What is a payday loan?
In South Africa, most payday loans have a repayment period of around 30 days to 3 months. A payday cash loan is a small short term loan, that the borrower payback, in one lump sum payment, on their next salary date.
Payday loans, are only meant to tide you over till your next pay date. However, some lenders may offer longer or shorter repayment periods. It’s important to understand the repayment period and make sure that you will be able to repay the loan within that time frame.
Payday loans can be useful for borrowers who are in a pinch and need cash immediately but don’t qualify for a personal loan. However, our payday loans tend to have small loan limits.
What makes us different is that you do not need to use your lunch half-hour to apply and get the cash you need. You can apply with us from anywhere in South Africa as long as you have access to the internet and still get the money on the same day.
As a responsible lender, we want our clients to be sure they can afford to repay any credit without any negative impact on their financial position. That is why the payday loan service that we offer is limited to a maximum amount of R4000.
If you find you’re taking a loan to make ends meet every month, then maybe you should consider looking at your budget and try saving money instead of borrowing.
Can I get payday loans online?
Short-term cash loans or payday loans are typically for unexpected expenses or emergencies. In a situation like this, payday cash loans are good and can provide a much-needed credit line.
When it comes to a payday loan, you need to consider taking out the loan for the right reasons. Top of your list should be whether you will be able to repay the monthly installments. It is all about making responsible borrowing decisions.
Applying for a payday loan online is the quickest way to get the loan process started. You will receive a fast decision. The advantage of applying for a payday loan online is that you do not need to make an appointment for a face to face meeting at your bank, all you do is fill in our 5-minute application form.
Should you require a larger loan amount you can look at some of our other loan options Short term loans, online loans, personal loans
With the right credentials and the correct documents to make sure your details check out, you can have a bit in your account in a couple of hours.
Will a payday loan affect my credit score?
Normally, a payday loan will not damage your credit rating as long as you keep to your end and make sure that you repay the loan in full every month. Remember that any credit application can temporarily reduce your credit rating.
Always pay on the agreed date, as paying late can accrue extra cost. Use it for a short period, if your financial emergency is taking longer to resolve, consider taking out a personal loan.
We understand that your circumstance can change. For each repeat loan: We will base our decision on a new credit assessment, reserving our right to reject future applications even if you have been paying your loan on time.
Read more on the advantages of payday loans
How do you calculate the Cost of a Payday Loan?
Remember, interest is a percentage of the amount you borrow, and it’s usually charged daily for payday loans, meaning that the larger your loan, and the longer you have it for, the more interest you’ll pay.
A payday loan, will be repaid in full on your payday, so you will have to repay the full loan amount
plus Interest rate 0.16% per day or 5% per month for the first loan in a calendar year, or 0.10% per day (3% per month) for repeat loans in the same calendar year
plus an Initiation fee 16.5% of the first R 1000 lent + 10% of the loan amount over R 1000 (+VAT). Limited to the lesser of 15% of the loan amount (+VAT) or R994.75
plus Service fee R69/month, pro-rated for the first period
Fees (incl. 15% VAT) and interest are based on Chapter 5 regulations of NCA, no 34 of 2005.
How long does it take to get approved for a payday loan?
The approval time for a payday loan can vary depending on the lender. Some lenders offer instant approval online and a convenient repayment term, your loan will be paid to your account within 24 hours or less if you qualify. It is important to note that while no loans can be credited instantly as we adhere to the NCR affordability guidelines.
Is a Mr Cash Loans payday loan right for you?
- We offer small amounts to help you out till payday.
- No need for security.
- It is convenient and fast to apply.
- Once you have paid your loan in full, there are no extra months as this is a short term solution.
- That means that you can be out of our debt by month-end.
- Our service is fast and professional.
- No need for you to wait in any queue.
How to apply for a payday loan in South Africa
Applying for a payday loan in South Africa is a simple process. You can apply for a payday loan online through Mr Cash Loans
Here are the steps to apply for a payday loan:
- Choose the amount you need: Select the amount you want to borrow using the online loan calculator found HERE.
- Complete the application form: Fill in the required form fields and send your documents. The sooner the we receive your documents, the sooner your loan will be approved!
- Get your money: Once your loan is approved, cash will be paid directly into your account within 24 hours.
It is important to note that all loans are subject to approval and that you should carefully read the terms and conditions before applying for a loan.