Why Secure Loans are Beneficial for the Average South African

What makes secure loans the preferred loan option in South Africa? That is a fairly easy one for us to answer, as we are experts in the field. Secure loans are loans that have collateral attached. This means that you can take out a loan against your car, motorbike, bakkie, truck, or similar assets. Lenders are more confident that they will get their money and interest back as you will have handed over an asset that has a similar value to the amount that they have loaned you. That is how it benefits the lender, but what are the benefits for the loan applicant?

 

Here are a few:

  • The collateral used could allow you to loan a larger amount than you could loan from a bank.
  • Secure loans usually come with a lower interest rate than unsecured loans, as the lender takes a smaller risk.
  • Secure loans can be given to people who are blacklisted or unemployed, as the collateral can be sold to cover the cost of the loan if it cannot be repaid as agreed.
  • You don’t have to provide a reason for wanting a loan. Unsecured loans usually require a motivation and reason.
  • The more valuable your vehicle is, the more you will be able to loan. The total amount will be determined by the condition and overall cost of the vehicle.
  • The loan application period is much shorter, as there are no details to confirm or checks to do. At XCELSIOR, we can pay out loans in as little as just 45 minutes.

Now that you know a little more about why a secure loan is a great option, consider XCELSIOR. We offer loans to people who have collateral readily available. We only accept vehicles such as cars, trucks, bakkies, SUVs, LDVs, and jet skis as collateral, and we do place limit how much you can loan. Once your vehicle’s value is assessed, we can loan you up to 50% of its value. The minimum loan amount is R5 000 and the maximum is R500 000. We advise clients to request a loan amount that they can repay realistically.

XCELSIOR is not your average loan company. We put the needs of our customers first and we do everything we can to use discretion and ensure that our customers receive professional yet friendly service. Our storage facilities, where we keep your vehicle for the duration of your loan, are safe and secure, which should give you peace of mind. Our interest rates are low, and we keep our repayment terms simple. We don’t carry out any affordability assessments or do credit checks on our applicants, and we are always available to provide sound advice on the loan you wish to take out.

If you would like to learn more about secure loans and how you can apply for one, simply get in touch with us via email or telephone and one of our friendly consultants will assist you with the application process.