Updated 07.07.2021

FNB Temporary Loan: 6 Things You Should Know

FNB offers temporary loans to all its long-term customers whenever they need them. Every customer has a limit of the amount of temporary loan they can borrow from the bank. How much you get on temporary loans depends on the deposits and withdrawals you make to your bank account. The higher your deposits are, the more cash you get in FNB temporary loans.

FNB temporary loan is available to all South African customers. It is a short-term loan that needs clearance after a month. The bank automatically deducts the amount you borrowed at the end of the month from the deposits in your bank account.

Temporary loans for rainy days when you cannot wait for days or weeks for your loan application to get approved. The loan is instant because it gets deposited into your account immediately after clicking on the temporary loan icon. However, there is more to the temporary loan than meets the eye, and you need to know most of it, if not all, before getting one. Here are six things you should know about the FNB temporary loan.

How to Apply

Any South African having an Easy or Cheque account with FNB Bank is eligible for a temporary loan. With advanced technology and widespread internet use in South Africa, FNB Bank now has internet banking. So, if you need a temporary loan in 2021, you can apply using your smartphone through FNB’s banking USSD code. It also applies through digital banking platforms. That means you can visit the bank’s website, log into your account and click on the temporary loan icon and the money gets deposited into your account.

Application through a cell phone involves a few steps that include:

  • Dial *120*321# on your phone using the same number you registered your FNB account with
  • Follow the instructions on your phone screen and apply for the temporary loan using your cellphone banking USSD code.
  • Enter your banking PIN after dialling the temporary loan USSD code
  • Choose to get a loan from the menu and click on the temporary loan icon.
  • Before clicking on the continue button, ensure that you carefully read and understand the rules governing the loan application and the Terms and Conditions. If they favour you click continue.
  • If it is your first-time application, ensure that you get your spouse’s approval and then select “Accept Offer.”
  • The good thing about FNB temporary loans is that you can choose the amount of loan you want. So, if you wish to increase or decrease your loan amount, click on “Change Amount.”
  • After changing to your desired amount, complete the loan application by clicking on the confirm icon on your screen.
  • After completion, you will get notified of your successful application on your phone screen.
  • After the whole application gets done, the bank sends you a message in approval of your application, followed by the money deposit in your account.

Application Through Online Banking

FNB members can also use online banking to apply for a temporary loan. The process involves a few steps that include:

  • Visit the FNB website and log into your online banking account.
  • Click on the loan tab and then click on the temporary loan icon.
  • Ensure that you keenly read all the rules, terms, and conditions under the temporary loan application
  • After that, click on accept under the spousal consent.
  • If you are applying for the first time, click on “Accept Offer.”
  • The online banking option also gives you the option of changing the amount of money you want. Enter the amount you want under the change amount option
  • After choosing the amount you want, click on the take-up loan icon.
  • Confirm your temporary loan application through your online banking account

FNB South Africa Loan App

Besides mobile and online banking applications, the bank also allows members to download an app that simplifies banking transactions. So, if you wish to borrow using FNB South Africa Loan App, this is what you need to do:

  • Open the bank’s app and log in with your username and password
  • Go to the account section and choose my bank account tab
  • Choose the account you are in (Cheque or Easy account) for your loan
  • Choose the take a temporary loan button and select YES to proceed on
  • Accept the Terms and Conditions and then choose the account that you want your money to be debited into
  • Accept the offer and click on the submit button
  • Confirm your details and finish the loan application
  • Application from Your Nearest FNB Branch

If you wish to apply directly from the physical bank, you can visit your nearest FNB bank and apply for a temporary loan. Carry all your accounts details and hand them to customer care, who will help you secure a temporary loan.

Requirements for FNB Temporary Loan Application

For you to qualify for An FNB temporary loan, you need to meet some basic requirements that include:

  • Have an existing FNB account as an active member
  • Own an FNB Easy or Cheque account
  • Have monthly earned of at least R3000
  • You are between the age of 18-63 years
  • Be a South African citizen
  • Use FNB South African digital banking services such as cellphone while making your application

FNB Temporary Loan Repayment

FNB temporary loan is a short-term loan that calls for repayments within 30 days. The loan is interest-free within these days with zero penalties. However, failure to meet payment within the time limit, the loan attracts some interest and penalties.

The bank automatically recovers their money from deposits made into your account after the loan duration expires. If there are no deposits, the amount gets credited into your account with accrued interest and penalties until the bank recovers its total amount. If the debt prolongs, FNB Bank credit agents send SMS or calls to remind you of your outstanding debt.

However, if the banks recover the entire amount within the stipulated time, it gives you another chance to borrow a temporary loan within 24-48 hours.

Loanable Amount

FNB temporary loan amounts vary from member to member depending on their deposit capacity and nature of transactions with the bank. That means, if your debit account reads huge and positive figures, you are eligible for a higher temporary loan amount.

The bank also looks at the duration you have transacted with them and your credit score. If you are a long-time active member, then you can access a higher amount. However, the FNB temporary loan amount ranges between R100- R 10,000. Remember, the amount you borrow is often less than what you repay. For example, if you borrow R5000, then your payback amount becomes R 5800. The additional R 800 counts for the loan activation fee and some interest. That is why it is advisable only to take the temporary loan on emergency cases when you need it.

Interest Rate

FNB temporary loans attract a small interest amount of about 16%. That means if you borrow R 7000, you will pay back R 8120. This applies to all temporary loans paid within 30 days. If your debt exceeds 30 days, your loan attracts more interest and penalties daily.

FNB Temporary Loan Usage

FNB temporary loans are available for any use. You can borrow to settle any bills, including hospital bills, school fees, and any emergency. However, if you can pay the loan, you can use the loan to go for a short vacation or treat yourself and your family. There is no limitation on how you should use the loan. It is all up to you. But it is advisable to borrow temporary loans for emergency cases.

FNB Temporary Loan Management

FNB temporary loan does not exceed R 10,000. This is a manageable amount to any borrower who boasts deposits of over R 3000 per month. It is also a sufficient amount for any borrower to settle their emergency issues and also an amount that they can afford to pay. That is why it is advisable to use temporary loans wisely to benefit you more than the bank.

FNB Temporary Loan Pros

It is prudent to understand the advantages of the FNB temporary loans before applying for one. These benefits include:

They are Quick

FNB temporary loans are quick to access via your phone, online banking, or through the bank’s app. It only takes a few minutes to apply for the loan, provided you meet the lending criteria. The bank immediately deposits the money into your account.

Simple

Provided you have an Easy or Cheque account with FNB bank, they don’t ask for any details when asking for the loan. All you have to do is input your login details such as bank account, pin, and code. Provided you have a good credit score and boast a monthly deposit of over R 3000, the bank automatically lends you the temporary loan amount you desire.

Less Paperwork

There is no paperwork needed in the application for FNB temporary loan.

FNB Temporary Loan Cons

Like all financial decisions, applying for a loan has inherent disadvantages and risks. Here are some of the disadvantages of applying for the FNB temporary loan:

High-Interest Rate and Penalties on Default Payments

If you default repaying your temporary loan, your loan amount accrues more interest rate and penalty. So, in the long run, you end up paying an outrageous amount. If the loan becomes a bad debt, you get a bad credit score, preventing you from accessing other loans.

Habit Forming

You can easily fall prey to the FNB temporary loans. Given that they are easily available, they can become your fallback plan which isn’t ideal. That means that you end up taking the loan every time you need money, even when it’s not an emergency.

FNB temporary loans are a good choice for anyone with a need for quick cash. With zero-interest, one initiation fee, easy application process, and freedom to manage your loan, you can save your day using the FNB temporary loans. Load the FNB website on your internet enabled device to apply.

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