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EC Finance Student loan Review 2022

EC Financial is a finance company based in the Western Cape. Student loans are among the various types of loans offered by the organization. Anyone in South Africa who makes a living can apply for EC Finance’s student loans. As you might assume, you’ll need to show proof of income, so you’ll need to be working or self-employed.

The EC Finance Student Loan can be used to pay for anything linked to your studies that requires funding. You’ll be able to pay for textbooks, tuition, and housing, among other things. The loan doesn’t take much time to apply for as it can be applied for online. The steps to completing an application for the loan take minutes. 

Any student in South Africa can benefit from an EC Finance loan, particularly those pursuing a university education. The loan is also available to postgraduate students. The loan can be used to fund a research program, which would be beneficial to people pursuing a master’s or doctoral degree.

Those who are full-time students and have no income can be nominated for a guarantor. The loan will be repaid with the help of a guarantor. Those studying part-time can also be financed if they are employed. 

Since the EC Finance Student Loan is a new product in South Africa, there is more to learn about it, such as the interest rate, the loan amount, and the repayment period. All of this is covered in greater depth further down.

EC Finance Student Loan Summary 

The EC Finance Student Loan is a student loan offered to South Africans who are employed  Students can borrow up to R120,000.00 through the student loan. The minimum amount of a student loan that can be applied for is R1000.00. Since the loan has a maximum repayment period of 60 months, this student loan is more affordable when a maximum repayment period is chosen.

The minimum interest rate on an EC Finance Student Loan is 32.10%. The EC Finance Student Loan has the highest interest rate in the industry, at 60% per year. The interest rate charged by EC Finance on their student loans is higher than the national average.

However, the interest charged can be justified by the maximum loan payback period available and the fact that the loan can be obtained in hours. Even if a student is “blacklisted,” that student can still apply for a student loan, which is why the interest rates are so high.

The EC Finance Student Loan can be obtained in as little as 6 hours once your application has been approved. The application process is simple and entirely online, with only a few clicks. To apply, go to the EC Finance website and fill out the application form.

The EC Finance student loan can be used to pay back unpaid fees, pay current tuition, purchase textbooks, pay rent, and more. The applicant’s decision on how to spend the loan is mostly up to them.

How the EC Finance Student Loan Work

The EC Finance Student Loan is a unique sort of student loan since it allows people with bad credit to apply for and receive funding. The loan is aimed at a segment of the market that has been overlooked by large banks. To apply for an EC Finance Student Loan, you must first fill out an application, which you can do online at the EC Finance website.

The application process is entirely online, and supporting documents can be emailed to a designated email address once an application has been submitted. The application process takes only a few minutes as there is only one page to fill out and submit. It will take hours to process the data submitted before an answer can be given.

To begin with the application, one must have a minimum salary of R1000.00. EC Finance will deposit money into the applicant’s account within 6 hours after the loan has been approved. If the loan is granted during the weekend, it may take longer than usual for the money to be sent out.

Since the student loan does not have a grace period, it must be repaid immediately when it is granted. Repayment can take anywhere from three to sixty months, depending on the loan account holder’s preference.

An interest rate of between 32.10% and 60% will apply to the loan. Since interest is personalised, one will be charged interest based on his or her profile. The loan will also have a monthly service fee of R57.00 per month, which is payable until the loan account is settled. 

Advantages of the EC Finance Student Loan 

  • Anyone who earns R1000.00 or more can apply for the loan.
  • Except for those clearly mentioned in the agreement, there are no additional expenses.
  • Students with poor credit might qualify for a student loan.
  • The loan can be used to cover nearly all of the costs associated with completing a college or university course.
  • The application is entirely online, making it simple and quick to fill out.
  • The loan amount can be disbursed in less than 6 hours from the time of approval.

Disadvantages of the EC Finance Student Loan 

  • The loan charges a very high-interest rate for any student loan in South Africa. 
  • The amount of the loan to be repaid can double if one chooses to repay the loan in 3 or more years. 

Requirements of the EC Finance Student Loan 

  • must have a monthly income of at least R1000.00.
  • At the time of application, you must be at least 18 years old.
  • A valid South African ID book or smart card is required.
  • At the time of application, you must have proof of residence that is no more than three months old.
  • Provide proof of income, such as a recent payslip and a three-month bank statement confirming salary deposits.

Conclusion 

The EC Finance Student Loan is a loan that is primarily created for people with bad credit, but it can also help people who have decent credit but no other options for financing. When compared to other financial institutions’ products, EC Finance’s interest rates are high, making the loan one of the least desirable for those with other financing options.

Lethabo Ntsoane

Lethabo Ntsoane holds a Bachelors Degree in Accounting from the University of South Africa. He is a Financial Product commentator at Rateweb. He is an expect financial product analyst with years of experience in reviewing products and offering commentary. Lethabo majors in financial news, reviews and financial tips. He can be contacted at [email protected]

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