Personal loans are increasingly growing in the financial market, as people turn to them to pay off their debts or even to fulfill dreams they don’t have enough money for. The issue is that no matter what the money will be used for, it is being increasingly requested.

And we know that when it comes to personal loans, there are many offered in the financial market, but how to choose among so many? This is a very common question among those who want to apply, so in this text, we will present the best personal loans in South Africa in 2023 so that you can make your choice.

The best personal loan

As mentioned, we will list for you the best personal loans currently available in the market so that we can assist you in making your choice when it comes to closing the contract.

LightStream Personal Loans

LightStream is an online lending company associated with SunTrust Bank, offering low-interest loans with flexible terms. However, these loans are intended for individuals with good credit or higher. They provide loans for all purposes, except for small businesses and higher education loans.

If you apply on a business day, you may receive your funds on the same day. To do so, you need to accept the loan terms, sign electronically, and verify that your banking information is correct. This allows you to receive your money quickly and easily.

One advantage that this company offers is that the APR (Annual Percentage Rate) is fixed, meaning your installments remain the same throughout the entire life of your loan. This provides a way for you to better organize your finances and fit it into your expenses. Additionally, LightStream does not charge origination fees, administrative fees, or prepayment penalties.

Happy Money Personal Loan

This loan has a higher minimum amount to be requested compared to others, making it ideal for paying off your debts, such as credit card debt. This way, you can settle what you owe and make loan payments at lower interest rates than those of a credit card.

However, one thing you need to know is that this loan is specifically for debt consolidation. The company aims to help you get out of debt while allowing you to pay a low interest rate.

Loan amounts range from R 5,000 to R 40,000, with repayment terms spanning from 24 to 60 months. Despite the low interest rates, this loan does have an origination fee, and the better your credit score, the lower the interest rate you will pay.

An advantage of taking out a Happy Money loan is that you have the option to make a direct deposit into the creditor’s account, allowing you to pay off your debt in one go. Additionally, Happy Money provides financial education tools to support you in improving your financial relationship.

SoFi Personal Loan

SoFi began with student loan financing, but the company has expanded and now offers personal loans ranging from $5,000 to $100,000. It’s ideal for individuals with high-interest debts who want to refinance with lower interest rates. With this loan, you can pay off your existing debt and make payments on the new loan at lower interest rates.

One unique feature of this loan compared to others is that you can choose whether you want the APR (Annual Percentage Rate) to be fixed or variable. If you opt for the variable option, the rates may decrease in some months, allowing you to pay less, or they could also increase, causing you to pay more.

PenFed Personal Loan

PenFed is a federal credit union that offers loans to a broad audience, which can be used for debt payment, medical expenses, home improvement, and even vehicle financing. The minimum loan amount you can obtain through PenFed is $600.

They offer a repayment term option ranging from 1 year to 5 years. However, one drawback is that the way you receive the loan funds is by check, which you would need to pick up at the branch. So, if there isn’t a branch nearby, it could be a problem as you might have to pay a fee to have the check delivered to your home.

And here are just a few of the best personal loans available in South Africa. If any of them have caught your interest, simply click on the “Apply here” button, and you will be directed to the company’s website.