Wonga (wonga.co.za), a British payday loan company established in 2006, is focused on offering short-term, high-cost loans to customers in need via online applications. The firm is renowned for developing a fully-automated risk processing technology to provide unsecured short-term credit online. In order to take out a Wonga Loan, customers need to complete a simple application form on their smartphones, tablets or personal computers.
Wonga Payday Loans | Overview
Wonga Loans are a product offered by Wonga, a FinTech company that has been lending money to South Africans since 2011. As a responsible creditor, Wonga uses an instant decision – marking software that helps the company run a credit check before approving a loan application. However, on top of the credit checks, this lender also considers other factors.
How Much Can you Apply for?
New customers qualify for loans between R500 and R4000. Already existing clients, on the other hand, can borrow up to R8000.
Wonga Loans | Terms, Fees and Charges
The Wonga Loan repayment periods range from 4 days to 6 months. New clients, however, are only allowed to choose a repayment period up to 3 months. The company does not extend loan terms, but if you find yourself in this scenario, they may help you design a repayment plan.
The Wonga payday loans have a maximum monthly interest of 5%. Additionally, the company charges a R69 monthly service fee, which is pro-rated for the first 30 days. On top of that, clients need to pay an initiation fee that varies with the loan amount. If you happen to default payment on the due date, late payment fees may incur.
Wonga Loans | Repayment
The company is flexible, so you can save interest by repaying your Wonga payday loan early.
How to Apply for a Wonga Loan
The process is paperless. Therefore, you can take out a Wonga payday loan from the comfort of your house in four simple steps:
First, you need to determine your desired loan amount and the repayment period. Once you set up a loan structure, their system will disclose all the costs involved.
After clicking the “Apply Now” button, you will be presented with the Wonga loans online application form. On top of your personal details, you will have to complete the following fields:
- Employment details
- Banking details (South African bank account)
- Monthly income and expenses
As a responsible lender, the creditor will determine your eligibility based on your employment status. Wonga only lends funds to employed applicants (freelancers and consultants included).
Additionally, the creditor will take your current debt to income ratio into consideration. This way, they can make sure they are not giving loans to customers who are already in a financial strain.
The lender works closely with FNB, Absa, Nedbank, Capitec, and Standard Bank. Although they do accept other South African bank accounts, your Wonga loan may take a bit longer to reflect.
Once your application has been approved, the company will verify your income. For this purpose, they will require your proof of income documents. If you are unemployed, be sure to provide any documents that show that you receive income constantly.
Once your income has been verified, you will receive your Wonga payday loan within the same business day.
Advantages of Wonga Loans
Wonga Loans are fast to obtain. If your application is submitted before 3pm on a business day, you will receive the funds in no more than 24h. The lender is transparent and legit, and paying off your debt in time will improve your credit score (the company reports to the credit bureau).
Disadvantages of Wonga Loans
Unlike most loan providers, Wonga charges monthly initiation and service fees. Also, if you default in repayment, your credit score will be affected.
Wonga Payday Loans | Contact
Despite the fees, Wonga is one of the most transparent creditors out there, so you will be able to make a well-informed decision before you borrow from them. Should you have any queries, contact Wonga on 0861 966 421 from 08:00 to 18:00 Monday to Friday and Saturdays from 08:00 to 13:00. Alternatively, send them an email to email@example.com.