Credit & Debt

Best Personal Loans South Africa: Top 7 Low-Interest Loans

Personal Loans are unsecured cash loans ranging from R8,000 to R250,000 which are repaid over a short to long term period of 3 to 60 months.

Find the lowest interest rate personal loan for you in our comparison of SA’s best personal loan companies. NCR licensed credit providers only.

Best Low-Interest Personal Loans

1. RCS

RCS recognise that their customers need extra cash for those unexpected expenses that crop up all the time. Whether you need a personal loan for car repairs, the wedding of your dreams, or to consolidate all of your store credit debt into one easy monthly payment, you can trust RCS to make it possible for you.


  • RCS interest rates never exceed the maximum prescribed by the NCA (27.25%)
  • RCS is a registered, recognised Credit and Financial Services Provider
  • They offer you a call back service option once you qualify for a loan

We appreciate how RCS explain taking out a personal loan with them in a straightforward and transparent fashion. They provide you with a representative example loan amount. Say if you borrow R7500 over 24 months, at an annual interest rate of 27. 25% with an initiation fee that is charged upfront of R936, and monthly service fee of R69. The total amount repayable is R13 286 over 2 years. Your monthly instalments will be R554.

What We Like About RCS Loans:

  • Cash loans from R2000 – R250 000
  • Quick and easy paperless process for applicants
  • You get a decision in seconds
  • You get you cash into the account of your choice within 24 hours
  • They offer you flexible length of time repayment options between 1 – 5 years
  • Receive a monthly statement by SMS or email
  • Customer Protection Insurance available
  • Low interest rates, if you qualify, of 15%

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2. FinChoice

FinChoice cover payday loans with their Kwik Advance financial loan package. If you want a personal loan, they can lend up to R40 000 in a Flexi-Loan option. FinChoice suggest that you start your loan relationship with them by taking out a flexi-loan amount of R8000. You must have South African ID, a bank account where they can deposit the money, and proof of income. You have 6 months to pay back the loan amount, and when you complete repayment, you can qualify for larger loan amounts in the future.


  • Initial personal loan amount of R8000 with over 6 months to repay is very accessible to first time borrowers
  • Finchoice self-service function allows you to safely manage and access your money at any time by using a mobile device or computer
  • Advice for anyone who has to skip a payment
  • Funds transferred into your account within 24 hours.

FinChoice offer a very accessible first time loan service for anyone who seeks to establish themselves in the personal loan environment. Their website is helpful and contains only transparent advice with no hidden clauses. The FAQ section is especially supportive and only uses language that anyone can understand.

What We Like About FinChoice

  • FinChoice Personal Loan Protection can cover you in case of disability, death, or loss of job
  • Mobi account where you can upload your documents and become an existing customer
  • Advice on how to send your bank account statements
  • FinChoice Kwik-Serve allows you to interact with you Mobi account without using data

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3. Bayport

Bayport have a very user-friendly website. It contains a sliding scale with the amounts of how much you need to loan: R1000 to R250 000, and how long with which you feel comfortable repaying it: 6 months to 7 years. Immediately after the sliding scales is an information graphic containing a personal loan breakdown, for example: R250 000 repaid over 62 months (slightly over 5 years) has a monthly repayment amount of approximately R8000.


  • Up to 7 years to repay if you qualify for those terms and conditions
  • BAYPORT employee financial wellness solutions
  • Commitment to providing an increasingly vibrant South African unsecured credit market
  • Support to anyone who wants to shape their own economic and financial destiny

BAYPORT have one of the most outstanding, easy to use personal loan websites around. They need you to provide a copy of your South African ID, copy of your most recent payslip and monthly bank statement, and current proof of residence, and they will have an answer for you within a few minutes. Anyone who doesn’t have access to a device can find a BAYPORT branch near them.

What We Like About BAYPORT:

  • BAYPORT financial wellness solutions program offers help to anyone wanting to lower their debt
  • Holistic, long term financial solutions to ensure you stay out of future financial distress
  • Hyper-awareness about fraud and scams
  • Free credit health report with your application

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4. DirectAxis

The DirectAxis website is uncomplicated and clean. You can immediately find out if you qualify by entering your name, ID, cell phone number, and monthly gross income into the contact form information box. Once you have understood and accepted the loan application conditions (available in English, Afrikaans, Zulu, Sesotho, and Xhosa), you can apply and wait for the callback.


  • Your regular monthly income need only be at least R5000
  • DirectAxis is an authorised Financial Service Provider
  • They support responsible lending with loans subject to the South African National Credit Act (2005)
  • Has a great track record of providing loans to South Africans for over 20 years

Offering several ways for someone to apply for a personal loan: online form, calling the DirectAxis call centre, open Monday to Sunday from 8 a.m. to 8 p.m. or you can also SMS them your name and ID number (calls and texts may cost you standard call rates), DirectAxis have made it convenient for you to make a loan enquiry in the way you prefer. Make sure the information you provide them is correct from the beginning, as they ask for document proof later on in the application process.

What We Like About DirectAxis:

  • Secure application process enables you to complete the process online
  • Repayments are fixed at the current DirectAxis interest rate for the full-term of your loan, and never go up
  • Choose repayments from 2 to 6 years
  • Call back feedback is given to you quickly
  • Money can be deposited into your bank account within 48 hours

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5. Izwe Loans

Izwe promise to give you flexible personal loans on your terms. Their website also houses a convenient sliding scale that enables you to choose your personal loan amount: anywhere from R1000 to R250 000. The sliding scale allows you to see immediately what your monthly repayment instalments will be as well. R1000 loan over 12 months is R178 per month to repay; R250 000 repaid over 5 years is R8743 per month, etc. This is a super-helpful feature for a lender to offer potential customers as it enables them to know exactly what repayments will be.


  • Izwe’s website sliding scales
  • Easy to navigate loan repayment information
  • Flexible repayment schedule
  • Wide range of loan amounts

The choice between choosing the instalment amount with which you feel comfortable paying each month or the loan amount you need with instant access to seeing what monthly instalments will be, the Izwe easy to use website puts bigger, mightier lenders’ websites to shame. Choose how much you can pay back every month – for example R1028 – and instantly you see what loan amount you can get (R8000 to R20 000) and the length of time you have to pay it back (12 to 36 months).

What We Like About Izwe:

  • Website sliding scale that allows you to calculate your monthly loan repayments
  • Same day approval
  • Paperless application process
  • Easy to fill in online form

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6. Sanlam Personal Loans

Sanlam’s personal loan website page gets straight to the point with an offer of loans up to R200 000 at fixed interest rate. They understand that many South Africans require loans for unexpected medical fees, car breakdowns, or to fund a project. Their fixed-rate loans are set according to your specific needs and circumstances. They aim to never lend anyone more money than what they can comfortably repay.


  • Website contains handy loan calculator
  • Interest rates range from 15 to 26.25% according to your credit rating
  • Sanlam website graphic showing on what customers use their loans (19% on debt consolidation; 26% on home improvements; 16% on education)
  • Cash back option on your loan (R20 000 or 20% cashback)

When you decide to apply for a Sanlam personal loan, a group of consultants determine what will be your fixed interest rate and initiation fee after looking at you risk profile. This is because Sanlam don’t ask for collateral before granting you the loan amount. For example, the initiation fee on a R50 000 loan is R1207 and they charge a monthly admin fee of R69 over and above what your bank DebiCheck charges are. So, loan terms and conditions vary from customer to customer.

What We Like About Sanlam:

  • You can see if you qualify online or apply over the phone
  • Loan amounts of R5000 to R200 000
  • You can tailor the repayment time from 2 to 6 years
  • If you qualify as a Sanlam Reality member, you could get up to 20% of your loan repayment amount back once you have made 12 consecutive monthly repayments.

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7. Capitec

The Capitec website offer personal loans under their Personal Credit page. They call it an easy way to get credit, and give you information on how to go about getting an estimate online or using their banking app. You can apply for loans of up to R250 000 in this way. You get a personally tailored offer that is based on what you can afford to repay.


  • You can get an online credit estimate, to help you see for how much credit you qualify
  • You can also apply for credit as a business owner
  • You only need your latest salary slip
  • Credit insurance required for loan repayment schedules longer than 7 months

Capitec give a lot of thought and consideration to how South Africans can save on paying extra fees and interest rates. When you apply online, using the Capitec app, call their phone line, or visiting your nearest branch, they will make you a loan offer based on what you can afford plus your credit profile. They promise to make you the best offer after looking at all of your information.

What We Like About Capitec:

  • You can choose the amount you want
  • You can choose the lowest monthly instalment or the lowest interest rate (starting at 12.9%) based on your credit rating
  • Up to R250 000 repaid over up to 7 years
  • Credit is approved in minutes

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How to Choose the Best Personal Loan for You

Loans are needed for several reasons. Either you need to consolidate many small debts (such as credit cards and store accounts) into one monthly payment at a lower interest rate, you have run into an unexpected expense, or you want to accomplish something personal, such as visit overseas or make improvements on your home.

In the case of unforeseen expenses, you will need the lender to provide you with credit at an acceptable rate of interest and fees. If you are using the loan to consolidate debts, it only really makes sense for you to do it if the interest rates and fees are less than the ones you have currently.

This is why loans for debt consolidation, and also when a loan is used as an alternative to paying for something with a credit card, have to be double checked to ensure they are a cheaper, better alternative.

Personal Loan Interest Rates : This should be the first thing you look at before signing for a loan. It’s this figure in combination with how long you take to repay the loan, that determines how much accumulated interest you pay over the loan’s lifetime.

How Do I Get the Lowest Interest Rates? : This depends on your credit rating/risk profile and which lender you choose. The more risk you pose for the lender (the lower your credit rating) the higher the interest rate will be on your loan. If you have a bad credit score, there are ways you can go about improving it. Talk to your bank to see how to make it better.

What Are Personal Loan Fees And Charges? : A loan always involves a monthly administration fee added on to the monthly repayment amount you pay back. Additionally, some loans are subject to other hidden costs, and some lenders charge higher fees than others. In order to keep interest rates low enough to attract borrowers, some lenders charge substantial fees to plump up their bottom line.

This costs them nothing, and can add up to a large amount that you end up paying over the loan time. Be sure to calculate these hidden fees and costs into the final amount that you end up repaying. The lenders on our list offer total transparency to all their included fees and loan costs.

Why is a Personal Loan Repayment Period Important? : Choosing to repay a loan over a longer period of time might seem a very attractive option. The monthly amounts seem smaller and insignificant. You must be aware, however, that longer loan terms incur more monthly fees and a greater amount of interest. Always choose a loan amount that you can easily pay back in the shortest time. You might have to pay a bit more every month, but in the end you will save on costs.

Flexibility on Your Personal Loan : On top of your chosen repayment period, interest rate, and fees, you should check your loan’s repayment flexibility. You might want to pay back your loan sooner, say when your bonus or thirteenth check comes in. Never choose a lender who refuses you the chance to pay off your loan sooner. Ask if your contract binds you to the stipulated loan period, and if it does, you will know that the lender only wants to get as much money in fees out of you as possible.

What Are the Consequence of Missing a Loan Repayment? : It is a sad fact in South Africa, and the rest of the world, that situations can arise that make it difficult for you to pay your loan for one month or even have to pay late. This is when you have to approach your lender and ask to have your personal loan restructured. Never wait for the debit order to bounce, but call the lender’s helpline customer service and discuss your options.

Make Sure Your Lender Has Good Customer Service : Stay away from lenders who don’t have a help line phone number or online service that answers you during office hours. This is essential for any South African who doesn’t have access to transport to the nearest branch where their loan is held.

Personal loans are there to make life just that little bit easier. It can be a better option than running up credit cards or applying for an overdraft. Give your chosen lender a call today, and see whether the rates they offer are suitable for you.