Take control
of your finances With a debt consolidation loan
from Old Mutual

What is debt consolidation?

It's hard to keep track of multiple loans, and all those admin fees can add up quickly. A debt consolidation loan can solve both problems by pulling all your debt into a single loan.

Single admin fee

There's no need to pay admin fees on several loans when you can bundle them into a single loan.

Option to lower your monthly instalments

If you're struggling to make repayments, you can use a consolidation loan to extend your loan term and lower your monthly instalments.

Peace of mind

When you have only one monthly payment, you won't have to worry about accidentally missing repayments.

A South African man tickles his giggling, young son in the kitchen.

Debt consolidation involves taking out a loan to pay off several smaller loans. At Old Mutual, we offer to make those payments to your different credit accounts for you. Bundling your debt into a single loan reduces the admin of multiple repayments, and gives you more time to pay off your loan at lower instalments.

A woman reads about debt consolidation loans in South Africa.

Combining your debt in a single loan can help you in three ways.

  • It simplifies repayments, and it makes it easier to budget, since you know exactly how much will be debited from your account every month.
  • It can be used to lower the monthly instalments of your debt by spreading your repayments over a longer term. While this would reduce your monthly instalments, it may mean that you would take longer to pay off the loan.
  • Consolidating your debt allows you to get rid of revolving credit (like credit cards or store accounts) that just keep accumulating over time.
    • A South African man helps his young son learn to ride a bicycle.

    A debt consolidation loan makes sense when you have several credit accounts that you want to close. Maybe you want the ease and simplicity of a single monthly payment, or maybe you want to consolidate your debt to lower your monthly instalments. If you want to consolidate your debt to give yourself a little more breathing room, know that lengthening your loan term to lower your monthly instalments will also result in more accrued interest over the life of your loan.

    Regardless of your reasons, a full credit assessment will still be required for a consolidation loan, and remember that it’s important to close credit accounts that have been repaid with credit from a debt consolidation loan. A failure to close revolving credit accounts, like credit cards, could result in you taking on more debt and cause you more financial distress or over-indebtedness.

    A South African man relaxes at home with his young child.
    How to apply for a debt consolidation loanApplying for a debt consolidation loan is much like applying for a regular personal loan. The process starts with an online application, a visit to a branch, or a phone call. Then, when you find yourself on the phone or in an Old Mutual branch with a consultant, you can request that your Old Mutual Personal Loan be used to pay off existing credit accounts.
    What you need
    • A valid ID
    • 3 months' bank statements
    • Your most recent payslip, as proof of employment
    • Be 18 years or older
    A woman completes an online application form for a debt consolidation loan.


      *The use of the online calculator is discretionary and calculations are estimates. Old Mutual Finance gives no warranty, express or implied, as to the accuracy of such estimates and does not accept any liability for loss or damage of any nature whatsoever, which may result from the use and/or reliance of estimates provided by the calculator. All loans are subject to a full credit assessment.

      Old Mutual loan offerings are made available through Old Mutual Finance (RF) (Pty) Ltd, a Licensed Financial Services and Registered Credit Provider (NCRCP35)

      Payment options range from 3 to 72 months. Interest calculated monthly. A once-off initiation and admin fees apply. The maximum interest rate is 24.5% annually. *Representative Example: Credit of R5,000 borrowed for 3 months. Total interest payable over loan period: R291.09. Once off initiation fee: R649.75. Monthly admin fee R69. Total Amount Payable: R6,147.84.

      Old Mutual loan offerings are made available through Old Mutual Finance (RF) (Pty) Ltd, a Licensed Financial Services and Registered Credit Provider (NCRCP35)

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