How much do you need?
Tell us the details in the online application form below:
Be sure to compare loan offers and check your affordability to decide if a R200 000 loan is right for you.
✅ How Much Do You Need?
Get Loans for Up to R200 000
A R200,000 personal loan can help you meet many financial goals and solve a range of money problems. Borrowers with excellent credit can get loans for up to R200,000 at the lowest rate and with the best loan terms.
The good news is that most funding options are unsecured. So you can get credit without providing collateral, eliminating the risk of your assets being repossessed if you default.
It’s important to learn more about your options for large loans to find one that meets your needs.
Whether you’re looking to make a large purchase, consolidate your debt, or fund your business you should be able to find an option that makes financial sense.
Personal Loans
An unsecured personal loan for R200 000 is the most popular option if you’re looking for a loan of this size.
This amount can be used to cover one large expense or various, smaller expenses.
Large loans are commonly used for home improvements, vehicle purchases, wedding expenses, or other legitimate purposes.
Large loans typically come with flexible repayment terms of 72 months or more. Borrowing over a relatively long period of time ensures that your monthly repayments will be more manageable.
That said, it’s important to remember that not many banks or lenders offer loans of this size. Applicants looking for this much borrowing power are expected to have good credit and a high-income level.
It may also take longer to get approval as lenders may need more time to approve your creditworthiness since there’s a lot of risk at stake.
Consolidation Loans
A R200 000 consolidation loan works like a regular loan, except the money has a more defined purpose. In this case, when you receive the funds, you’ll use the money to pay off your existing debts.
Some lenders offer consolidation loans up to R200 000 specifically designed for this purpose. They may even settle your debt accounts on your behalf.
However, you don’t need a specialised debt consolidation loan – a standard personal loan can achieve the same goal.
In any case, you’ll need to create a list of all the debt accounts you want to close and how much you owe.
Then, run the calculations to see if this amount would be enough to consolidate the balances. Once approved, you or your lender will make the necessary payments.
When you clear your debts this way, you’re only left with a single loan and one monthly payment.
This explains why debt consolidation is defined as the process of combining multiple debts into one new loan. The hope is that you also get a lower, fixed interest rate to help reduce borrowing costs.
Business Loans
A R200,000 loan is also sufficient to fund entrepreneurial ventures. For example, you may be interested in investing in a business or starting your own small operation.
This requires a lump sum and your savings may not be enough to cover all the financial requirements.
A R200K large loan provides enough capital to make a difference, whether you want to purchase equipment, launch a new product/service, or expand operations.
The funds can also be used to refinance existing debt, upgrade IT infrastructure and for inventory acquisition or marketing and branding.
When used wisely, a business loan for this amount can pave the way for substantial growth and advancements, offering a good ROI. If you need a business loan for this amount, you can find online lenders willing to work with you.
Business loan requirements include meeting specific minimum monthly or annual revenue and providing business and financial documentation.
Your business loan proposal is also more likely to be approved if you specialise in a low-risk industry.
Where to Get a R200K Loan?
Do you need a loan for R200 000 to cover cash flow gaps?
The downside of taking out a large loan is that not every lender has high borrowing limits. For example, some credit providers only offer loans up to R50,000.
Besides finding a lender that can give you the amount you need, you may also be wondering how to get a R200 000 loan without using banks.
There’s nothing wrong with getting a loan from a bank per se, but some borrowers prefer dealing with alternative lenders.
Banks and other traditional financial institutions are often associated with strict requirements, complicated loan applications, and lengthy approvals.
In addition, banks are diversified organisations, so they can’t always provide a high level of customer care to borrowers.
On the other hand, online lenders offer a core service which is their sole focus. Hence, they can provide specialised loan products tailored to borrowers’ needs. They also use proprietary technology to ensure quick and easy online applications.
So, if you need to borrow this amount, the best place to start online. There’s a broad number of online lenders out there, which gives you a higher chance of finding an option that’s right for you.
Here are some options to consider if you’re in the market for South African lenders that offer this amount.
| Loan Amounts | Loan Terms | Interest Rate | |
| RCS | R2 000 to R250 000 | 12 to 60 months | From 15% |
| Sanlam | R5 000 to R300 000 | 12 months to 6 years | 16% and 29.25% |
| Direct Axis | R5 000 to R300 000 | 24 months to 72 months | 29.25% maximum |
| African Bank | R2000 to R350 000 | 7 to 72 months | 15% to 24.50% |
Find the Best R200 000 Loans Online
R200K loans are not always the same. For instance, the interest rate depends on the type of lender and current market conditions.
Compare at least three loan options to find the lowest interest rate for your credit profile. The cost of borrowing should always be a major concern before applying for funding.
When shopping around, you can also use other factors to compare options, including:
- Fees and charges: Fees typically include an initiation fee plus a monthly service fee. These can quickly add up and increase your borrowing costs. A low interest rate only makes sense when paired with low fees and charges.
- Repayment terms: The repayment period you choose will affect the size of your monthly repayment and your overall borrowing costs. A longer term means smaller monthly repayments, but you pay more interest, and vice versa.
- Processing times: Check with the lender to determine how long it takes to get funds in your bank account from the moment of applying. Quick responses from a lender are always a good sign.
- Spending restrictions: Some lenders may stipulate that the loan funds cannot be used to start a business or make a down payment on a home. It’s generally better to deal with a lender that doesn’t impose too many spending restrictions
By considering all these different factors, you can find the best R200,000 loan with the best terms and conditions.
How to Get a R200 000 Loan
When you’re ready to apply for a R200,000 loan online, follow these three easy steps to get the money in your bank account.
Step 1: Prequalification
To prequalify, simply complete the online loan application form, which takes minutes. You’ll receive multiple loan offers from different lenders.
Prequalification gives you an idea of whether a lender is willing to offer credit, how much they can offer, and the duration.
Step 2: Formal Application
Once you compare loan offers and select a lender, it’s time to gather documentation and complete a formal application.
Requirements include a South African ID, recent bank statements and payslips, along with contact details and your banking and employer information.
Step 3: Receive Money
After you formally apply, you’ll receive a lending decision. If approved, you’ll receive a loan agreement, which you must sign before you can receive funds.
The funding timeline varies, but you could get money in your bank account within 24 hours or a few business days after approval.
Can I Get a R200 000 Loan With Bad Credit?
Approval for unsecured large personal loans is often based on creditworthiness.
Lenders want to know that you have a good track record of paying your debts in the past. If you have a good credit score, you pose a low risk to the lender and are more likely to get approved for a loan.
Borrowers with bad credit may find it difficult to get a R200,000 loan. However, it’s not impossible, especially if you have a low debt-to-income (DTI) ratio.
A low DTI means you have enough room in your budget and can afford to make monthly payments on a new loan.
Still, interest rates on bad credit loans are likely higher and chances are you won’t be able to borrow a large amount.
If you have been rejected for a loan with bad credit, consider applying with a specialist lender for bad credit.
Specialist lenders are often willing to work with you as long as you have a stable income and employment and can afford repayments.
You can also apply for a secured loan, where you provide collateral, such as your house.
The best long-term option, however, is to improve your credit rating to ensure you can access better deals in the future.
R200 000 Loan Repayment: How Much Does It Cost?
The cost mainly depends on the interest rate, fees, and repayment period.
The good news is the repayment on a R200 000 personal loan is generally flexible as you can choose a repayment period that aligns with your budget.
The table below will give you a good idea of how much to pay back on.
| Loan Term | Interest Rate | Monthly Payment | Total Pay Back |
| 2 years | 21.25% | R11,324.21 | R271,781.04 |
| 3 years | 28.75% | R9,381.87 | R337,747.32 |
| 4 years | 21.25% | R7,143.80 | R342,902.40 |
Is Taking Out a R200,000 Personal Loan Smart?
Borrowing a large loan amount comes with a greater risk than usual. Consider the following to help you decide if you’re making the right decision.
- How do you plan to use the money? – Make sure you have a worthwhile reason to borrow such a large amount of money.
- What is the repayment for a R200 000 loan per month? – Calculate the exact amount needed and ensure you can make timely payments.
- What are my loan options? – Be sure to explore as many lenders and loan offers to get the bigger picture of current market conditions.
- Are there cheaper alternatives? – Perhaps you can afford to wait and save, or you can get a loan at work or from family and friends at a lower rate.
Learn How Much You Can Borrow
With RandWallet, you can get loans of up to R200 000. Here are your options if you’re looking for different loan amounts.
Other Cash Loan Amounts
»MORE: Cash loans in South Africa
Frequently Asked Questions
Eligibility criteria vary between lenders. Generally, you need to have an excellent credit score and a low debt-to-income ratio. You also need stable employment and a high income level (enough to afford the monthly repayments).
Each lender has minimum credit score requirements borrowers must meet to get loan approval. However, South African lenders rarely specify this requirement. Your odds of approval are generally higher if you have a credit rating of at least 650.
Once approved, expect to receive funds in a few working days. You can avoid delays by quickly providing the lender with all the required information and double-checking your application for accuracy. Most lenders aim to fund R200,000 loans in the shortest time possible.
Our Research Expert
Gracie Makowe is a full-time personal finance writer with 10 years of experience and a Bachelor of Commerce in Financial Management from UNISA. Learn more.