Loan Calculators
Calculate repayments for different types of loans, including home loans, vehicle finance, and personal loans.
Your Home Loan Calculation
Based on current SA interest rates
| Year | Payment | Principal | Interest | Balance |
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Smart Home Loan Tips
Make your home loan work harder for you with these South African-specific tips:
- Higher deposit: Aim for at least 10-20% deposit to secure better interest rates and reduce monthly payments.
- Bond originator: Consider using a bond originator who can negotiate better rates across multiple banks.
- Extra payments: Even R500 extra monthly can save hundreds of thousands in interest and reduce your loan term by years.
- Rate negotiations: You can renegotiate your interest rate every 12-24 months, especially if your credit score has improved.
Your Vehicle Finance Calculation
Estimate your monthly car payments
Vehicle Finance Tips
Tips for vehicle finance in South Africa:
- Consider the total cost, including insurance and maintenance.
- A larger deposit reduces your loan amount and monthly payments.
- Shorter loan terms mean higher monthly payments but less total interest.
- Understand balloon payments and their impact on the final cost.
Your Personal Loan Calculation
Estimate your monthly payments
Total Repayment Breakdown
Personal Loan Tips
Tips for personal loans in South Africa:
- Compare interest rates and fees from different lenders.
- Only borrow what you need and can comfortably repay.
- Understand the total cost of the loan over its term.
- Avoid taking out personal loans for non-essential purchases.
Frequently Asked Questions
Common questions about loans in South Africa
What is the difference between a secured and unsecured loan?
A secured loan requires you to pledge an asset (like a house or car) as collateral. If you fail to repay the loan, the lender can seize the asset. Secured loans typically have lower interest rates because they are less risky for the lender (e.g., Home Loans, Vehicle Finance). An unsecured loan does not require collateral and is based solely on your creditworthiness. These typically have higher interest rates due to the increased risk for the lender (e.g., Personal Loans).
How does my credit score affect my loan application?
Your credit score is a crucial factor. A higher credit score indicates a lower risk to lenders, making you more likely to be approved for a loan and potentially qualifying you for a lower interest rate. A lower score might result in rejection or a higher interest rate.
What is the prime interest rate in South Africa?
The prime interest rate is the benchmark rate at which banks lend money to their most creditworthy customers. It is influenced by the South African Reserve Bank's repo rate. Many variable-rate loans, like home loans and some vehicle finance, are linked to the prime rate (e.g., prime + 1%). Changes in the prime rate directly impact the monthly repayments on these loans.
What is a balloon payment in vehicle finance?
A balloon payment is a lump sum that is due at the end of a vehicle finance loan term. Including a balloon payment reduces your monthly installments during the loan period but means you will owe a significant amount at the end. You will typically need to pay this amount in full, refinance it, or trade in the vehicle.