Do you need a personal loan? Remember, as a member of Sanlam reality, you get up to 20% cash back if you pay your Sanlam Personal Loan over 12 months. There are different types of loans, such as business loans and home loans, all of which are intended for specific purposes. It is important that you are aware of your needs and if a personal credit is most appropriate for them. Terms and conditions for personal loan contracts are available in English and Afrikaans. Van der Walt: „Personal credit initiation fees are calculated on the basis of your loan. It is also important to ask your lender if they offer credit life insurance. Credit life insurance works as a form of insurance that ensures that your debts will be repaid if life occurs and you cannot afford to pay your monthly repayments. Credit agencies see regular loan repayments as a sign that you are a trusted borrower. And a personal credit can improve your credit score if you`re in line with refunds. „A private loan can be used for personal reasons and comes with a fixed interest rate and monthly repayments,“ says Van der Walt. While you can use a personal credit for anything (travel, tuition, renovations, etc.), „it`s important to borrow for something that appreciates value,“ suggests Van der Walt.
For example, taking out a personal loan for a leave of absence means that you haven`t invested in something that continues to gain value over time – so it`s not necessarily the best way to transfer debts. Conversely, your child`s education loan generally invests in his or her future ability to increase income – to invest in something that (hopefully!) will continue to generate a return on investment. As WealthsmithsTM, Sanlam encourages responsible credit. Thus, our customers use their credits to promote prosperity: life has passed and you have emptied the last piece of the piggy bank… Are you thinking of taking out a personal loan? Getting a personal loan is a big financial commitment, with implications for your creditworthiness. Like any other credit, if used properly, it can be beneficial, but if abused, it can leave you buried in debt.