How Do I Qualify For a Short Term Loan?
Short term loans are among the most accessible loans available to South Africans. However, there are some basic requirements you’ll need to meet to be eligible to apply.
The base criteria is as follows:
- You must be a legal citizen of South Africa
- You must have regular, provable income
- You must be over 21 years old
What Is the Difference Between a Short Term and Long Term Loan?
The fundamental difference between short term and long term loans is the period in which borrowers are expected to repay. While most loans that are short term are paid back in months, long-term loans can have repayment periods of years.
Having longer-term loans can be helpful if you need to borrow amounts larger than R8000. It allows you to spread out your loan payments so the amounts due each month are usually smaller than with a shorter-term loan.
Still, the longer your loan period the more interest and fees your loan may be required to pay. Therefore, if the amount offered by a loan that carries a short term is adequate for your needs, it’s advisable to go for the short loan.