Three store cards, two short-term loans and a maxed credit card? A consolidation loan pays them all off and leaves you one fixed instalment. usually at a lower average rate.
Done right, consolidation is the cheapest money move available to overcommitted borrowers. Done wrong, it's a bigger hole with tidier edges.
Add your debts: store cards at 21%+ per year, short-term loans at 5% per month, a credit card at 20%+. your weighted average rate is probably brutal. A single consolidation loan at 18 to 24% replaces all of it. On R60,000 of mixed debt, the saving routinely exceeds R1,000 per month and tens of thousands over the remaining term. Run your own numbers below.
Consolidation fails upward when the paid-off accounts stay open. Six months later: the consolidation instalment plus a revived store card plus a new short-term loan. the exact situation, one layer deeper. The rule is mechanical: settle the old accounts, close or cut up the cards, leave one obligation standing. The loan clears the debt; only behaviour clears the pattern.
Apply for slightly more than the settlement totals (fees get you), get settlement letters from each creditor showing the exact clearing figures, pay them directly, and file the paid-up letters. Then redirect the old monthly payments. all of them. into the consolidation loan or, better, into the buffer that prevents round two.
Editorial ranking by approval odds, total cost and payout speed. *Same-day payout assumes a complete application before ~3pm on a business day.
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Fintech Group
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Add up balances, monthly fees and interest rates. Consolidation only wins if the new rate beats your weighted average.
A consolidation loan fails if the paid-off cards stay open and get reused. Cut them up once settled. the point is one obligation, not one plus temptations.
One payment, first in line after payday. Missed consolidation payments are doubly damaging because the whole plan rests on them.
All amounts in ZAR. Confirm final costs in your loan agreement before signing.
| Lender | Amount | Term | Rating | |
|---|---|---|---|---|
| Century | R500 to R8,000 | 5 to 180 days | ★★★★★ 4.8 | Get Offer |
| LendPlus | R500 to R4,000 | 5 to 35 days | ★★★★★ 4.7 | Get Offer |
| Primeloans | R500 to R4,000 | 5 to 35 days | ★★★★★ 4.6 | Get Offer |
| Creditbar | R500 to R5,000 | 7 to 45 days | ★★★★★ 4.6 | Get Offer |
| JabulaniMoney | R500 to R4,000 | Until payday | ★★★★☆ 4.5 | Get Offer |
| Cashgist | R500 to R4,000 | Short-term | ★★★★☆ 4.5 | Get Offer |
| Crediwise | R500 to R4,000 | 5 to 35 days | ★★★★☆ 4.4 | Get Offer |
| Letocredit | R500 to R150,000 | Varies by offer | ★★★★☆ 4.3 | Get Offer |
| CreditGenius | R500 to R350,000 | Up to 24 months | ★★★★☆ 4.2 | Get Offer |
The application triggers a check, but settling several accounts improves your utilisation and payment history over time. most consolidation borrowers see scores recover within months.
No. Under debt review new credit is illegal until you complete the process. Debt counsellors can restructure what you have instead.
Usually for store cards and short-term loans, which price near the legal caps. Do the maths: total remaining cost of current debts vs total repayment of the consolidation loan.
Our listed lenders cover roughly R5,000 to R350,000. Larger consolidations may need secured options through a bank. compare what you actually qualify for first.