Popular Consolidation Loans in South Africa

Consolidation loans are ideal for people who want to reduce their monthly payments and save on interest rates by taking out one loan and repaying that, instead of paying off all their creditors every month. Although there are many banks that offer you this solution, you have to decide if a consolidation loan is the answer for you and if it is, how much you should borrow and when you will be able to pay it back. Let’s take a look at some of the most popular consolidation loans available. 

Capitec

Capitec offers various personal loans that range from any amount up to R150 000, with repayment terms ranging from 1 – 60 months. You also get free retrenchment and death cover which will settle the outstanding loan amount in full when you can no longer repay them.

African Bank

African Bank provides both short-term personal loans of up to R 12 000 in cash, with 3-9 months repayment terms as we as long-term loans of up to R 180 000, repayable over up to 84 months.

Standard Bank

Standard Bank personal loans range between R500 and R 40 000, with repayment terms from three to 42 months. You need to earn a minimum gross monthly salary of R1 000 to be eligible.

First National Bank

FNB personal loans start from R2000, with flexible repayment periods of 6 to 60 months. You also need a minimum salary of R 8350 per month to qualify. You can take out a personal loan to pay off all your debt and benefit from lower interest rates with your FNB loan.

ABSA

ABSA offers personal loans that range from R 3000 to R 150 000 and have negotiable repayment terms of up to 60 months. This is perfect for consolidating all your debt. Remember that you must have a minimum salary of R 2000 per month to qualify.