Last Updated on November 5, 2023
Get attractive rates on an Absa loan starting at 18% per annum. Absa offers loans of up to R350 000 with flexible tenures of 12 to 84 months. Personalised Annual Percentage Interest Rate (APR) for a loan from Absa starting from a minimum of 13,75% per annum. This guide will show you how to apply for an Absa loan successfully in South Africa.
Absa offers personal, business, home, car, corporate and study loans to South Africans via its mobile banking app and online banking platform (Absa Online).
If you want to pay for your next year’s school fees upfront, take that dream holiday, improve your home or even buy your first home or kickstart your small business, then an Absa loan is a good choice.
For instance, when you register your home loan with Absa you Get R5 000 cash back from Absa Rewards. Deciding which type of Absa loan is suited to your needs will go a long way in making sure that you don’t overpay interest rates on your loan from Absa.
ABSA Loan Types
Here are the different types of loans Absa offers in South Africa:
Absa Personal Loan
Absa offers three types of personal loans:
- Personal Loan: Loans of up to R350 000 with flexible terms of up to 84 months.
- Express Loan: Exclusive to Absa customers. Need money and want to pay it back quickly? This is a short-term loan from R1 500 up to R8 000, with fixed repayment terms of up to 6 months.
- Instant Loan: Exclusive to Absa customers. Get quick cash anytime from R350 up to R8 000 immediately, at any Absa ATM, on Cellphone Banking or Absa Online.
Absa Home Loan
Whether you’re buying a home for the first time or building a home, an Absa Home loan can offer you 105% finance on your home to cover all costs.
The types of home loans that Absa offers include:
- Absa Home Loan
- Building Home Loan
- Loyalty Home loan (Selling your home and buying a new home)
- Beat load Shedding home loan (loans for powering your home)
To apply for ABSA home loan you must meet these requirements:
- Earn R25,400 or more as monthly income or be a first-time home buyer
- Identification document (temporary resident permit, SA ID, or foreign national passport)
- 3 months bank statements
- 6 months payslips (for full-time employees)
- Employment contract (for newly appointed individuals with no payslip)
- Personal bank statements showing declared income
ABSA Car Loan
With a loan from ABSA, you can get a used or new car that is insured. You can trade in your old car or get a new car. Whatever works for you and your pocket.
Here are the ABSA car loans available to South Africans:
- Instalment Sale Agreement (Own the Vehicle while paying it off)
- Islamic Vehicle Finance (Get the vehicle you want in a fully Shari’ah-compliant manner)
How to Apply for an ABSA Loan
You can apply for ABSA loan through:
- Website: https://www.absa.co.za/personal/loans/
- App: ABSA Mobile Banking app
- Phone: 0860 100 372
- E-mail: email@example.com
Here is a detailed step-by-step process for applying for an ABSA personal loan:
Choose Loan & Assess Your Eligibility
Before applying for an Absa personal loan, it’s essential to determine the type of loan that is most suitable for your needs and if you meet the eligibility criteria. Generally, the requirements include being a South African citizen or permanent resident, being at least 18 years old, having a regular source of income, and possessing a good credit history.
Gather Required Loan Documents
To support your loan application, you’ll need to provide some documents. These may include:
- ID Document: A copy of your South African ID or passport if you are a non-resident.
- Proof of Address: A recent utility bill or any other document showing your residential address.
- Proof of Income: Pay slips or bank statements as evidence of your regular income.
Calculate Loan Amount and Repayment Terms
Use Absa’s online loan calculator or visit an Absa bank branch to determine the loan amount you can afford and the suitable repayment terms. This will help you make an informed decision based on your financial capacity.
Submitting Absa Loan Application
After calculating loan repayment, you choose the loan amount of your choice and submit an application.
Wait for Loan Approval and Disbursement
After submitting your loan application, your documents and eligibility will be reviewed. The approval process may take a few minutes. If your application is successful, you’ll receive a loan offer outlining the loan amount, interest rate, and repayment terms.
After receiving a loan offer you’ll have to approve it. This shows you’re in agreement with the ABSA loan offer. Upon accepting the loan offer, the funds will be disbursed to your Absa account.
Ensure you understand the repayment schedule and make timely payments to avoid any penalties.
ABSA Loan Requirements
To apply for ABSA personal loan you must meet the following requirements.
- Be 18 years or more
- Earn an income of R1500 and above monthly.
- Have an account with ABSA where you receive your income monthly.
- Your ID card
- Proof of residence in South Africa
- 3 months’ payslips or bank statements
Getting Your ABSA Loan
Absa loans, both personal and home loans, provide valuable financial solutions for individuals seeking to fulfil their various needs and aspirations.
The application process for Absa loans is relatively straightforward, with multiple channels available to suit individual preferences.
By assessing eligibility, gathering the necessary documents, and carefully considering loan terms, applicants can increase their chances of a successful application.