Standard bank loans – Everything you should know

standard bank loans south africa

Standard bank is an innovative loan provider that provides easy credit to South Africans. Sometimes life throws unexpected curveballs and when this happens, you need financial assistance from a company that understands your situation.

Due to the diversity of people in South Africa, Standard bank offers a range of credit options so prospective customers have the freedom to choose the option that is most suitable. Whether you need a quick loan, revolving loan, or a  student loan, they have the solution for you. If you’re thinking of approaching Standard Bank for a personal loan, then this article will give you the best guide on the process.

About Standard Bank Loans

When it comes to top South African lenders, this institution is prominent. The bank has been keeping its doors open for South Africans in the last 150 years. They offer licensed financial services that are specifically tailored to meet the various needs of Mzansi’s citizens. 

In this article, we take a close and detailed look at Standard Bank personal loans, in particular. By the end, you should be ready to move on from thinking about borrowing to actually expecting money in your account.

Types of credit service they offer

As stated earlier, the standard bank offers a wide range of credit products, targeted at easing financial emergencies among South African citizens. Some of these credit services include;

1. Standard bank revolving loan

The Standard Bank revolving credit personal loan allows you to get the money you need at any time. In turn, you pay back 15% of your credit. Be sure to understand all there is to know about revolving loans before applying for them. 

2. Standard bank study loan

Because a great percentage of students struggle to make ends meet financially, Standard Bank in their utmost will to serve has put together a loaning scheme. This scheme has no other purpose but to ease the struggle of the students.

3. Standard Bank instant loan

This is in the form of an overdraft that is instantly accessible.

4. Standard Bank Consolidation loan

Standard bank consolidation loans program combines multiple debts into one larger loan, usually with more favorable terms. 

5. Pension-Backed Housing Loans

Pension-backed loans are an alternative form of mortgage financing, where your loan is secured by your retirement savings instead of a bond. Usually, your employer will enable you to make monthly payments through your salary, and the maximum loan term is 30 years or until your retirement.

What are the minimum and maximum loan amounts Standard Bank offers?

Before applying for a loan of any kind, it is important to know and understand the basic terms to make efficient decisions. Standard bank offers a minimum loan amount of R3,000. Whereas their maximum loan amount is R300,000. 

The NCA regulates Interest rates and other additional charges of banks in South Africa. However, the bank charges a one-off initial fee and service charge.

What do I need to apply for a loan at Standard Bank?

To apply for a loan at standard bank, prospective applicants needs;

  1. valid South African ID;
  2. proof of residence such as a council bill that is not older than 3 months;
  3. payslip showing your earnings for 1 month;
  4. 3 months bank statements for those without a Standard Bank account;
  5. you should earn at least R7 500 per month; and
  6. you should be 18 years and above.

Please Note: Standard bank also requires prospective applicants to take out a debt protection plan. This credit life insurance will cover you in case of retrenchment, disability, or death.

You can apply for this insurance with any suitable provider. If you choose Standard Bank, the insurance becomes a part of your monthly installments.

Standard Bank loan application process

Existing Standard Bank customers can request finance in the following ways:

1. Through Banking App

  1. Open the Standard Banking App on your phone or tablet and sign into your account.
  2. Click on “More” and next on “Open a new account.”
  3. Now click on “Personal Lending” to see the amount you qualify for.
  4. Finally, follow a few extra steps. If you are approved, the money is then transferred into your bank account.

2. Through Internet Banking

  1. Log into internet banking on your computer to apply online.
  2. Click on “Borrow.”
  3. Finally, follow the simple instructions provided. If you are approved, the money is then transferred into your bank account.

If you’re not already banking with them, here’s how you can apply:

  1. Start your online loan application on the bank’s website.
  2. Click on “Do I qualify?” to check the maximum amount you can apply for.
  3. Enter your details on the form that comes up and click on “Submit.”
  4. A rep. will call you back so you can complete the process.

How does the Standard Bank loan calculator work?

Standard bank calculator allows you to input the amount you want, and the number of months you need to fully repay the credit. The tool will then give you the monthly installment amount for the product you have chosen.

Go ahead and use the Standard Bank loan calculator by following these simple steps:

  1. Amount: Use the first slider to choose the amount of money you want to borrow.
  2. Term: Use the second slider to choose the number of months you need to pay back the money.
  3. Calculate: Click on “Calculate Repayments” to get instant results.
  4. Give it another try: It may take a while to find a result you’re happy with. Keep adjusting the figures until you find an affordable monthly repayment.

How do I Payback my Standard bank loan

Online payments are usually faster than manual payments. It is also safer and more convenient. With Standard Bank, you can easily pay your beneficiaries or make once-off payments through Internet Banking.

To repay your standard bank loan;

  1. Log into your Internet Banking profile. Locate the ‘Account Summary’ dashboard.
  2. Click on ‘Transact’ in the top menu bar
  3. Click on the ‘Pay beneficiary tile under ‘Pay & Transfer’
  4. Click on the money icon next to the beneficiary you want to pay
  5. Select the account you want to make the payment form by clicking on the dropdown menu
  6. Enter the amount you want to pay and click on ‘Next’ to continue
  7. Confirm the details of the beneficiary you are making the payment to and click ‘Confirm’ to continue
  8. A green message will be displayed that the payment was successful

How long does it take for standard bank loan to reflect

between 24 to 48 hours

The funds should appear in your account between 24 and 48 hours after your application have been received. Please contact customer service on 0860 123 000 if this isn’t the case so that we may investigate this matter for you.

Tips for choosing the best Standard bank loans option for you

Credit is handy for times when you need extra cash to keep things flowing. However, financial responsibility requires that you do your homework before borrowing. Check out these super important tips to make sure you make a fully informed decision:

1. Choose a loan for the right reasons

Getting money in your bank account can be pretty exciting. That doesn’t mean you should borrow just because. Instead, be sure to consider every factor before taking credit.

2. Choose finance you can afford

Try as much as you can to resist the temptation to borrow a large amount. Note that the more you take, the more you have to pay back.

3. Borrow money wisely

Avoid taking up more loans if you already have an underlying loan amount because of multiple interest rates. It would be best if you kept borrowing to a minimum.

4. Find out about the interest rate

Knowing about the interest rate is crucial when you borrow money.

5. Find out how you’ll be paying back your debt

Payback usually involves monthly installments. Other times, it can be weekly or every two weeks. Find out how much you’re supposed to pay back for each installment.

Additional aspects to consider

1. Repayment method

Is it automated or manual? Furthermore, can you make extra payments without being charged a penalty fee?

2. Keep up to date with your credit history

Every citizen is entitled to get one free credit report every year. After that, you can still get one for a very small fee. Be sure to update your knowledge of what’s on your credit report. This helps you to apply for financial help with confidence.

3. Ask more questions about Standard bank loans

Do you happen to have any other queries? Feel free to ask, as they have professionals willing to help you. For example, you can receive valuable advice on which option is better suited to your needs.

Does Standardbank offer temporary loans

Is it possible to obtain an ATM loan from Standard Bank? A temporary loan obtained at an ATM is an ATM loan. Upon approval, the money is credited into your bank account immediately. You do not have to fill out an application for these types of loans.

How do I check my standard bank loan balance

How can I see the remaining balance on my loan? You can view your balance on Internet Banking, our Banking App, in a branch, or over the phone.

Advantages of Standard bank loan

Standard bank has the following advantages over other credit providers in South Africa. Some of these advantages involve the fact that;

  1. Standard Bank is a registered credit provider in terms of the National Credit Act registration;
  2. The bank is also a licensed financial services provider in terms of the Financial advisory and intermediary services act;
  3. Prospective applicants get low and personalized interest rates that are fixed throughout the term.
  4. Monthly installments are really affordable.
  5. Applicants can make extra payments and pay off the debt early without a penalty fee;
  6. Super easy payouts; and
  7. Your payments are automatically deducted from your account through a debit order.

Conclusion

Developing and providing a solution for financial emergencies is one of the sole aims of Standard bank. Whether it’s to help you secure a mortgage, walk down the aisle or go on holiday, Standard bank offers the right credit solution for your every need.

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