R 500
R 125000
R 250000
REPRESENTATIVE EXAMPLE: ESTIMATED REPAYMENTS OF A LOAN OF R30,000 OVER 36 MONTHS AT A MAXIMUM INTEREST RATE INCLUDING FEES OF 27,5% APR WOULD BE R1,232.82 PER MONTH. REPAYMENT TERMS CAN RANGE FROM 2 - 72 MONTHS. CREDITUM IS AN ONLINE LOAN COMPARISON TOOL AND NOT A LENDER. INTEREST RATES CHARGED BY THE LENDERS FOUND IN OUR SERVICE CAN START AS LOW AS 20% APR, INCLUDING AN INITIATION AND SERVICE FEE DETERMINED BY THE LENDER. THE INTEREST RATE OFFERED DEPENDS ON THE APPLICANTS' CREDIT SCORE AND OTHER FACTORS AT THE LENDER'S DISCRETION.

Direct Loans

In order to find the best loan for your needs, it is important to compare loans online.

  • Apply in minutes
  • Get offers from multiple lenders
  • Choose the best loan option available

Note: If you are not satisfied with the loan offers, you don’t have to select any of them.

Applying for a loan online – How it works

About 5 minutes

1. Select loan amount

In the calculator, select the loan amount you need.

The minimum amount is R 500 and the maximum amount is R 250 000.

 

2. Fill out contact details

Fill out your email address and your cellphone number.

Keep in mind that you will receive the loan offers through these channels.

 

3. Fill in additional details

The applications are often processed automatically. To achieve this, banks and lenders need some additional details, like your employment status and monthly income.

 

4. Select the best loan offer

Compare the offers & select the best one! If you are not satisfied with the offers, you don't have to do anything. The application expires automatically.

 

Direct Loans in South Africa

When it comes to taking out a loan, finding the right lender and the lowest interest rates can be a daunting task. In South Africa, direct loans have become a popular choice for those who need quick access to cash without the hassle of traditional lending institutions. With so many options available, it can be overwhelming to navigate the sea of lenders and compare rates. That’s where we come in – our team of experts has done the research and compiled a list of the best direct loan providers in South Africa. We’ll help you compare rates, terms, and conditions so you can make an informed decision and get the best deal possible. Whether you need a personal loan, a business loan, or a payday loan, we’ve got you covered. Let us take the stress out of direct lending and help you find the perfect loan for your needs.

Understanding the different types of Direct Loans available

Direct loans are loans that are issued by the lender directly to the borrower. These loans are becoming more popular in South Africa as they offer a fast and convenient way to get funding without having to go through traditional banks. There are several types of direct loans available in South Africa, including personal loans, payday loans, and business loans.

Personal loans are designed to help individuals with their personal expenses such as home renovations, car repairs, and medical bills. Payday loans, on the other hand, are short-term loans designed to help individuals bridge the gap between paydays. These loans are typically due on the borrower’s next payday and have high-interest rates. Business loans are designed to help small and medium-sized businesses with their financial needs.

Each type of direct loan has its own set of terms and conditions, eligibility criteria, and interest rates. It’s important to understand the differences between these types of loans to choose the one that is best suited for your needs.

Advantages of taking out Direct Loans

Direct loans offer several advantages over traditional lending institutions. First and foremost, they are fast and convenient. Most direct lenders offer online applications, which means you can apply for a loan from the comfort of your own home. Additionally, direct lenders often have more lenient eligibility criteria, which means you may be able to qualify for a loan even if you have bad credit.

Direct loans also offer more flexible repayment options than traditional banks. Many lenders offer customizable repayment plans that allow you to choose a repayment term that works for you. This can help you manage your finances more effectively and avoid defaulting on your loan.

The loan application process

The loan application process for direct loans is typically fast and easy. Most lenders offer online applications that can be completed in a matter of minutes. To apply for a direct loan, you will need to provide basic information such as your name, address, and income. You may also be required to provide documentation such as payslips or bank statements to verify your income.

Once you have completed the application, the lender will review your information and make a decision on whether to approve your loan. If you are approved, the lender will typically transfer the funds to your bank account within a few hours or days.

Factors to consider when comparing Direct Loan options

When comparing different direct loan options, there are several factors to consider. The first is the interest rate. Direct loans typically have higher interest rates than traditional bank loans, so it’s important to compare rates to find the most affordable option.

Another factor to consider is the repayment term. Direct loans typically have shorter repayment terms than traditional bank loans, which means you will need to make larger monthly payments. Make sure to choose a repayment term that works with your budget.

You should also consider the fees associated with the loan. Some lenders charge origination fees or early repayment fees, which can add to the overall cost of the loan. Make sure to read the terms and conditions carefully to understand all of the fees associated with the loan.

Where to find the lowest Direct Loan rates

To find the lowest direct loan rates in South Africa, it’s important to shop around and compare rates from different lenders. You can start by searching online for direct loan providers in your area. Make sure to read reviews and check the lender’s reputation before applying for a loan.

You can also use comparison websites to compare rates from multiple lenders. These websites allow you to input your information and receive quotes from multiple lenders, allowing you to compare rates and terms side by side.

Direct Loan repayment options

Direct loans offer more flexible repayment options than traditional bank loans. Many lenders offer customizable repayment plans that allow you to choose a repayment term that works for you. You may also be able to choose between fixed or variable interest rates.

Some lenders also offer repayment holidays or deferral options, which allow you to temporarily suspend your loan payments if you experience financial hardship. Make sure to read the terms and conditions carefully to understand all of the repayment options available to you.

Direct Loan consolidation

If you have multiple direct loans, you may be able to consolidate them into a single loan. Loan consolidation can help simplify your finances and reduce your overall monthly payments.

To consolidate your loans, you will need to apply for a new loan that is large enough to pay off your existing loans. Once you have been approved for the new loan, you can use the funds to pay off your existing loans. You will then make a single monthly payment on the new loan.

Common mistakes to avoid when taking out Direct Loans

When taking out direct loans, there are several common mistakes to avoid. The first is not reading the terms and conditions carefully. Make sure to read the fine print and understand all of the fees and repayment options associated with the loan.

Another mistake is taking out a loan that you can’t afford to repay. Make sure to choose a loan with a repayment term and monthly payment that works with your budget. Defaulting on a loan can have serious consequences, including damage to your credit score and legal action from the lender.

Direct Loan eligibility criteria

Eligibility criteria for direct loans vary depending on the lender and the type of loan you are applying for. In general, you will need to be a South African citizen or permanent resident and have a regular source of income. You may also need to provide documentation such as payslips or bank statements to verify your income.

If you have bad credit, you may still be able to qualify for a direct loan. Many lenders offer loans to individuals with poor credit, although these loans may come with higher interest rates and stricter repayment terms.

Conclusion

Direct loans have become a popular choice for those who need quick access to cash without the hassle of traditional lending institutions. There are several types of direct loans available in South Africa, including personal loans, payday loans, and business loans. When comparing different direct loan options, it’s important to consider factors such as interest rates, repayment terms, and fees. By shopping around and comparing rates from different lenders, you can find the best direct loan for your needs and budget.

You might also be interested in:

Lime
Loan amounts
R300
R5400
Payback period
5 days to 7 weeks
Interest rate
Daily interest rate of 0.1% to 0.16% depending on Tariff Group
Other fees
R69/month + opening cost 16,5% of first R1000 lent + 10% of loan amount over R1000 (+VAT). Limited to lesser of 15% of loan amount (+VAT).
Representative example: If you want to borrow R2000 for 30 days, you have to pay back R2428.78. The total cost includes interest, VAT, and a monthly service fee.
MyLoan
Loan amounts
R100
R250000
Payback period
7 days to 36 months
Interest rate
MyLoan is an online loan broker and not a lender. Interest rates of the loans in the comparison panel can start as low as 20% APR.
Other fees
MyLoan is an online loan broker and not a lender. Other fees depend on the brokered loan.
Representative example: a R50 000 loan at an interest rate of 24.5% per annum plus a once-off initiation fee of R1 207.50 (added to the loan amount in this example) and a monthly admin fee of R69.00, over 72 months would have a total cost of R 103 155.57. The maximum annual interest rate including fees is 27.5%. Repayment terms can range from 1 - 72 months. MyLoan is an online loan broker and not a lender. T service is free and we work with NCR licensed lenders in South Africa. Interest rates charged by lenders can start as low as 20% APR, including an initiation and service fee determined by the lender. The interest rate offered depends on the applicants’ credit score and other factors at the lenders’ discretion.
Boodle
Loan amounts
R500
R8000
Payback period
16 days to 6 months
Interest rate
Daily interest rate of 0.17%
Other fees
Service fee R60 per month + Initiation fee R165 on the loan above R1000 + Insurance premium R4.50 per R1000 per month on the daily balance
Representative example: The payback time and total costs differ depending on the amounts. Final costs and fees are shown on the next page before agreeing to the loan.
Fasta
Loan amounts
R800
R8000
Payback period
1 month to 3 months
Interest rate
Monthly interest rate 3%
Other fees
Initiation fee R994 + Service fee R69 + Credit protection fee R48.76
Representative example: The payback time and total costs differ depending on the amounts. Final costs and fees are shown on the next page before agreeing to the loan.
MPowa
Loan amounts
R500
R8000
Payback period
16 days to 6 months
Interest rate
Interest of 5% per month, 3% on additional loans during the same calendar year
Other fees
Initiation fee of 16.5% of the capital amount on the 1st R1000 then 10% on each amount over R1000 plus VAT. A service fee of R60 per month plus VAT.
Representative example: The payback time and total costs differ depending on the amounts. Final costs and fees are shown on the next page before agreeing to the loan.