How will the amnesty affect Blacklisted people?
Posted by financial advisor on
It is in the hands of the South African Parliament to decide whether the names of about 1.5 million South Africans will be removed from the credit blacklists. In this situation, it is natural to ask yourself whether the loans for blacklisted will undergo any changes. Let's find out.
The amnesty, if approved, will affect about a quarter of all blacklisted people. The percentage is not small so the demand for loans for blacklisted can be expected to fall somewhat. This may make the market for these financial products even more competitive. In this situation, the interest rates may undergo a small decline. The approval requirements may become even more flexible.
Still, you have to keep in mind that the lenders take time to adjust to the new market situation. This makes the need to shop around even greater. While the lenders in Gauteng may have adjusted their interest rates the ones in Durban may be slower to do this. Hence, you should use online loan comparison services and consider as many products from as many lenders as possible.
If you are among those who will get amnesty, you can readily consider loans from major lenders like Standard Bank and African Bank eventually.
Even though there may be some changes to the rates on loans for blacklisted and to their terms and conditions, the demand for them will always remain fairly high. This is because more and more South Africans are getting blacklisted every day. You should not miss to take advantage of the benefits which the amnesty may bring as they may not last for long.