P Financial Terms

POPIA

Legal

South Africa's data protection law (Protection of Personal Information Act, Act 4 of 2013). When you apply for credit, lenders collect your personal i...

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Payday Loan

Loans

Quick cash for emergencies, due back on your next payday. Usually R2,000 to R8,000. The interest is hectic — 60% annual sometimes. Use it once, never ...

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Payment Holiday

Loans

The bank lets you skip a month or two of repayments because you're in a rough spot. But here's the kicker: interest keeps stacking. So you're not savi...

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Payslip

General

Your payslip is proof you actually work and how much you earn. It's the most basic thing lenders need to see — no payslip, no loan, full stop. It show...

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Personal Loan

Loans

An unsecured loan (no collateral required) that a bank or lender gives you based on your creditworthiness. In SA, personal loans usually range from R1...

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Pre-Approval

Loans

Pre-approval is the lender saying 'yeah, you probably qualify for like R100,000' before you've jumped through all the hoops. It's not a promise — just...

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Prescribed Debt

Legal

Debt that's so old (usually 3 years unpaid) that the creditor lost their legal right to collect it. The creditor had to take court action within the t...

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Prime Lending Rate

Banking

The benchmark rate SA banks use to price loans — sitting at repo plus 3.5%. When SARB moves the repo, prime follows. If your loan is variable, this nu...

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Principal Amount

Loans

The actual amount you borrow — the bit that matters. Everything else (interest, fees) gets added on top. When you pay your loan, some goes to interest...

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Proof of Income

General

Lenders have to prove you can actually afford to pay them back — that's the law, the NCA says so. If you're employed, they want payslips. If you're se...

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