It is true that the banking industry in South Africa has suffered a major blow, but this has not affected the availability of personal loans greatly. Borrowers have lots of opportunities. Another fact is that they can use various ways for lowering the interest rate which they have to pay.
Check out the most effective methods you can use.
Give your borrowing credibility a boost
Try to repay past debt and to pay your bills and especially your credit card bills on time every month. Having a job with secured income is also beneficial.
The longer you have been on the job the better. If you are more trustworthy, you will definitely get lower interest.
Comparison shopping is perhaps the most effective method for getting a lower interest rate on personal loans. The key to success is to compare online loans from all leading banks such as FNB, African Bank and Absa Bank and from smaller local and national lenders. You can make the comparison online to save time and effort. Your task is to look for the loan with the lowest interest and lowest total cost as well.
Borrow more money to get a lower interest rate
Lenders offer lower interest rates on larger loans as this makes them more attractive while allowing them to enjoy considerable profit. Just don't let the lower interest fool you. When it is applied to a larger principal amount, the cost of the loan can still be high. That is why it makes sense to do the necessary calculations in advance.
Getting lower interest rate on personal loans is easy when you know what to do.