Does Old Mutual offer loans to blacklisted individuals? It’s a question most people have been asking. Most individual take up loans and fails to repay the loans, and many fall into the hands of exploitative lenders who charge unreasonable fees and interest rates that make repaying your loan difficult. The result of this is that these individuals get backlisted. Most of these blacklisted individuals do have money problems and are asking for where to get loans to either repay their defaulted loan or settle an urgent situation.
Does being blacklisted mean you can never get the loan again from a lender? Are there institutions willing to finance blacklisted individuals? Here the article will specifically be looking at Old Mutual Bank and whether it offers loans to blacklisted individuals.
Does Old Mutual Offer Loans To Blacklisted?
No, Old Mutual does not offer loans to blacklisted people. The fact that Old Mutual does not finance blacklisted individuals does not mean that they do not offer loans to individuals with bad credit.
Old Mutual offers debt consolidation products and personal loans that enable you to meet your financial needs without falling into the debt trap. Their plans are designed to meet individual’s specific needs.
The debt consolidation products help you to manage your debt when you are in deep financial straits. When you take this loan, it will pay off all your existing loans. This means you will now have only one loan to settle, which is Old Mutual. This makes you manage your finances better.
Old Mutual has a plan called the “My Money Plan” that allows you to consolidate debt. You can combine the debts into one plan and pay lower installments. With this plan, you can increase the available cash you need and reduce your finance charges.
Does Old Mutual offer Loans to Individuals with Low Credit Scores?
Old Mutual does not refuse to offer loans to people with low credit scores. Their application is handled on an individual basis. So, if your credit score is poor, you can contact them. They will analyze your circumstances and determine if you are eligible for their loans or not.
The Old Mutual has a minimum loan term of 3 months and a maximum of 48 months. You can get up to R100 000 personal loan. Your loan has a fixed interest rate at the time of application, and the interest rate that will be applied to you is determined by your credit score. However, there are general criteria you have to satisfy before you can even be considered.
Eligibility Criteria:
- You must be up to 18 years of age.
- You must possess a valid South African ID document, such as a bar-coded, Green, or 13 digits.
- You must present your last current pay slip. The pay slip should not be older than one month.
- You must present your last three months’ bank statements
- You must be employed by the same employer for at least 3 months
- Personal loans can only be accessed by individuals
Why Do People Get Blacklisted?
Knowing the reasons why people get blacklisted can protect you from falling into such a trap. The most notable reason is the failure to repay loans. You can get blacklisted when you fail to make timely payments on loans or credit accounts. Lenders and creditors report these late or missed payments to credit bureaus, which can blacklist you.
Another reason is multiple credit card borrowing. Some people are fond of borrowing money from multiple credit cards and defaulting. You should know that credit cards do not offer free money. So you have to pay every loan you borrow. Also, if you take multiple credit cards and refuse to make purchases with them, you might stand a risk of being blacklisted.
It is advised you go for loans that you can easily repay. Avoid online exploitative lenders with high fees, and be cautious when borrowing from private lenders. It’s not a nice thing when you are blacklisted. So, avoid it at all costs.
Conclusion
Old Mutual, like many financial institutions, relies on creditworthiness assessments to determine loan eligibility. Being blacklisted due to a negative credit history, defaults, or other financial issues can significantly limit your ability to access loans from this platform.
If you find yourself in a situation where you are blacklisted and in need of financial assistance, it is essential to explore alternative options. Some options include seeking loans from specialized lenders that cater to individuals who are blacklisted. You can also go for secured loans, loans from family and friends, and pawn loans from pawnshops. In all, it is advised you stay away from situations that will get you blacklisted.
