Standard Bank loans are some of the popular loans in South Africa. This is because they are easy to get, come with flexible terms and they have affordable interest rates.
From the options available you can choose either a Term loan, Revolving loan or Overdraft loan. In addition, you can also apply for a student loan.
In this article, we are going to look at these three options and the application process. Also, we will take a look at the application requirements.
We always recommend getting to know a lender better before doing any dealing with them. To get more information on Standard Bank see what do we know about Standard Bank in the article Standard Bank Home Loans.
Let’s get started with the loan options available.
1. Standard Bank Term Loan
Loan Amount: Minimum amount of R3 000 to a maximum amount of R300 000
Terms: Repayment terms range from a minimum of 12 months to a maximum of 72 months.
Interest Rate: Interest rates are personalised up to a maximum of 24.75% as per the NCA regulation. The Annual Percentage Rate (APR) for your personal loan is a minimum of 13%.
Annual Percentage Rate (Interest Rates and Associated Fees): Illustrative Example
Loan Amount: R30 000
Repayment Term: 36 months
Maximum Interest Rate: 24.75% pm
Initiation Fee: R1 207.50
Max Monthly Service Fee: R69
Monthly Instalment: R1 423.00
To qualify for a Term Loan, you need to be earning a minimum of R3 000 per month.
You can apply for a Standard Bank Term loan via internet banking or the Standard Bank banking App.
Remember, your application will be subject to a credit assessment. This assessment which will take into account your credit record and affordability is the one which will determine how much you qualify for.
Once your application is approved the funds will be transferred to your account immediately.
How you use the funds will be entirely up to you. However, as a word of advice, make sure you make good use of the funds as getting a loan can be costly at times.
There are no termination fees if you decide to pay off your Term Loan sooner.
Costs: You’ll pay a monthly service fee of R69 per month and a once-off initiation fee of R1 207.50 including VAT.
Requirements to apply for a Term Loan;
- You must be 18 years or older with a valid South African ID
- Proof of residence not older than 3 months
- 1 Month’s payslip
- Last 3 months bank statements if you do not bank with Standard Bank
2. Standard Bank Revolving Loan
Loan Amount: Minimum amount of R6 000 to a maximum amount of R300 000
Terms: Repayment terms range from a minimum of 12 months to a maximum of 60 months.
Interest Rate: Interest rates are personalised and range from a minimum of 11% to a maximum of 17.50% as per the NCA regulation.
A Revolving Loan gives you access to money whenever you need it without having to reapply for credit. You simply need to repay 15% of your loan.
To qualify for a revolving loan, you need to be earning a minimum monthly income of R8 000.
How much you qualify for will depend on your credit record and affordability.
Once approved funds are transferred immediately into your bank account.
Also, you can increase or decrease your Revolving Loan amount depending on your lifestyle needs. This application can be done via internet banking or on the Standard Bank Banking App. Please remember that approval is not automatic, but subject to checks and FICA requirements.
In addition, you are offered optional loan insurance. This will cover you in the even of disability, retrenchment, dread disease or death. We strongly recommend you take this loan insurance as life is very unpredictable.
Costs: You’ll pay a monthly service fee of R69 per month and a once-off initiation fee of R1 207.50 including VAT.
Requirements to apply for a Revolving Loan;
- You must be 18 years or older with a valid South African ID
- Proof of residence not older than 3 months
- 1 Month’s payslip
- Last 3 months bank statements if you do not bank with Standard Bank
3. Standard Bank Overdraft Loan
Loan Amount: Maximum amount of R250 000
Terms: Recurring
Interest Rate: Interest rates are personalised and range from a minimum of 8.50% to a maximum of 17.50% as per the NCA regulation. The Annual Percentage Rate (APR) for your personal loan is a maximum of 17.50%.
To qualify for an overdraft loan, you need to be earning a minimum income of R8 000 per month.
An overdraft is when the bank allows you to use funds in excess of what is in the account. This gives you instant access to additional funds when you need them the most.
The Standard Bank overdraft loan gives you access to funds whenever you need them withing your approved limit.
No minimum monthly repayments are necessary, as the facility is topped up when your income is deposited into your account.
You can apply for Standard Bank overdraft loan via Internet Banking of the Standard Bank banking App.
Once your application is approved, your overdraft facility will be linked to the bank account into which your salary is paid.
Also, you can increase or decrease your limit via Internet Banking and the Standard Bank banking App.
Costs: You’ll pay a monthly service fee of R69 per month and a once-off initiation fee of R1 207.50 including VAT. Also, you only pay interest on the amount you have used during the month.
Requirements to apply for an Overdraft Loan;
- You must be 18 years or older with a valid South African ID
- A transactional account with Standard Bank
- You’ll need a minimum monthly income of R8 000
NOTE: In addition to the above Standard Bank Loans, you can also apply for student loans and home loans from Standard Bank. See the articles, Standard Bank Student Loan and Standard Bank Home Loans.
Loans Application
Application for all Standard Bank loans can be done in any way of the following methods;
1. Standard Bank Banking App – Once you sign in on the App you can go to the personal lending Tab to see how much you qualify for. This method is available only if you are a Standard Bank client.
2. Apply via Internet Banking – Sign onto Internet Banking and click on borrow and follow the prompts.
3. Cellphone Banking – Dial *120*2345# from your cellphone, choose option 3 and follow the prompts.
4. Apply at a branch – You can visit your nearest Standard Bank branch to complete your application
What if you are a non-Standard Bank customer? You can still start your Standard Bank loans application online.
Visit the Standard Bank Website and click on Do I Qualify at the top of the page to see how much you can qualify for.
Then submit the Call Me Back form and Standard Bank will call you back to complete your application.
Standard Bank Personal Loan Calculator
The Standard Bank personal loan calculator is a useful tool found on their website.
You can use the calculator to work out how much you qualify for and estimate your monthly repayments.
In addition, you can see how changes in term, interest rates, missed and early payments affects your current loan.
We strongly recommend making use of this Standard Bank personal loan calculator before applying for a loan. If you see that you’ll not afford the loan it will prevent you from wasting your time in submitting an application.
NOTE: This calculator is only for estimation purposes and to always get an accurate quotation, you should contact Standard Bank.
Final Thoughts
Standard Bank has been around for over 155 years. In addition, they are one of the leading banks in South Africa.
If you are looking for a personal loan you can look at Standard Bank Loans with confidence.
Why do we say this? The operation of banks in South Africa is regulated and you can expect to be treated fairly.
Standard Bank Contact Details
If you wish to get more information, or submit an application, you can contact Standard Bank directly using the details below.
Website: www.standardbank.co.za
Telephone: 0860 123 000
Email: information@standardbank.co.za
Physical Address
5 Simmonds Street,
Selby, Johannesburg,
2001
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