How do I Qualify for a Loan at FNB? Application Guide
Rent payments, utility bills, and college or university fees are some most prominent monthly expenses. In such a difficult time of inflation, most people are out of budget and find it challenging to fulfill their basic needs. Thanks to South Africa’s government that manages numerous loan facilities around the country through different banks.
One of the most prominent South African banks that provide loan facilities is the First National Bank, commonly known as FNB. It belongs to the Big Four banks of South Africa.
Additionally, it manages different loan facilities, including temporary loans, easy loans, and personal loans. If you are curious to know more about this bank, its loan facilities, and the application procedure for a loan, the following article is all you need.
About FNB (First National Bank)
As I mentioned earlier, FNB is one of the Big Four banks of South Africa. Apart from being a popular bank, FNB is also one of the oldest banks in the country.
One of the best parts about this bank is that it provides services in different countries apart from South Africa. Being one of the oldest banks in the nation, FNB manages numerous loan facilities.
First Select the Suitable Type of Loan at FNB
Temporary Loans
A temporary loan is also known as a short-term loan. Such loans are ideal for emergencies. One can take a loan from the bank in an emergency and repay it on his next payday.
Therefore, many people call a temporary loan an instant loan. Remember, only existing FNB customers are eligible for this loan.
The bank determines your loan amount by reviewing your application and your income. Additionally, the bank checks your credit history to accept your application.
Eligibility Criteria for a Temporary Loan at FNB
As I mentioned earlier, only existing FNB customers can apply for this loan. The following are the essential documents required for qualifying for a temporary loan at FNB.
- An applicant must have an existing FNB account.
- Applicant’s income must be between R3000 to R4000.
- Applicants must be 18 years old or above.
- An applicant must have a South African ID.
Personal Loans
In contrast to a temporary loan, a personal loan is a type of loan that does not require security. Furthermore, this type of loan has an interest rate that one has to pay the bank with his loan repayment.
A temporary loan is ideal for people who are short on their monthly budget due to some reason. On the contrary, a personal loan is ideal for big purchases and investments for new businesses.
A personal loan is one of the most prominent types of loans in many countries worldwide. Initially, I thought a personal loan does not have an interest rate, but I was wrong. A personal loan has a certain interest rate that one has to pay with his loan repayment, but this interest rate is not more than your income or budget.
Eligibility Criteria For A Personal Loan At FNB
The eligibility criteria for all loans at FNB are quite similar. To apply for a personal loan at FNB, you must fulfill the following requirements.
- Your age must be between 18 to 64 years old.
- You must have a South African ID.
- The bank must receive your monthly wage in your account.
- You must have a permanent job, or you should be self-employed.
- Self-employed individuals must show their source of income in the form of a bank statement.
In contrast to the temporary loan, you do not have to be an existing FNB customer for a personal loan. Simply put, a person who doesn’t have an FNB bank account can also apply for a personal loan at FNB.
All you need to do is show your last three months’ payments as a bank statement. Moreover, a self-employed applicant must show his bank statement for the last six months.
Benefits Of A Personal Loan
Personalized Interest Rate
As clear from its name, this loan offers a personalized interest rate. For a short-term loan, the maximum interest rate is up to 5%. On the other hand, the minimum interest rate for a long-term loan is 17%.
Fixed Repayments
Another benefit of a personal loan is that it enables you to repay a fixed amount every month for up to 60 months. In other words, this loan has a fixed amount of monthly installment.
No Penalty Fees
One of the reasons I loved getting a loan from FNB is that it does not charge you any penalty fees if you pay your loan early or an extra amount in your monthly installments.
Revolving Loan
A revolving loan is a type of loan that does not have a fixed number of payments. This type of loan differs from the personal loan because it does not have installment credit.
You can take the loan at any time and any day. Furthermore, a revolving loan has two payment methods.
In the first option, your payment amount is the money you spend. In contrast to the first option, the second option requires you to pay the exact amount every month.
One of the best parts about the revolving loan that I loved the most when applying for the loan is that it does not require you to apply for the loan again. In other words, you don’t need to apply for a loan every time you need money.
How Much Amount Do I Qualify For A Loan At FNB?
As I mentioned, your qualification for the loan at FNB depends on your eligibility criteria and credit history. When you apply for the loan, FNB reviews your application and verifies it.
The amount FNB pays you depends on your credit history and bank statements. Hence, you must have a good credit history to get your preferred loan amount.
How to Apply For A Loan At FNB?
The application procedure for a loan at FNB is quite simple and has two methods.
FNB Cellphone Banking
If you signed up for FNB smartphone banking, you can apply for a loan at FNB through your phone. If you have cellphone banking, you aren’t required to fill in any documents. Follow the following steps to apply for a loan through cellphone banking at FNB.
- Use the Sim card associated with your account and dial *120*321#.
- A screen appears on your phone, containing instructions for the further procedure.
- Follow the instructions on your phone and enter your FNB Mobile Banking PIN.
- The main menu appears on your screen.
- Choose “Get A Loan” and select the preferred loan type from the loan facility options.
- Read the rules and eligibility criteria for the application process.
- Read and accept the Terms And Conditions of the loan.
- Now, fill in the loan amount you need.
- Fill out your application form with the correct information.
- Recheck your application form and submit it.
- Upon confirmation, FNB sends you an SMS for your application’s verification.
FNB Online Banking
Another easiest method to apply for a loan at FNB is online banking. Online banking facility allows you to apply for a loan through the bank’s official website. Follow the following steps to apply for a loan through online banking at FNB.
- Open the bank’s official website and log in to your account.
- From the main menu, select “Loans”.
- Choose your preferred loan type from the drop-down menu.
- A new screen appears on your device, containing rules and eligibility criteria for the loan.
- Read the details and accept the Terms And Conditions.
- Once you accept the Terms And Conditions, you have to fill out the application form.
- Enter your required loan amount in the required field.
- Double-check your application and submit it for the verification process.
How Long Does FNB Take To Approve An Application?
Once an applicant submits his application, it undergoes the verification process. Upon verification, FNB takes around 10 business days to underwrite and approve your loan application.
FAQs
How long does it take to get approved for a loan from FNB?
Once you submit your loan application, it undergoes the verification process. FNB takes around 10 business days to verify and approve your loan application.
Which loan is easiest to qualify for at FNB?
FNB is one of the oldest banks in South Africa. It has numerous loan facilities to help people. All loans are quite easy to qualify for at FNB, but a temporary loan is the easiest one because it does not require much documentation. Furthermore, it has an easy repayment method to facilitate the applicant.
Does FNB offer instant loans?
Yes, one of the benefits of this bank is that it offers an instant loan facility. An instant loan is a short-term loan commonly known as a temporary loan. You can take this loan from FNB and use it for urgent situations.
What are the eligibility criteria for loan application at FNB?
The eligibility criteria for loan application at FNB are quite simple. An applicant’s age must be between 18 to 64 years. Furthermore, an applicant must have a permanent source of income and a South African ID.
How to apply for a loan at FNB?
The application process for a loan at FNB has two methods. You can apply for a loan through your phone number by dialing a code. In contrast, you can also apply for a loan through online banking on the bank’s website.
Finalizing
The above article contains detailed information on one of the oldest banks in South Africa. FNB manages different financial services, including loans. It offers different loan options to its customers.
You can apply for a loan at FNB using two methods. Apply online through your phone by dialing the given code.
In contrast, you can log in to your account on the bank’s website and fill out your application form. Further details regarding the bank are mentioned in the above article.
