Interest rates on short term loans?

AirWolf

AirWolf

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Hi

What is the interest rate on short term loans like these days? I requested a quote from FNB and got the shock of my life --> 44% p.a.:eek:.

I thought the NCA was supposed to stop the financial institutions from ripping people off (in addition to stricter laws governing who can receive credit).

That really suck:sick:.
 
44%? That's not even legal ...

What loan? How short is short?
 
Last time I checked, the max interest rate on a short term loan was 60% p.a.
 
What a rip off!!!!

Wouldn't it be cheaper to just get an overdraft?
 
its called risk, thats why they will charge you an absured interest amount, too many defaulters
 
The woolworth personal loans are 26.5%

These are very very expensive debts, only get one if you really really need the money and try not to pay off credit cards with a personal loan -> quick sand.
 
Standard Bank offers personal loans as RCP - revolving credit plan - when you pay back 60% of the outstanding amount you can withdraw the balance again.
You can get it at prime - depending on your history.
 
Saule said:
Hi

What is the interest rate on short term loans like these days? I requested a quote from FNB and got the shock of my life --> 44% p.a.:eek:.

I thought the NCA was supposed to stop the financial institutions from ripping people off (in addition to stricter laws governing who can receive credit).

That really suck:sick:.
Click to expand...

Oh god what is this 44% P.A its too much yaar...
 
44% is really big amount... I guess this is very big amount.... There are many loan lenders who may provide for less amount... Check it out....
 
Hi Steve,

Yes, even I too checked it out and found that 44% interest is too high and many companies are providing personal loans for very less % of interest...
 
Mr M said:
Standard Bank offers personal loans as RCP - revolving credit plan - when you pay back 60% of the outstanding amount you can withdraw the balance again.
You can get it at prime - depending on your history.
Click to expand...

You can withdraw balance on RCP at 15% repaid - I know, I used to live on mine, and calculate how much I had to put in to get 15% so I could pull it out again.
 
Bernie said:
The woolworth personal loans are 26.5%

These are very very expensive debts, only get one if you really really need the money and try not to pay off credit cards with a personal loan -> quick sand.
Click to expand...

Agreed - we tried this last year and in 16 months have only paid off R4000 of our initial debt and the credit cards still exist, if you going to do something like this cut up your cards/close the account! "just in case" is a very bad reason and will be disastrous...
 
Hi Saule

You don't perhaps have a home loan with some extra money available? This is still your cheapest way of solving short-term cash flow problems, I think. Even if you're borrowing at prime (15.5%).
 
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