A personal loan is commonly connected with an unsecured loan. It’s a useful way to access cash for an emergency, home improvements, or leisure activities like weddings and holidays.
Loans can range between R1,000 and R350,000 and repayment periods can vary from 7 (minimum) to 12 months, up to a maximum of 72 months. Repayments are typically (but not always) calculated at 27,25% interest per annum. Only after you have applied for and obtained a loan will you be required to begin repaying in monthly instalments during the time period of your choosing.
Why compare Personal Loans?
Simple: evaluating your alternatives is the simplest approach to locating a loan offer that you can afford, including the loan amount, payback length, and interest rate. You may get different offers from different loan providers, so comparing them before signing on the signed line is the prudent thing to do.
How to apply for a Personal Loan online.
Applying for a loan online is easy with Hippo.co.za. Simply enter your ID number above and we’ll pull the necessary information for your application. Then you’ll provide a few details about the Personal Loan amount you need, and we’ll find a range of offers from leading loan providers in South Africa.
How do I qualify for a Personal Loan?
Loan providers look at your credit score to assist them determine whether to approve your application for a loan. A strong credit score suggests you’re more likely to return your loan on time, whereas a negative credit score reveals that you’ve struggled with repayments in the past.
Don’t know your credit score? Check your credit score on a regular basis to see if you need to adjust your credit and debt management practices. You may check it by requesting a Credit Report, which is free of charge once a year. It can also reveal if you’ve been a victim of fraud or identity theft if the numbers don’t add up.
What documents do I need to provide to get a Personal Loan?
Once you’ve settled on a loan that you can afford, you’d need to submit these documents:
- Copy of your valid South African ID.
- Proof of residence.
- 3 months’ banks statements or payslips.
You’ll only need that documentation when you apply for the loan. If you’re just comparing offers, you won’t have to worry about paperwork… yet.
What are the maximum and minimum amounts available?
Before you select a loan, you should make sure you have a good understanding of how much money you need, as well as your options when it comes to repayment periods and interest. All of these have their own maximums and minimums.
How to calculate your repayment amount.
Interest accounts for a significant portion of the repayment. Interest rates are given as an annual figure, so to work out how much interest you will pay on the loan, divide your interest rate by the number of monthly payments you’ll make (hint: your chosen repayment period). Then, increase it by the remaining loan total, which will be the entire amount due on the first payment. Got the number? That’s interest you’ll pay.
See, working out interest involves a lot of maths, which is why we’re here to help. All you need to do is select how much you would like to borrow, and for how long, and we do the rest!
A Personal Loan Calculator
While the chart offers you a sense of what’s out there, it doesn’t tell you an estimate price you might expect to spend each month, or if you can even afford the loan you’re looking for.
Visit Hippo.co.za to calculate personal loans.