Millions of South Africans access needed funding in the form of loans. These loans take a variety of different forms.
The requirements you have to meet to borrow funds will depend on the type and source of loan you aim to secure.
At lamna, we offer asset-based loans. In other words, you supply an asset you own as collateral. We offer a loan amount based on the value of the asset. Once the loan and agreed interest are repaid, the asset is returned to you.
To get an asset-based loan from lamna, you’ll need:
You don’t need to be currently employed or to have a particular credit score, and there’s no time-consuming application process.
Banks are traditional lenders. They’re highly regulated (at least in theory!) and offer loans for a range of purposes, from small short-term loans to home loans.
Most bank loans are unsecured loans. This means that you don’t have to offer collateral to back the loans – although if you default on a bank loan, your property and possessions may be at risk.
A down side of bank loans is that they can be difficult and time-consuming to get. If you don’t have stable employment and a healthy credit score, among other things, you may not qualify for a loan.
Personal bank loans are a popular means of paying for unexpected emergencies, consolidating debt and accessing needed funds for big ticket items.
Here’s what you typically need to get a personal loan from a bank:
In some cases, you’ll be able to access a bank loan if you have a bad credit score, but you’ll generally be offered a lower amount at a higher interest rate.
You might seek a business loan from a bank to raise capital to fund business growth, acquire assets or finance business-related expenditure. Because business loans are typically higher value loans than personal loans, there are more qualifying criteria to satisfy.
To qualify for a business loan from a bank in South Africa, you’ll need to have:
A bank overdraft is a convenient hedge against unexpected expenses. It’s a revolving credit facility linked to your current account that enables instant access to funds, if and when you need them.
As for all bank loans, you have to prove you have the financial wherewithal to repay the money. This means the bank will conduct a personal risk and affordability assessment.
To qualify for a bank overdraft, you also have to:
Thousands of lenders in South Africa offer payday loans. These lenders range from relatively stable institutions to shady con artists – so it’s vital to be cautious. Find out more about the potential dangers of payday loans before going ahead.
Requirements for getting a payday loan will vary from one loan provider to another. In general though, you’ll need:
Some payday loan providers may also conduct credit checks and require details of your monthly expenses.
At lamna, we offer fast, discreet loans against the value of a wide range of assets, from luxury watches and jewellery to vehicles or artwork. To use an asset to secure a short-term loan, contact us on 086 111 2866 or simply complete and submit our online application form.
Source: Funding Lamma
wordpress theme by initheme.com