Get an African Bank personal loan verified by our specialists. As of 25.03.2025 there are options available. Increase your chances of approval - fill out an application with a free credit rating check.
Author
Denis Galkin
Fact Checked
Update 01.02.2025
African Bank provides personal loans with flexible terms and conditions, catering to a variety of financial needs such as debt consolidation, home renovations, or vehicle purchases. Offering loan amounts from R2,000 up to R250,000 and repayment periods ranging from 7 to 72 months, customers can customize their loans to fit their financial situations. With fixed interest rates, borrowers can plan their repayments with confidence, knowing that their monthly installments will remain consistent throughout the loan term. Additionally, consolidation loans are available to help customers merge multiple debts into a single, manageable payment, simplifying the repayment process. Understanding how to repay an African Bank personal loan effectively is essential for maintaining financial stability and achieving your financial goals.
Key Features
No Early Payment Penalties. African Bank allows borrowers to repay their loans early without incurring any additional costs, giving customers the flexibility to clear their debt ahead of time without penalties.
Skip-a-Payment Option. Under certain conditions, customers can apply to skip a payment, offering relief during times of financial strain or unexpected expenses.
Fixed Interest Rates. African Bank offers fixed interest rates on personal loans, ensuring that monthly repayment amounts remain consistent throughout the loan term, and providing borrowers with financial predictability.
Flexible Repayment Terms. Customers can choose repayment periods ranging from 7 to 72 months, tailoring their loan to suit their financial situation and goals.
Loan Consolidation. African Bank allows the consolidation of multiple debts into one loan, simplifying the repayment process by merging several payments into a single, manageable monthly installment.
Pros and Cons
Pros
Established Bank. African Bank is a trusted and reliable financial institution with a strong reputation in South Africa.
Competitive Interest Rates. The bank offers competitive rates, making it a cost-effective choice for borrowers with flexible repayment options.
Convenient Application Process. Applications can be made online or in-branch, offering quick decisions and fast access to funds.
Cons
Strict Eligibility. Applicants must meet specific income and employment criteria, which may limit access for some borrowers.
Not Ideal for Bad Credit. Individuals with poor credit histories may face challenges qualifying for a loan.
Additional Fees. There may be extra monthly fees or service charges associated with maintaining the loan.
How to Get an African Bank Personal Loan?
Through Our Website
Open your web browser and navigate to finanso.com.
Use the search function on the website to locate information related to the African Bank.
Select the African Bank from the search results to access their lending services.
Look for the "Apply" button on the African Bank page and click on it to initiate the loan application process.
After clicking "Apply," you will be redirected to the official African Bank website. This is a secure transition to ensure your personal information is handled within the African Bank system.
Click "Apply Now" at the "Personal Loans" section to begin the loan application process.
Fill out your personal information, including your name, income details, and contact information.
Upload the required documents, such as proof of income and residence.
Submit the application and wait for approval from the bank.
Through the Bank's Website
Visit the official African Bank website.
Navigate to the "Personal Loans" section.
Click "Apply Now" to begin the loan application process.
Fill out your personal information, including your name, income details, and contact information.
Upload the required documents, such as proof of income and residence.
Submit the application and wait for approval from the bank.
At the Bank's Office
Find your nearest African Bank branch using the branch locator on the website or mobile app.
Visit the branch with the necessary documents, including proof of income, residence, and identity.
Speak to a consultant who will assist you in filling out the loan application.
Submit your application in person for processing.
Via Mobile App
Download the African Bank mobile app.
Log in or create an account.
Go to the loans section and click "Apply Now."
Enter the required personal information and upload the necessary documents.
Submit the application through the app and track your application status directly within the app.
Requirements and Conditions
Requirements
Age. Applicants must be at least 18 years old.
Proof of Income. A recent proof of income showing at least three salary deposits is required.
Proof of Residence. Applicants must provide a document, such as a utility bill, that proves residence and is not older than three months.
Bank Statement. A recent bank statement reflecting three salary deposits is needed.
Valid Identification. A valid South African ID or passport is required for verification.
Conditions
Loan Amount. African Bank offers personal loans ranging from R2,000 to R250,000, while consolidation loans can go up to R350,000. This allows borrowers to choose the loan amount that fits their financial needs and goals.
Repayment Term. Loan terms range from 7 to 72 months, allowing borrowers flexibility in choosing the duration of their repayments.
Interest Rates. The interest rate starts from 12% for specific loan products, such as the 12% Loan, which applies to amounts up to R50,000 with a term of 6 to 18 months. For other personal loans, the rate can go higher depending on factors such as loan amount and term.
Monthly Service Fee. A service fee of R69 per month is applicable.
Credit Life Insurance. Credit life insurance is available to cover the loan in case of death, disability, or retrenchment.
Ways to Receive the Money
After approval, African Bank disburses personal loan funds through two main methods: a direct transfer to the borrower’s bank account or a transfer directly to a third party, as specified in the loan agreement. Additionally, funds can also be transferred to an African Bank credit card if the customer holds one. Cash disbursement is not offered, with a focus on secure electronic transfers to ensure quick and efficient access to the funds.
How to Repay an African Bank Personal Loan?
Automatic Debit Orders. Set up automatic debit orders from your bank account to ensure timely monthly payments.
Internet Transfers and Stop Orders. Use internet transfers, stop orders, or payroll deductions to customize and manage your repayment schedule.
Retailer Payments. Pay at participating retailers like Shoprite, Checkers, or Pick n Pay using the EasyPay or Pay@ systems for convenience.
Electronic Funds Transfer (EFT). Transfer funds directly to African Bank through your online banking platform by adding them as a beneficiary.
Over-the-Phone Payments. Call African Bank’s customer service to make secure payments over the phone.
Monitor Loan Statements. Regularly monitor your loan statements to track your balance and ensure all payments are made on time.
Additional Payments. Make additional payments to reduce your total debt faster, as African Bank allows early repayments without penalties.
Things to Pay Attention to
Credit Life Insurance. This insurance covers your loan in cases of disability, retrenchment, or death. It may be required and adds to the total loan cost.
Additional Fees. A monthly service fee of R69 applies to the loan, and other potential charges should be factored into your total repayment amount.
Fixed Interest Rates. While rates are fixed for personal loans, ensure they align with your financial plans for predictable monthly repayments.
Flexible Payment Options. You can choose from monthly debit orders, internet transfers, or payroll deductions for repayment convenience.
Early Settlement. You can settle your loan early, but you need to request a settlement quotation from the bank, as this may include interest and charges beyond the outstanding balance.
Late Payment Penalties. Missing payments can lead to additional charges, so it's important to contact African Bank if you're unable to make a payment on time to arrange alternative solutions.
Payment Breaks. In certain circumstances, the bank may offer a payment break, though this depends on specific conditions.
Debt Counseling. If you face financial difficulties, debt counseling and restructuring options are available, but these may incur extra costs.
Editorial Opinion
Lending with African Bank offers notable advantages such as competitive interest rates, no penalties for early repayments, and a flexible application process available online, through their mobile app, or in-branch. Borrowers also benefit from customizable loan terms and the option to consolidate multiple debts into a single, manageable payment. However, there are some drawbacks to consider, including strict eligibility criteria that may exclude individuals with irregular income or poor credit histories, and a monthly service fee of R69. Prospective borrowers should weigh these pros and cons to determine if African Bank’s personal loan offerings align with their financial needs and circumstances.
Can I adjust my loan repayment schedule if my financial situation changes?
Yes, African Bank allows customers to discuss and possibly adjust their repayment schedules if they experience financial difficulties. It's essential to contact the bank early to explore options like changing payment dates or requesting a payment break under certain conditions.
How long does it take for a loan to be approved and disbursed?
The loan approval process at African Bank is typically quick, especially when applying online or via the mobile app. Once approved, the funds are usually disbursed directly into your bank account within a few working days.
Is there a way to lower my interest rate if my credit score improves during the loan term?
No, African Bank offers fixed interest rates for personal loans, meaning your rate will remain the same throughout the loan term, even if your credit score improves.
What happens if I want to borrow more money after I’ve already taken a loan?
You would need to apply for a new loan if you wish to borrow more money. African Bank does not automatically increase your loan amount, but you can consolidate your current loan with a new one, subject to approval.
Does African Bank offer refinancing options for existing loans?
Yes, African Bank offers refinancing through consolidation loans, allowing you to combine multiple existing debts into one loan with new terms, which may make it easier to manage your repayments.
