Old Mutual Loans

Old Mutual Loans are personal loans that can be trusted in times of financial need. This article will help you with the amount you can apply for and the requirements.

To be able to apply for a loan from a financial institution it is always good to get some information on the institution.

Who is Old Mutual?

Old Mutual is a premium African financial services group that offers a broad spectrum of financial solutions. They are offered to individuals, small and medium-sized businesses and corporate customers across key markets in 14 countries.

Their purpose is to help customers thrive by enabling them to achieve their lifetime financial goals.

Old Mutual provides loans and debt consolidation loans tailored to the individual needs of their customers.

Old Mutual Loans Overview

How much can you apply for? You can apply for a personal loan of up to R250 000. This is subject to your credit record and affordability. They use the affordability assessment criteria outlined by the National Credit Act to determine how much you can afford.

What is the Repayment Period? You can get Old Mutual loans over a period of up to 72 months. Its up to you to select a repayment period that suits your budget.

What can you use the personal loan for? Honestly, the decision is yours and Old Mutual will not dictate to you how you use your personal loan.

How can you apply for Old Mutual loans? Application can be done online, over the phone or in branch.

Old Mutual will only approve a loan that you can afford to pay back.

Once approved you will get money in your account almost immediately.

Old Mutual Debt Consolidation Loans

Old Mutual will make those payments to your different credit accounts for you.

Bundling your debt into a single loan reduces the admin of multiple repayments, and gives you more time to pay off your loan at lower installments.

Note that even though lengthening your loan term can lower your monthly installments, restructuring your debt this way will result in more interest and fees paid over the life of a loan.

Annual Percentage Rate (Interest and Associated Fees)

Interest: Interest rates can vary quite widely and depend on a number of factors such as credit type, repayment term, and the credit score of the borrower

Initiation Fee: This fee is paid when you first take out the loan and is paid only once.

Service Fee: With almost all loans, there’s a monthly fee for administration costs.

Illustrative Example
Let’s say that you take out a personal loan for R100, 000 at 18% interest and with credit life insurance at R4.50 per R1 000.

OVER THREE YEARS – R159,665
Initiation fee: R1 197 (once-off)
Admin fee: R68.00 per month
Monthly instalment: R3,686
Total admin fees: R2,448
Interest paid: R30,169
Total credit life paid: R16,394

What You need to apply for Old Mutual loans

1. A valid ID or passport
2. 3 months bank statements
3. Your most recent payslip
4. Proof of address
5. You must be 18 years or older

Can Old Mutual be trusted? Yes, they can definitely be trusted. They are not a fly by night company. Old Mutual was established in Cape Town in 1845 and have helped a lot of South African since then.

They are transparent and will take time to explain how loans work and what it will mean for your credit score.

Old Mutual Contact Details

For more information and application visit their website www.oldmutualfinance.co.za. Alternatively you can phone on 0860 445 445 / 0860 222 252 and speak to a friendly financial consultant.