Payday Loans In South Africa
Payday Loans In South Africa
Payday loans don’t need to be scary
It’s a common scenario that we all face, being short of cash when we really need it most. Lives are fast pace these days, and when we find ourselves in financial stress, we often need money instantly to get ourselves out of a sticky spot.
While many South African’s still opt to apply for payday loans by visiting a storefront lender, more of us are taking advantage of applying for payday loans online.
You can save a lot of time by applying for the loan you need from home – especially in an emergency.
Lenders promoting short term loans in South Africa offer loans from R100 to R8,000, which are paid back over the course of 30 – 45 days.
During the application process, you will invariably be asked to complete a series of questions related to your personal details. This is after you’ve selected the details of the payday loan amount and the loan term using the lender’s interactive sliders.
Many lenders use this tool for ease of use. If you can afford to pay off the loan over a shorter period, this means you will owe less in interest.
However, think carefully before you commit, as you don’t want to stretch yourself financially.
What is a Payday Loan?
A payday loan in South Africa is an instant same day cash loan. You borrow a small sum of money and repay it back with interest on your next pay period. These small loans are designed to serve customers in a speedy manner, with most receiving their cash within a few hours of applying, providing you have passed the lender’s affordability and creditworthiness checks.
Most people take out these loans for a period of 30 – 45 days, hence the term ‘payday loan’, because they are used in times of need when you’re strapped for cash. This short term immediate credit is often used for emergency expenses, such as a medical or vet bill, where the borrower’s disposable income can’t cover the cost.
You can use the loan in an instant to pay off the expense, and then repay the amount back when payday comes.
What you should know
Payday loans can be a useful source of financial help when you are short of money. Many micro-lenders provide instant payday loans without requiring paperwork on your part. On the other hand, many borrowers use payday loans to help cover unexpected house bills, car repairs, medical bills or otherwise taking care of emergencies.
These loans usually range from R100 – R2,500 and are repaid on your next payday. Payday lenders were traditionally storefront companies but with improvements in lending technology, many lenders now offer loans online.
How to find a payday loan online
There are payday lenders all over South Africa and a simple online search will produce a list of lenders offering loans. It is important to be diligent when reviewing companies though. Do not simply apply with the first lender you come across or you may end up paying extortionate interest fees.
Review interest rates and costs, check the lender is licensed to lend with the National Credit Regulator, and read through the product features so there are no surprises later on. Also review the lender’s eligibility criteria to ensure you meet the requirements for a loan.
Applying for a Payday Loan
Once you have chosen a lender, applying for a payday loan online is simple. The lender will have an online application form and you will need to provide personal information so they can assess your suitability for a loan. The information you will need to provide includes:
- personal details
- contact information
- ID number
- employer details
- bank account information
You may also need to upload supporting documentation, such as your latest bank statements. Having this information on hand when you apply will help you complete the application faster.
Once you submit your application, you should receive a quick approval decision from the lender.
Repaying your loan
When repaying your loan, you probably won’t have to do anything. In most cases, the money will be automatically withdrawn from your bank account on the agreed upon date.
This is usually on your next payday and will be highlighted in the loan agreement. If you do not have sufficient funds available on the day that you are supposed to make your payment, don’t ignore your lender. Instead, get in contact and they may be able to help find a solution.
Always try to pay back your loan on time so that you don’t end up paying additional fees.
Finding a credible lender offering instant payday loans can be difficult with so many companies saying they have ‘the best rates’. This is where Friendly Finance can help.
Our comparison tools are going to make your loan search much easier. Here’s why you should use our website when looking for a loan:
We only work with lenders licensed with the National Credit Regulator. This means applying with a lender from our panel will help you avoid unscrupulous companies who charge unlawful interest rates.
We carefully research the instant payday loans offered by the lenders in our panel to understand the features and costs. This information is then presented to you in a clear format so you can make a quick, informed decision.
Our comparison tables allow you to sort the lenders based on the loan features that matter most. This helps you to easily identify the lenders that match your personal requirements.
The loan calculators we have built help you work out the total cost of borrowing on payday and personal loans, as well as how much each repayment will be. All you need to do is enter basic information like the loan amount, terms and charges. Within minutes you’ll know if the loan you are interested in is affordable.
Free of charge
Our website is completely free to use and there is no obligation to take out a loan if you carry out a search. So, what are you waiting for? See how much money you can borrow, and find a lender today.
Friendly Finance South Africa (SA) is the optimal choice for finding payday loans not just because of our convenient, easy-to-use search and comparison tool but also thanks to our incredible customer support.
We understand how stressful it is to be low on cash in a sticky situation, and we strive to make the process of obtaining the necessary loan as easy, convenient and stress-free as can be. To facilitate this, our customer service staff are here to assist you however they can. We’re not satisfied unless you are. You can apply now by following the link and let us help you today.