a Loan: Once you fulfil the requirements, you can contact the lender and apply for loan online or going to the nearest branch office.
  • Approval and Agreement Creation: Once your application is approved, the lender will make a loan offer. Once you accept the loan offer, an agreement will be created that will have the terms and conditions for the loan repayment. Once agreed and signed, the lender will draw down the loan amount. You can start using the money for your needs.
  • Repayment: Usually, you must make monthly repayments to the lender. The amount will depend on your credit amount and interest rates. Make sure not to default on the repayment to avoid penalties.

Personal loan: What are the types?

Credit providers who are registered to give personal loan offer to people in South Africa provide different types of personal loans. The type you choose depends on your requirements and if and how you will repay it.

Following are the different types of personal loan:

  • Unsecured Loan: This type of personal loan doesn’t need any type of guarantee however, it comes with higher interest rates.
  • Secured Loan: This type of personal loan needs an asset or property as a collateral guarantee. The loan has lower interest rates and other perks too.
  • Debt Consolidation: If you want to repay all your smaller loan amounts in one go, a personal loan can be used as a debt consolidation loan. You will now have just a single account for a loan.
  • Student Loans: A type of personal loan, this is used to pay for your education and living expenses.
  • Lines of Credit: Just like credit cards, this type of personal loan comes with a maximum credit limit. The repayment depends on how much credit you have used.
  • Overdraft: When you withdraw a small amount of money even when your bank balance is low, this is known as an overdraft loan.

Personal loan: Minimum requirements

  • Self-employed or employed
  • Minimum 18 years of age
  • Must have a regular monthly income
  • Must have a South African residence permit or citizenship

Personal loan: Documentation

  • Valid ID issued by the South African government
  • Residence proof
  • Payslips for the past 3 months as proof of income
  • When you are taking a secured personal loan, don’t forget to give ownership proof for the asset you are using collateral.

So, now you know the basics of personal loans and how you can apply for them. To know more about the latest offers on personal and short term loan, don’t forget to check out our website Snappy Loan.

On our online platform, you can search, compare, review, and apply for a loan online. With just a few clicks, you will be approved for a loan offer and you can get the loan amount in a short while. Make sure to repay the loan amount without defaulting to avoid penalties. Visit our website to know more!