Home credit loans can go a long way when it comes to renovating or investing in real estate. With this in mind, Capitec Bank launched a new home loan program a couple of months ago.
The first step to apply for this loan is to find the house you are looking to invest in. Once you have done that, it all comes down to calculating your costs using the Capitec affordability calculator.
This will inform you of all the potential fees, as well as the interest rate that you will be subjected to. You will be in control throughout the entire process, so let’s take a look to see if this option is right for you!
Fees and Interest
Much like with credit cards, the first and most essential thing when it comes to reviewing loans is to review how expensive it will potentially be. As we have just mentioned, the affordability calculator will allow you to calculate all the costs by inputting the value of the estate you are looking at, as well as your current income and all other required information.
Capitec Bank offers great flexibility, as you can be subjected to variable interest rates, as well as repayment terms for up to 3 years. If you are planning to pay the loan off over the course of 2 years, a much lower interest rate will be applied than if you take double that amount of that time.
For some, the calculations can be quite confusing. Thus, our personal recommendation is to take advantage of the financial consultant that you will be given once you have applied for the loan.
If you are not informed on all the fees and interest rates that you will pay when it comes to home loans, read here. The CareersPages is a very informative site not only when it comes to banking matters but also finances, in general.
How To Apply
The main thing that we were fascinated by was the ease of the application process. Keep in mind, though, that the steps are not the same for self-employed individuals when compared to permanently employed or government-employed individuals.
In the latter scenario, you can even get a discounted interest rate if you are a part of the Government Employee Housing Scheme.
If not, there will be a couple of things that you are going to have to prove in order to be eligible for the Capitec Bank home loan. Apart from the fact that you will need to prove that you are a South African citizen/permanent resident, you also need to submit salary slips and bank statements for the past 3 months.
Also, you will submit a marriage certificate if applicable, as well as proof that you have signed to purchase the house. Not only that, but when combined, you must have more than R2.5 million in terms of liabilities and assets.
Self Employed
When it comes to being self-employed, you will need to provide the last 6 months’ statements of your business, as well as your personal account. Additionally, it will be required for you to submit an SA document that proves your identity (the same with those who are permanently employed).
If you have all of this set and ready, then the application process is incredibly easy. All it comes down to is submitting the documents to info@capitechomeloans.co.za and waiting a couple of days after you get approved to receive the loan.
Features and Benefits
There is more than one way in which you can be subjected to a discounted interest rate. This goes a long way, especially if you would have a tough time repaying the representative interest rate that would usually be applied for the property that you are buying.
Also, the feature of the affordability calculator goes a long way in terms of ensuring that there aren’t any hidden fees that will surprise you.
Bank Contact Details
Luckily, even if you encounter some kind of payment issues or you want to find out more about how the interest rate calculations work, there are a couple of contact forms that will help you with this.
Physical Address: 1 Quantum Street, Techno Park, Stellenbosch, Western Cape, South Africa
Phone Number: 021 941 1377; 24 hours a day, 7 days a week
Fax: +27 21 941 0770; 24 hours a day, 7 days a week
WhatsApp: 067 418 9565; 24 hours a day, 7 days a week
Email: ClientCare@capitecbank.co.za
Summary
At the end of the day, it truly comes down to what you are currently looking for. For those of you in the process of buying a new estate, the Capitec Bank home loan can go a long way due to the flexible interest rate/fees, as well as the simple application process.
Note: There are risks involved when applying for and using credit. Consult the bank’s terms and conditions page for more information.
