FNB loan is provided by First National Bank commonly referred to as FNB. FNB is a division of FirstRand Bank Limited an Authorised Financial Services and Credit Provider.
In this article we are going to take a comprehensive look at the Financial Products that are offered by FNB. We will also take a look at the key features of these products and how you can apply for them.
Before we get started with the FNB loan offered by FNB let’s start by discussing a brief history of the bank. This will help you as the potential client know exactly whom you are dealing with.
What We Know About FNB
Today, FNB trades as a division of FirstRand Bank Limited. They are the oldest bank in South Africa and can be traced back to the Eastern Province Bank formed in Grahamstown in 1838.
We cannot discuss the history of FNB without mentioning the two things that stand out.
The first thing is their track record of survival. Over the years they have managed to successfully meet different challenges and circumstances in South Africa.
The second outstanding thing about their history is their story about people. Their history has always been firmly influenced by the needs of the people they serve.
Now that we have discussed briefly about FNB let’s take a look at different options of the FNB loan on offer.
Types Of FNB Loan
Whether it’s for your personal needs or emergency, using the right credit for the right reasons can change your life.
1. FNB Personal Loan
Loan Amount: Personalised credit of up to R360 000
Repayment Terms: Fixed repayments with up to 72 months to pay
Personalised interest rate
For short-term loan (1-6 months)
Max interest: up to 5% per month (NCA max)
For long-term loan (1-60 months)
Min interest 12.75% and Max 24.5% per annum (NCA Max)
Representative Example
Loan Amount: R30 000
Loan Term: 24 Months
Interest Rate p.a. 18%
Repayment Details
Monthly credit life insurance premium (where applicable): R100
Monthly Service Fee: R69
Total Monthly Instalment: R1 796
Once-off initiation fee (where applicable): R1 207.50
Total Cost Of Credit: R41 445
To qualify for an FNB Personal Loan, you must be a permanent SA resident who is 18 years or older. You must be permanently employed having your salary paid directly into your bank account.
Required documentation includes, South African ID Book / smart ID Card, for foreigners you need a valid passport with a valid work permit. In addition, you will also be required to provide proof of residence and proof of income.
2. FNB Revolving Loan
A revolving credit account sets a credit limit—a maximum amount you can spend on that account. You can choose either to pay off the balance in full at the end of each billing cycle or to carry over a balance from one month to the next, or “revolve” the balance.
To qualify, you must be 18 years or older and an FNB customer with and active FNB Cheque Account. You also need to be a South African citizen and pass the affordability and credit scoring assessment
3. FNB Temporary Loan
You can apply for an amount between R100 and R10 000.
Whether it’s an emergency such as medical bills, vehicle expenses, a death in the family or any other unexpected bills, the FNB Temporary loan could be what you are looking for.
You will be happy to know that no interest is charged and one initiation fee.
To qualify, you must be 18 years or and an FNB customer with and active FNB Cheque Account or Easy Account. You also need to be a South African citizen and pass the affordability and credit scoring assessment.
4. FNB Overdraft Loan
The overdraft facility allows qualifying FNB account holders to continue withdrawing money even when the account has no funds in it or has insufficient funds to cover the amount of the withdrawal.
The beauty about this facility is that you only pay when you use it. You can use the credit facility for free up to R200 and only get charged a monthly fee when you spend R200 or more.
If you qualify, cash is available for immediate usage.
To qualify, you must be 18 years or older and an FNB customer with and active FNB Cheque Account. You also need to be a South African citizen and pass the affordability and credit scoring assessment
5. FNB Debt Consolidation Loan
Debt consolidation is sometimes referred to as Credit Switch. This is because you switch all your qualifying debt from various credit providers into one convenient personal loan.
FNB will manage the switching process for you.
Consolidating various debts into one personal loan has various benefits. Some of the benefits include one monthly fee and reduced monthly payment saving you on some needed cash.
To qualify, you must be a permanent SA resident who is between the ages of 18 and 64. You need to be permanently employed or self-employed.
6. FNB Student Loan
An FNB Student Loan can be used for tuition fees, accommodation, equipment, other study material and devices.
What is the loan amount you can apply for? You can apply a loan of up to R360 000 to fund studies from any recognised tertiary institution.
A key feature of the FNB student loan is that you will get a personalised interest rate from as low as the prime lending rate based on your credit/risk profile.
As a student it will not be easy to pay back your loan whilst you are studying. FNB understand this and offers flexible payment options. Only pay interest, fees and charges while studying and start repaying interest, fees, charges and capital on completion of studies.
Life can be very unpredictable and this is why Credit life insurance is compulsory for the student loan. The Plan covers the principal debtor and student in the invent of death, temporary and permanent disability, retrenchment or inability to earn income. Alternatively, you may provide a suitable credit life insurance policy if you wish to use your own.
To Apply you need to meet the following:
- You must be 18 years or older.
- Principal debtor must earn R6 000+ per month and be a South African citizen.
- The student must be registered with a recognized tertiary institution.
In addition to meeting the above criteria, there is additional documents that will be required when applying.
- South African green bar-coded ID or smart ID card
- Latest 3 months’ payslip or 3 months’ bank statement
- Proof of residence not older than 3 months
- Proof of enrolment from the educational institution / proof of registration
7. FNB Vehicle Finance
FNB offers its customers three vehicle finance options that they can make use of to buy their dream vehicle.
(a) Dealership Finance
A tailor-made vehicle finance solution which allows you to buy a vehicle from a dealership.
Allows you to buy a vehicle up to 10 years old giving you the ability to buy previously owned vehicles.
Finance a vehicle for at least R30 000 after deposit with a choice of fixed or variable rate.
To qualify, you must 18 years or older with a driver’s licence and permanently employed. In addition, you must be earning at least R6 000 a month and have a clear credit record.
(b) Private Vehicle Finance
Access to a network of FNB approved testing stations nationwide and the ability to buy or sell a vehicle privately, with personalised interest rates.
Finance a vehicle up to 20 years old for at least R30 000 after deposit.
To qualify, you must 18 years or older with a driver’s licence and permanently employed. In addition, you must be earning at least R6 000 a month and have a clear credit record.
(c) Leisure Vehicle Finance
Get finance to buy a leisure vehicle from a dealership, with a choice of fixed or variable rates tailor-made to suit you.
This option allows you to purchase caravans up to 20 years old (subject to banks discretion) and buy motorbikes privately or from a dealership.
To qualify, you must 18 years or older with a driver’s licence and permanently employed. In addition, you must be earning at least R6 000 a month and have a clear credit record.
8. FNB Home Loans
You get a loan period of up to 20 years with a choice of fixed or variable interest rates.
Whether you are looking for a loan to buy a house or build your own house, FNB has you covered.
FNB also provides Islamic residential and commercial property finance. This is ideal if you wish to finance your property in a Shari’ah compliant way.
One key feature that we particularly like is that you have access to FREE property valuations conducted by the bank or via nav>> Home on the FNB App.
Conclusion
FNB offer a number of loan products to ensure their customers get the cash they need when they need it.
We hope this article has helped you to see the FNB loans that you can choose from and their key features.
FNB is a responsible lender and will not approve a loan that you cannot afford.
They are a bank which has stood the test to times and one that you can rely on in times of your financial needs.
How Do I Apply? Application for any of the FNB Loans can be done online, on the FNB App or by visiting your nearest FNB branch. To find your nearest branch you can use the branch locator on their website.
If you wish to get more information, we encourage you to get hold of FNB directly using the details below.
FNB Contact Details
Website: www.fnb.co.za
Telephone: 087 335 8630 (Loan Applications) / 087 730 5596 (Loan Queries)
087 730 1144 / 087 730 1155 (Home Loans)
Email: personalloans@fnb.co.za / homeloans@fnb.co.za
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