When you need extra cash for personal expenses, one of the best ways to obtain it is through a personal loan. It’s often cheaper and more flexible than a credit card debt, which is why personal loans are popular in SA.
If you’re looking for a reliable and affordable personal loan, consider getting one from FNB.
How Does the FNB Personal Loan Work?
If you need money to fund either a planned or unplanned expense, an FNB Personal Loan can be the appropriate solution you need. here is also the FNB temporary loan if you are looking for a smaller instant loan which can be repaid within a shorter term loan.
You can use it to fund emergency expenses instead of using your credit card. Pay for home renovation or add extra funds to pay for construction materials using FNB Personal Loan.
Need more money for your wedding preparation? Take an FNB Personal Loan to pay for things that will make the event more memorable.
Vehicle maintenance is a constant expense. If you’re short on cash to repair your car, taking an FNB Personal Loan may be a good option.
Are you having trouble juggling multiple credit repayments? You can use your FNB Personal Loan to consolidate your debts and make monthly repayments more manageable.
In short, FNB offer flexible loans that can be used for almost any purpose.
Here are the important points to know about FNB Personal Loans:
- Loanable amount
The loanable amount is up to R300 000. The borrowed money will be deposited straight into your FNB account.
- Monthly repayment
The loan can be repaid for up to 60 months.
A fixed minimum repayment amount will be implemented every month throughout the duration of the loan term. This scheme makes it easier to budget repayments because you already know how much you should allocate for the loan each month.
You can also pay extra into your debt without worrying about additional fees.
Debit order repayments are recommended so you won’t miss your monthly dues.
- Interest rates
FNB offers personalised interest rates which will be based on your financial capability and credit history. You can get as low as 12.75% per annum, especially when you have a good credit rating.
- Credit life insurance
Credit life insurance is a mandatory feature for every loan in South Africa.
In case you won’t be able to repay the debt, i.e. temporary or permanent disability, retrenchment, and death, the insurance will cover the remaining balance in your debt.
- Credit breaks
If you’re up to date with loan repayments, you can get a payment break every January. But you can opt not to take a break so you can repay your loan faster.
Payment breaks are only applicable to loans that have terms of more than 6 months.
- Fees
Loans offered by other banks often have penalty fees when you settle the loan early. FNB Personal Loans don’t charge any extra when you decide to repay the loan in full earlier than the agreed terms.
- Credit switch
FNB Personal Loan is unique in a way because you can use it as a consolidation loan for qualifying debts, these are known as debt consolidation loans. This means you’ll only have to deal with a single loan and manage it using the FNB app.
FNB has a personal loan calculator you can use to check how much you can borrow as well as the estimated monthly repayments to expect. This is a useful tool to gauge your financial capability to handle the loan before you even apply for it.
FNB Personal Loan Requirements
To apply for an FNB Personal Loan, you must satisfy the following conditions first:
- You must be at least 18 years or older to apply for the loan
- You must be either employed or self-employed for a certain number of years.
- You must be a permanent SA resident.
- You have a regular salary that’s directly paid into your FNB bank account.
Unlike other banks in SA, FNB doesn’t require any minimum salary to apply for their personal loan. Anyone who earns a regular monthly income is welcome to apply.
Here are the documents and other requirements you need to submit upon application:
- A valid South African ID or smart card ID. For non-residents, a passport with valid work or retirement permit is required.
- Most recent proof of income and documents detailing financial information.
- Proof of residence under your name not older than 3 months.
- Bank statement from the last 3 months showing where your salary is deposited. But if you’re an FNB account holder, you don’t need to provide bank statements.
FNB Loan Application Process
The best way to apply is online through the application form provided on FNB’s official website. But for convenience, the bank has added other methods to apply for their personal loan. Online loans are quickly becoming the most popular loan options for South Africans.
You can use the FNB Banking app which is another convenient method to apply for a loan. Dialling the telephone and cell phone numbers will also work. You can also get to the nearest FNB branch ATM to request for a loan or apply in person at an FNB bank branch.
Before applying for a loan, make sure you’ve assessed your credit report and have read every detail in the fine print to avoid confusion when the monthly payment due arrives. FNB are likely to carry out an affordability assessment before providing access to funds.
FNB Loan Calculator
You can use the FNB online calculators to calculate what your monthly instalment will be for the loan amount and repayment term you select. This will include the monthly service fee and any other monthly cost.
FNB Loan Reviews and Testimonials
Here are the reviews and testimonies by previous clients regarding the service of FNB:
- Automatic debit order has its advantages, but it also has some drawbacks.
A customer found out that FNB has been deducting monthly repayments from his savings account instead of his checking account as defined on the application form. This happened several times, leaving the account with insufficient money to sustain the usual lifestyle of the customer.
- FNB ranks second when it comes to the number of complaints lodged in consumer protection. This is made worse by FNB’s insufficient communication when it comes to additional charges on their personal loan product.
According to one customer, she was charged an additional fee which the bank representative said was for insurance. The amount appeared after the customer has paid her monthly balance. She was surprised and inconvenienced at the same time because the insurance payment wasn’t included in the amount required of her to pay for the month.
To make matters worse, she reviewed her report and it appeared that she had already paid the same insurance fee. This means the bank is charging her for another one even though she has paid for it.
- When it comes to loan application, FNB offers the simplest and most convenient options possible. Applications through the online portal and the mobile app are the preferred options among customers. Traditional phone banking also remains efficient in receiving loan requests. Overall, the application experience is smooth and quick.
- FNB is notorious for debiting repayments on the wrong dates. The bad thing about this is that affected customers suffer from penalties for having an insufficient balance on their accounts the moment the debit order is made. This results in additional fees charged to customers for not paying the debt on time.
- FNB representatives are very welcoming to customers. Most of them know how to adequately answer customer queries, which is a plus point because they understand what they’re selling.
FNB has been mired with negative reviews recently. This is possibly due to the lack of manpower to handle the surging demand from customers.
Tips When Applying for an FNB Personal Loan
Here are the top tips to remember when applying for a loan:
- Check your credit report
South Africans are entitled to request a free credit report annually from each of the major credit institutions. Despite this advantage, many people underestimate the value of the free report, especially when applying for a loan.
Make sure you check your credit rating before applying for an FNB Personal Loan to have a good idea of how much you’ll be able to borrow. The higher the score, the better the rates and terms you’ll get upon application.
- Know how much you need to borrow
Determine how much you need to borrow before you even apply for the loan. This will help you calculate the repayments and assess whether you can handle the monthly obligations without sacrificing your lifestyle. When you have an estimate of how much your monthly repayments will be, you’ll be able to adjust your expenses accordingly to make sure you won’t miss on repayments if you ever get accepted for the loan.
- Get pre-approval
FNB offers pre-approval without any effect on your credit rating. This step will also give you an idea of how much loan you’ll qualify for.
FNB Contact Details
If you have questions or concerns regarding FNB Personal Loans, you can contact them through the following channel:
- Telephone: 087 335 8630
Take note of the operating hours of the bank to make sure someone will answer your queries.
- Monday-Friday: 8:00 to 16:30
- Saturday: 8:30 to 12:00
You can also send a chat or a message directly from FNB’s website. You can also dial the phone number for a traditional loan approval process.
Final Thoughts
FNB is a trustworthy bank that offers affordable personal loans with a fixed interest rate. The fixed monthly repayments make FNB Personal Loans more manageable when it comes to budgeting. FNB’s application process is also one of the easiest you’ll encounter in South Africa.
Despite having bad reviews on FNB Personal Loans, the bank is still a trustworthy name to consider when looking for a credible loan provider.
