Short-term loans, otherwise called short-term cash loans, fast loans, short-term loans online, and easy loans, are a convenient and private way to access money when you need it most. Short-term loans match those seeking money with prospective lenders.
Meeting all requirements and qualifying for a short-term loan relies upon many components, including, yet not restricted to, a credit rating assessment, your affordability, and also your employment status.
Short-term loans have become exceptionally popular in South Africa. Many consumers use it for the most part for emergency costs like breakdown expenses, medical expenses, and various other bills. Short-term loans can assist you with finding your way through a short-term financial crisis.
There are many short-term loans available to you in South Africa. Take a look:
- Payday Loan – This is the most well-known type of short-term loan. It is only intended to hold you over until your next payday. That said, these payday loans get paid along with costs in a single lump-sum installment on your payday.
- Short-term cash loans – This type of short-term loan allows you to repay it over 3, 4, 5, or 6 installments every month. You don’t need to make a single lump-sum installment on your payday. You can repay the loan in equal monthly installments.
- Short-term bank overdraft – This short-term loan is a bank overdraft that you have to settle in full on your payday, and afterward, you can use it again. That said, you can avoid the cycle of an overdraft by simply spending less money every month.
- Check your credit risk profile – The best thing to do is to begin by checking your credit report. That will allow you to see if moneylenders are likely to consider your application or not. Keep in mind that the higher your credit score is, the better your chances are of getting the loan. If your credit score is not exactly great, there is still a possibility that you can still be approved for your short-term loan.
- Apply online – Take your time to do some research before shopping around for a loan. Most banks have an online portal that allows you to apply for a loan. Do your research and keep an eye out for a trustworthy enlisted credit supplier. Also, be sure to check the credit providers’ criteria to ensure that you qualify.
- Get your records together – Once you get a Pre-Approval, your documents will need to be submitted, like your ID, bank statement, and your latest payslip. You can submit your documents via email and wait for your assessment.
- Wait to get approved – When it comes to short-term loans, the average waiting period isn’t long. Most short-term credit providers will endorse a loan application the same day that the proper documents are submitted. When you get approved and acknowledge the terms of your loan, you will receive your loan. It gets sent to your bank account.
- You must be permanently employed for no less than six consecutive months at the same company.
- You must be a South African Citizen.
- Your Application will undergo a Credit Check and Affordability evaluation, and credit providers require whatever other check per the NCR(National Credit Regulator).
- You need to be receiving your salary in a valid South African Bank Account, which is in your name, as the candidate.
- You must be older than 18 years but younger than 60.
- You will not qualify for a short-term loan if you are under debt review, administration, or sequestration.
- You must be able to scan and also email the necessary documents to your credit provider when requested.
- You must be able to afford the cost of the loan installment. This implies that your income and expenses will be checked.