Absa Personal loan is an unsecured type of loan offered to South African citizens. The borrowed money can be used for whatever purpose preferred. Whether you need extra money for home improvements, a wedding celebration, a vacation trip, or buying appliances, a personal loan is a quick way to boost your cash at hand.
Rates on personal loans are typically cheaper compared to credit card interest. Because of this, people usually apply for a personal loan to pay the balance on their credit cards.
Aside from these advantages, the Absa Personal Loan features a fixed monthly repayment scheme, which makes it easy to deal with the loan when you have a regular income stream.
Getting Your Personal Loan from Absa
Absa is one of the few banks that offer flexible repayment terms, regardless if you’re borrowing the minimum or the maximum amount allowed. For the Absa Personal Loan, you can borrow as small as R250 to as big as R350 000.
Absa Personal Loan offers an optional Credit Protection Plan which is an insurance that covers critical illness, death, disability, and retrenchment.
Absa also offers a Price Guarantee program. If you availed an Absa Personal Loan and you’re offered with a like-for-like loan with lower interest rates from a competing financial institution, Absa guarantees to best their offer. Absa will give you an even lower interest rate on what the competition is offering, adjusting the terms on your current personal loan. Monthly repayments and total interest rates will also be reduced to make it easier to make the installments.
To take advantage of this program, you can contact Absa and ask for their Price Guarantee form. This must be done, though, within 30 days after receiving your Absa Personal Loan.
You can also get to enjoy pre-qualification benefits to make it easier to take another personal loan in the future.
Interest & Fees
The APR for the Absa Personal Loan depends on the prime rate plus 18%. A service fee and a one-time initiation fee is charged on every loan application.
The minimum loan amount of R3 000 is interest-free as long as you repay it within the month.
The Absa website has a loan calculator that can automatically compute the best repayment terms depending on the loan amount you put in. Use this to get an idea of how much you have to repay for a specified loan amount.
Repayment term usually falls between 6 to 84 months, depending on the amount you’ll borrow. You can set how long you want to pay the loan, although longer payments will incur greater charges and higher interest rates.
Any SA citizen can apply for an Absa Personal Loan, as long as they satisfy the following requirements:
- A regular income of at least R1 500 for 1 to 6-month term and R2 000 per month for 12 to 84-month term.
- A bank account where the regular income is received
- At least 18 years of age
When submitting the application form, make sure you include the following documents:
- A copy of your South African ID document or your Smart Card
- Three-months’ worth of payslips or bank statements
- Proof of residential address such as bill statements received within the last three months
How to Apply and Contact Details
You can inquire and apply for the Absa Personal Loan through their website online. You can leave your details there including the preferred schedule Absa consultants can call you.
But if you need an immediate response, you can just call them at 0860 100 372 or visit any of the Absa branches near you.