It is bad enough that you need financial assistance so urgently that you need a loan. However, there is no wisdom in taking up alone with an exorbitant interest rate. Before taking up a loan, it is advised you sort out several options and weigh these options. Now you can select the loan option with the most favourable terms and conditions.
Financially, nothing is as soothing and refreshing as getting a loan with only a little interest rate. imagine being able to save a portion while you’re still in the process of repaying your loan. With these options that will be listed and discussed below, you should be able to get insights on financial providers that offer the cheapest loans.
Which bank has the lowest personal loan interest rate
After intense research and financial analyses, the following credit service providers came up top of the list of on radar;
This is one of the peoples favourite banks. African Bank is a locally controlled bank and it is currently under the curatorship of the South African Reserve Bank. Though they provide loans with fluctuating interest rates, they operate with one the best terms.
Operating with a fixed interest rate of 12.75%, FNB ranks as one of the best credit providers in the country. Apart from the fact that they grant loans with cheap interest rates, they operate with a flexible loan term too. Having been in existence since 1838, FNB is known for providing various banking services to millions of customers in South Africa.
Listed on the JSE, the Capitec bank is one of Africa’s largest diversified financial services providers. Committing a great percentage of their resources on finding local solutions to uniquely local challenges. They are driven by the zeal of adding value and improving the lives of Africans. To this end, the Capitec loan offers a fixed interest rate of 12.9%.
Ned bank is a South African owned Bank. It has a good track record in South Africa. Though they operate with a flexible interest rate, they’ve proven to provide one of the best loan services over time.
Another great option of financial providers with cheap interest rates is the Absa financial group. Irrespective of the fact that it does not fix their interest rates, one look at their repayment term will convince you.
Also check out short term loans and long term loans in South Africa
What is the lowest prime lending rate in SA
Data for the Prime Lending Rate in South Africa have been updated monthly since Jan 2000, averaging 10.500% pa from Jan 2000 to Jun 2021. A record high of 17.000 % pa was set in May 2003, while a record low of 7.000 % pa was set in June 2021.
Conclusion
A lot of people don’t know this but it is possible to save a portion of your income while still paying up your loans. By repaying your loan amount at a far lesser interest rate, you get the financial flexibility to possibly save or spend that portion on other things