How to Apply for Capitec Loan in South Africa

Capitec Bank stands out among South African banks for its exceptional services, particularly in the realm of loan services. What distinguishes Capitec Bank, making it a formidable player in the banking sector?

As a South African retail bank, Capitec Bank held the position of the second-largest retail bank in South Africa as of August 2017, boasting 120,000 new accounts opened monthly by customers.

The bank boasts a network of 850 retail branches nationwide, along with 3418 own or partnership ATMs, serving over 6.2 million customers. Within this customer base, 309,000 engage in online banking, and 3.5 million utilize mobile banking services.

Also read: Absa Personal Loan: How to Apply

Overview of Capitec Bank

In terms of financials, Capitec Bank’s asset base exceeded R53.9 billion in the 2015 financial year, with R11.6 billion in equity. Notably, retail savings deposits surged by 32 percent to R19.3 billion, and retail fixed savings grew by 19 percent to R10.7 billion. Earnings for the year amounted to R2.547 billion, compared to R2.017 billion in 2014, with net transaction fee income reaching R2.6 billion.

Capitec Bank’s flagship offering is the Global One account, a comprehensive transacting/savings account coupled with a credit facility. In terms of customer satisfaction, Capitec Bank earned the top spot in 2015 according to the South African Customer Satisfaction Index (SAcsi) with 82.2 points.

Moreover, it received international recognition, ranking as the world’s best bank by the International banking advisory group Lafferty in its Bank Quality Rankings.

By February 2017, more than 5.5 million Capitec clients were paying less than R50 per month in bank costs. The bank caters to both individuals and businesses, offering business banking services as well.

Its business model prioritizes value for customers through low costs, flexible payment options, and competitive interest rates on deposits.

Also read: Finchoice Loan Application Online: how to Apply

How to Apply for a Capitec Bank Loan

To apply for a loan with Capitec Bank, you have several options available. You can apply online through our website or using our mobile app. Alternatively, you can reach out to us by calling 0860 66 77 89 or by visiting one of our branches in person.

When applying, you’ll need to have certain documents ready. These include your original ID document, which must show that you are 18 years of age or older, your latest salary slip, and a bank statement reflecting your latest three consecutive salary deposits if your salary is not deposited into your Capitec account.

The offer you receive will be based on your affordability and credit profile, taking into account factors such as your banking and credit history, as well as your income and expenses, to determine how much you can afford. You have the flexibility to choose the credit amount you want and select a monthly installment that fits your cash flow or opt for the option that offers the best interest rate.

Also read: Why is my KCB Mpesa Loan Limit Zero?

Capitec Loan Interest Rates

Credit Interest Rates and Fees:
Compare our access facility, term loan, and credit card interest rates and fees to find the credit solution that’s right for you. Effective as of August 21, 2023.

For term loans, the interest rates and fees vary based on the loan amount and term duration. Here are some examples:

• Loan Amount:
• R25,000
• R50,000
• R100,000
• R500,000
• Term (Months):
• 12
• 24
• 48
• 84
• Interest Rate (%):
• R25,000: 13.75%–29.25%
• R50,000: 13.75%–29.25%
• R100,000: 15.30% – 29.25%
• 00,000: 16.25% – 24.75%

Additionally, there are fees such as credit life insurance, monthly service fees, and once-off initiation fees associated with these loans. The monthly repayment and total repayment amounts also vary depending on the loan amount and term.

Please note that these examples are provided to give you an idea, and you can choose any term for your loan, up to 84 months, to make your monthly repayments more manageable. Your actual credit amount and credit interest rate will be determined based on your individual credit profile and affordability.

Credit Card Rates and Fees:
For credit cards, there’s an initiation fee (once-off) and a monthly fee. The interest rate is based on your credit profile.

• Initiation Fee: R100 (Once-off)
• Monthly Fee: R50
• Interest Rate: 11.75%–22.25% (based on your credit profile)

Access Facility Rates and Fees:
The access facility includes an initiation fee, monthly fee, and interest rate, again based on your credit profile.

• Initiation Fee: Up to R1,207.50 (Once-off)
• Monthly Fee: R69 (R0 without an active balance owing)
• Interest Rate: 13.75%–22.25% (based on your credit profile)

Frequently Asked Questions (FAQ) about Capitec Bank and its Services

What is Capitec Bank known for?

Capitec Bank is renowned for its exceptional services, particularly in the realm of loan services, offering competitive interest rates and fees.

How can I apply for a loan with Capitec Bank?

You can apply for a loan online through their website or mobile app, by calling 0860 66 77 89, or by visiting a branch in person.

What documents do I need to apply for a loan?

You’ll need your original ID document (must be 18 years or older), your latest salary slip, and a bank statement showing your latest three consecutive salary deposits if your salary is not deposited into your Capitec account.

What factors determine my loan offer from Capitec Bank?

Your loan offer is based on your affordability, credit profile, banking and credit history, income, and expenses.

What loan options are available at Capitec Bank?

Capitec Bank offers term loans, access facilities, and credit cards, each with varying interest rates, fees, and repayment terms.

Can I customize my loan term and repayment amounts?

Yes, you can choose any term for your loan (up to 84 months) to make your monthly repayments more affordable. You also have the flexibility to choose the credit amount and monthly installment that suit your needs.

What are the fees associated with Capitec Bank’s loan products?

Fees include initiation fees, monthly service fees, credit life insurance fees, and other applicable charges based on the type and amount of the loan.

How does Capitec Bank ensure customer satisfaction?

Capitec Bank has received accolades for its high customer satisfaction ratings, offering quality services and competitive products to meet customer needs.

What are the interest rates for Capitec Bank’s credit card and access facility?

The interest rates for credit cards and access facilities vary based on your credit profile and are competitive compared to other financial institutions.

Where can I find more information about Capitec Bank’s services?

You can visit Capitec Bank’s official website, contact their customer service, or visit a branch for detailed information about their services, fees, and terms.

Conclusion

In conclusion, Capitec Bank stands out as a leading financial institution in South Africa, offering a range of innovative and customer-centric services.

From competitive loan options to transparent fee structures and a commitment to customer satisfaction, Capitec Bank has established itself as a trusted partner for individuals and businesses alike.

Whether you’re looking for a loan with flexible terms, a credit card with competitive rates, or convenient banking solutions, Capitec Bank strives to meet your financial needs effectively.

With a focus on affordability, transparency, and quality service, Capitec Bank continues to set a high standard in the banking industry, making it a preferred choice for many customers seeking reliable financial solutions.

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