Naturally, a lack of cash flow makes us get one form of a loan or the other. This usually happens, especially when we do not have enough time to generate funds. An African Bank loan can be a useful financial product if you fully understand how it works. Customers can access varieties of loans from African banks. And these loans are not just limited to both personal and business loans.
Here is more information about African bank loans in South Africa.
About African Bank
African Bank Limited is a South African retailer offering a variety of financial products and services. South African Reserve Bank controls the bank and it operates mainly in South Africa.
How does African Bank Loans Work
Whenever applying for personal loans with African Bank, it is advisable to choose the option that best meets your needs. They also offer personalized loan options with the following features:
- Flexible terms: You can apply for a maximum of R250 000 and make repayments over 7 to 72 months.
- Fixed repayments: You stay in control of your budget with monthly instalments that never change.
- Easy application: You can apply online at your convenience if you want to avoid phone calls and branch visits.
What are the things I can consider before applying
There are some things you must consider before getting a personal loan. You will have fewer financial problems once you adhere to the following before getting a personal loan:
- Ensure your current financial obligations can afford the loan repayments.
- Make a comparison of personal loans from various financial institutions and ensure you get the best interest rate.
- Declare your income and expenses honestly.
- Analyse possible future large purchases which the personal loan may affect.
Review these points in order to enhance your loaning experience.
What do you need for an African bank loan
You need to meet the following requirements to apply for African Bank loans:
- Recent proof of income showing at least 3 monthly salary deposits;
- Proof of residence;
- You should be over the legal age of eighteen;
- The latest bank statements showing at least 3 monthly salary deposits;
- A valid South African government-issued ID.
- An active email address.
What are the African Bank interest rates
For African Bank loans, interest rates are as follows:
- Interest rate (APR) from 15% to 27.75%.
- In addition, insurance rates range from 5.04% to 5.4%.
African Bank Loan Application Process
Before you start the African Bank online application process, we recommend using the loan calculator. Once you have figured out your desired monthly repayments, the next step is clicking the “Go to Site” button. This will take you directly to the African Bank’s website where you can apply online.
After uploading all the necessary documents, the application form will be filled out by you. If you are found to be eligible, representatives from African Bank will contact you to complete the offer.
African bank repayment method
On the front page of the credit agreement, you will find the repayment dates. All subsequent installments will be due on the first day of each month. The first repayment can be made seven days after the money has been deposited in your account. Below are the repayment methods you can use:
- Payroll deduction;
- Debit order or stop order from your bank account;
- A deduction from your paycheck every month;
- In-store payments;
- EFT; and
- Visa or Mastercard payment.
You can make payments through payroll deductions or through a debit or stop the order from your bank. Existing customers of African Bank can take a break on their repayments thanks to the credit insurance feature. Due to a justifiable situation, the bank cannot penalize you for skipping payments when your credit has been insured.
What are other types of credit products African Bank offers
Aside from personal loans, African Bank offers the following loan products;
1. African Bank consolidation loan.
Even if you have bad credit, you can apply for a debt consolidation loan. These types of loans help you consolidate your debts into single monthly payments.
2. Value-added deals
African Bank offers entertainment and education vouchers you can add to your credit during application. You can pick the deal of your liking and attach it to your loan during your application.
3. The 15% loan
The 15% loan also offers flexible payment terms and fixed monthly installments. You can apply for the 15% loan online, over the phone, or at an African Bank branch.
Advantages Of African Bank Loans.
African Bank has the following advantages over other financial institutions;
- You will receive the funds as a direct deposit into your bank account.
- Flexible repayment terms; you can pay it over 72 months.
- The repayment amount is fixed, so you know exactly how much you are paying every month.
- You can apply online; there is no need to leave your home and visit a branch.
- Choosing the break feature allows existing customers to skip a few payments on qualifying products.
- Loan settlement options are available in the event of death, disability, retrenchment, or unpaid leave.
- African Bank interest rates are competitive and affordable.
An African Bank loan can be the right option to change your financial situation for good. They have measures in place to ensure your peace of mind by offering you the right loan that suits your financial capacity.