Posted on June 12, 2021 by Staff Writer
Nedbank Personal Loan Summary
Nedbank personal loan is one easy way to finance premeditated and unexpected expenses. You can use the money to buy a second hand vehicle, pay tuition or cover any other expense.
Maximum amount that you can qualify for is R300,000.00. You will need to earn a minimum of R3500 to qualify for Nedbank personal loan.
Nedbank has some of the most sought after Personal Loans in South Africa. And if you are in need of Business loans it has that facility as well. However, in the interim we will dive deep into Nedbank’s personal loan offering.
Nedbank personal loan comes with protection cover. This cover will cover your loan debt in case of retrenchment, death and disability. Can take out an insurance elsewhere provided that the insurance can payoff your debt if disabled, retrenched or dead.
Nedbank personal loan benefits
- Loans available from R2 000 to R300 000
- Flexible repayment periods of 6 up to 72 months.
- Customised interest rate.
- Straightforward application process.
- Enquire about Nedbank Loan Insurance when you apply for your loan.
- Nedbank has created a Personal Loan Calculator to help calculate your specific loan requirements.
- Comes with a compulsory protection policy to cover against retrenchment, death and disability.
Nedbank personal loan comes with some competitive benefits. The loan start from R2000 to R300,000 and can be used for anything. The money can be used according to your needs but it must be repaid fully.
When taking out the Nedbank personal loan you need to ensure that repayments can be made without fail. With a debit order facility making repayments is easy and this creates timely repayments on loan.
You receive Customised interest rate on personal loan. This is dependent on your credit profile. With a great credit history you can score good interest rate on personal loan.
Nedbank personal loan protective insurance
Protection insurance benefits
- Can apply for a cover amount of up to R200,000.00 for death.
- Cover protects you up to a maximum of 60 months.
- Pays out on cancer diagnosis but excludes skin cancer.
- Pays for loss of sight on both eyes.
- Cover for people up to the age of 65.
Protection insurance exclusions
- Cannot claim cover if death was due to alcohol, narcotics and drug abuse. Or
- Wilful self-inflicted injury or suicide within the first 12 months. Or
- The use of nuclear, biological or chemical weapons, or radioactive contamination. Or
- Participation in criminal activities. Or
- Any preexisting conditions.
Nedbank protection insurance is a one way to secure your future loan repayments. Whether from retrenchment, death or disability. The future is unknown so if dead your family won’t have to pay your loan instead the, insurance pays.
When getting the protection insurance, it is wise to understand the insurance exclusions. The exclusions may affect your claim in the future. Be skeptical about them and ensure that you are on the right side.
Note that when taking out a Nedbank personal loan it is compulsory to get a protective insurance. Protection insurance can be either from Nedbank or any insurance provider. Should it not be Nedbank, the insurance provider must meet or match the Nedbank protection insurance cover.
- Be permanently employed or employed under a contract or be self-employed;
- Earn a net salary of at least R3 500 a month, with a minimum basic salary of R3 500 a month deposited electronically into your bank account;
- Have a valid barcoded South African identity document or smart card ID. And
- Your most recent payslip(s) for one month or your letter of employment if you are a contract worker. And
- Stamped bank statements for the last 3 months (reflecting your salary).
How to apply for Nedbank personal loan
- First get all the required documents. Have them scanned if you are applying online or physical copies if you are applying at a branch.
- Start your application online
- Visit your nearest Nedbank branch to start your application with a help of a consultant.
Using Nedbank Loan calculator
You can use the Nedbank personal loan calculator to calculate how much you can afford. However, the fastest way to estimate your monthly repayments will be to use Rateweb’s personal loan calculator. By simply inserting the loan amount you want you can get know how much you can repay. Currently the lowest interest rate you can get is 7,75% and the highest is 25.25%.
Loans can be repaid up to 72 months so repayments can be done before the 72 months maximum period. The Nedbank loan calculator breaks down payment period from 6 months to 72 months. With this you are able to choose the time period that suits your needs and you can plan ahead.
Interest on loan calculator can only be projected. Only will you be allotted interest rate when you have applied for a personal loan. Interest makes a lot of difference of your loan repayment. If the repayment period is long interest could be higher.
You need to have a good credit history in order to get a reduced interest rate. This is crucial if you will opt for a loan term that is longer. You can save thousands of Rands with a good credit history. Fixing your credit might be the best solution before applying for a personal loan. The difference of 7,75% to 25,25% is too high and cannot be ignored.
For example taking a loan R100,000.00 for 1 year period will cost you R118916.00 on a 25,25% interest rate. With a 7,75% interest rate you will repay only R107088.00 for the same period. The difference is R11,828.00 in 1 year. Getting a reduced amount will save you as much as R11,828.00.
Using the Nedbank personal loan calculator is good for planning. The calculator helps with comparing repayment amounts. This create an easy understanding of the loan to be taken and the obligations that come with it.
Nedbank Personal Loan competitive advantages
- Personalised interest rate.
- Compulsory protection insurance.
- Loan of up to R300,000.00.
- Can apply for the loan online.
- Personal loan calculator can be used on Nedbank website.
- Can apply for the loan using mobile app.
Nedbank Personal Loan competitive disadvantages
- Interest rates can be high.
- Insurance only cover specific incidents.
Getting all the necessary documents and other information is a great way to get started with your loan application. Prepare your payslips, bank statements and ID copy to fast track your application.
Make sure that you get hold of your credit profile before applying for the loan. This will help you in paying less interest rate, therefore, reducing your instalments. Also, make use of the personal loan calculator to make analysis and check your loan affordability.
Lastly, get a pre-approval before making the initial application. This will help you know how much you qualify for and help with budgeting.
Additional Links to check out: