Quick summary
Old Mutual is one of South Africa's oldest financial services groups, and its lending arm, Old Mutual Finance (RF) (Pty) Ltd, writes the personal loan. It is a conventional unsecured, fixed-instalment product rather than a short-term or payday loan.
You can borrow up to R250,000 over a term of 3 to 72 months. The interest rate is set individually on your affordability and credit profile and is then fixed for the life of the agreement, so your instalment does not move with the repo rate. On top of interest you pay a once-off initiation fee of R649.75, a monthly admin fee of R69, and, on loans of 12 months or longer, a compulsory credit life premium.
The qualifying criteria are stricter than most online lenders. You need to be 18 or older, a South African citizen, earning at least R2,500 a month, and permanently employed: three months' service for loans of 1 to 12 months, and 12 months' service for loans of 13 to 72 months. Old Mutual also requires the loan to end before you turn 60, which quietly rules out long terms for older borrowers.
You apply online, in a branch, by phone or on WhatsApp, with your ID, three months' bank statements no older than seven days, and your latest payslip. Approved loans are paid out within 24 hours and confirmed by SMS.
Old Mutual Finance (RF) (Pty) Ltd is a licensed financial services provider and a registered credit provider, NCRCP35. All loans are subject to the National Credit Act, No. 34 of 2005.
Old Mutual Personal Loan: fees and key details
Fee / Feature | Detail |
Loan amount | Up to R250,000 |
Repayment term | 3 to 72 months |
Interest rate | Fixed for the term, set on your affordability and credit profile |
Maximum interest rate | Old Mutual publishes 24.5% a year on its personal loan page and 28% a year on its calculator (see notes below) |
How interest is charged | Calculated monthly |
Initiation fee | R649.75, once off |
Monthly admin fee | R69 |
Credit life insurance | Compulsory on loans of 12 months or more; covers death, disability and retrenchment |
Substituting your own cover | Allowed, if it offers equivalent protection without unreasonable exclusions |
Collateral required | No (unsecured) |
Minimum income | R2,500 a month |
Employment requirement | 3 months' permanent employment for 1–12 month loans; 12 months' for 13–72 month loans |
Age requirement | 18 or older, and the loan must end before you turn 60 |
Citizenship | South African citizen |
Documents | ID, three months' bank statements (not older than seven days), latest payslip |
Application channels | Online, in branch, by phone on 0860 000 866, or WhatsApp on 0860 933 333 |
Payout time | Within 24 hours of approval, confirmed by SMS |
Early settlement | Allowed, and saves interest and fees |
Credit provider registration | NCRCP35 (Old Mutual Finance (RF) (Pty) Ltd) |
Related product | Debt consolidation loan, up to R250,000 over 3 to 72 months |
Interest on unsecured credit is capped by law at the repo rate plus 21%, not set freely by the lender. Our guide to the maximum prescribed interest rate explains the ceilings every credit provider works within.
Cost example
Old Mutual publishes a representative example of R5,000 borrowed over three months. On its personal loans page the total interest is R291.09 and the total amount payable is R6,147.84. On its loan calculator and disclaimer the same loan shows total interest of R348.16 and a total payable of R6,204.91.
Both versions use the same fees: a once-off initiation fee of R649.75 and a monthly admin fee of R69. The difference between them is the interest rate applied, and both reconcile exactly to the rand once you add capital, initiation fee, three admin fees and interest.
The more useful lesson is in the shape of the number. On the higher of the two examples, R5,000 comes back as R6,204.91 in three months, R1,204.91 in cost, of which R856.75 is fees and only R348.16 is interest. On a short, small loan the fixed initiation fee dominates everything else, and no interest rate you negotiate will change that.
The arithmetic reverses on a long loan. Over 72 months the R649.75 initiation fee is trivial, but you pay the R69 admin fee 72 times, R4,968, plus a credit life premium every month and six years of interest. Old Mutual makes this point itself: extending the term lowers the instalment and raises the total.
Important notes
Old Mutual publishes more than one maximum interest rate. Its personal loans page states a maximum of 24.5% a year; its loan calculator and debt consolidation page state 28% a year; its disclaimer states 29.25% a year. Ask for the rate on your own quote in writing and do not rely on the advertised maximum.
Your rate is individually set and then fixed. A fixed rate over six years is a real benefit, your instalment cannot rise if rates do, but you also do not benefit if rates fall.
Credit life cover is compulsory on any loan of 12 months or more. It covers death, disability and retrenchment, and Old Mutual will accept an existing policy of your own that offers equivalent protection without unreasonable exclusions. If you already hold life or income cover, ask what it needs before you accept a new premium on top of every instalment.
The age rule catches people out. The loan must end before your 60th birthday, so a 72-month term is only available if you are under 54. Older borrowers are pushed to shorter terms and higher instalments.
Your bank statements must be no older than seven days at the time of application. Download them the day you apply, not the week before.
Old Mutual notes that applying to several lenders at once can hurt your credit score. Applying to one, in the right place, is the better strategy, which is the argument for checking your credit score first.
No legitimate lender will ask you for a payment before your loan is granted.
Key features and benefits
1. Up to R250,000 over as long as 72 months
Six years is at the long end of the South African unsecured market, and R250,000 is bank-scale lending. Together they make Old Mutual a realistic option for large, planned expenses rather than only for emergencies.
2. A rate fixed for the whole term
Your rate is set once and does not change. Over a six-year agreement that certainty is worth having, you can budget the instalment to the rand and ignore what the Reserve Bank does.
3. Four ways to apply, including WhatsApp
Online, in a branch, on the phone on 0860 000 866, or by WhatsApp on 0860 933 333. Very few lenders of this size still offer a branch counter alongside a digital application, and the branch network matters if you would rather deal with a person.
4. Payout within 24 hours
Old Mutual says successful applications are paid out within 24 hours of approval, with an SMS to confirm. That is not the fifteen-minute payout of a short-term lender, but it is fast for a loan of this size.
5. A consolidation option under the same terms
Old Mutual will also lend up to R250,000 over 3 to 72 months specifically to settle your other debts, closing the accounts and leaving you with one instalment and one set of fees. If several store cards and small loans are eating your month, our guide to debt consolidation explains when this helps and when it does not.
6. A path in for people with no credit history
Old Mutual indicates that applicants without a credit record may still qualify for a smaller loan while they build a track record. That is a genuine on-ramp, and repaying it on time is what creates the profile you need next time.
Who should consider this loan?
This loan may suit you if you:
Need a substantial amount, up to R250,000, for a planned expense such as studies, a vehicle, or home improvements. Are permanently employed, earning at least R2,500 a month, and have been in your job for at least a year. Want a long term and a fixed instalment you can plan around for years. Are consolidating several debts into one payment. Would rather apply in a branch or over the phone than entirely online. Are comfortably under 60, so the full range of terms is open to you. Have a decent credit record and want to be assessed individually rather than priced at a flat short-term rate.
This loan may not suit you if you:
Need a small amount for a few weeks, the R649.75 initiation fee makes short, small loans expensive in percentage terms, and a short-term lender is built for that. Are self-employed, on commission only, or earning less than R2,500 a month. Have been in your current job for less than three months. Are within a few years of 60 and want a long term. Cannot supply bank statements dated within the last seven days. Are under debt review, in which case you may not take on new credit. Want revolving credit you can draw on repeatedly, our comparison of a personal loan versus a credit card sets out the alternative.
What to check before you apply
1. Check your credit score before you apply anywhere
Old Mutual prices individually, and it warns that shopping around across multiple lenders can pull your score down. Check your credit score on JustMoney first so that you apply once, in the right place. Our ultimate guide to understanding your credit score explains what moves the number, and how do I know if I qualify for a loan? covers what lenders actually assess.
2. Get the total repayable on two or three terms
Old Mutual's calculator gives an estimate, not a quote, and its own advertised maximum rate differs across its pages. Ask for the total amount payable in writing on the term you want and on one shorter term. Then run the instalment through the JustMoney budget calculator against your real expenses, and check the debit order lands on your salary date.
3. Check the age and employment rules apply to you
The loan must end before you turn 60, and loans over 12 months need a year of permanent employment behind you. Both are hard criteria, not guidelines, confirm them before you spend time on an application.
4. Decide what to do about credit life cover
On any loan of 12 months or more the premium is charged every month for the whole term, which on a six-year loan is substantial. If you already hold cover that would settle this debt, ask Old Mutual what it requires to accept it instead.
5. Compare it against the rest of the market
At this size and term Old Mutual competes directly with the banks. That makes comparison worth the hour it takes. Compare personal loans on JustMoney, and read personal loans explained and personal loans: what you need to know before committing to a six-year agreement.
Frequently asked questions
Who can apply for an Old Mutual personal loan?
You need to be 18 or older, a South African citizen, permanently employed and earning at least R2,500 a month. Loans of 1 to 12 months require three months' permanent employment; loans of 13 to 72 months require 12 months. The loan must also end before you turn 60.
How much can I borrow from Old Mutual?
Up to R250,000. What you are offered depends on your affordability assessment and credit profile.
How long do I have to repay an Old Mutual loan?
From a minimum of three months to a maximum of 72 months.
What interest rate does Old Mutual charge?
The rate is fixed for the term and set on your affordability and credit profile. Old Mutual's published maximum differs by page, 24.5% a year on its personal loans page, 28% on its calculator and debt consolidation page. Unsecured credit is capped by the National Credit Act at the repo rate plus 21%. Get your own rate in writing.
What fees does Old Mutual charge?
A once-off initiation fee of R649.75 and a monthly admin fee of R69. Loans of 12 months or more also carry a compulsory credit life premium.
What does an Old Mutual loan cost in total?
Old Mutual's representative example is R5,000 over three months: R649.75 initiation fee, R69 a month in admin fees, and interest of either R291.09 or R348.16 depending on which of its pages you read, for a total of R6,147.84 or R6,204.91.
What documents do I need?
Your ID, three months' bank statements no older than seven days, and your latest payslip.
How do I apply?
Online, in an Old Mutual branch, by phone on 0860 000 866, or on WhatsApp on 0860 933 333.
How quickly will I get the money?
Old Mutual says successful loans are paid out within 24 hours of approval and confirmed by SMS, although it notes payout times may vary.
When is my first repayment due?
Your debit order runs monthly on your salary date. If the loan pays out within 14 days of your next salary, the first debit order is processed the following month instead.
Is credit life insurance compulsory?
It is compulsory on loans with a term of 12 months or more. It covers death, disability and retrenchment. Old Mutual will accept an alternative policy of your own if it offers equivalent protection without unreasonable exclusions.
Can I settle my Old Mutual loan early?
Yes. Settling early saves you interest and fees.
Can I get a loan if I have no credit history?
Old Mutual indicates that applicants without a credit record may qualify for a smaller loan while they build a track record.
Does Old Mutual offer a debt consolidation loan?
Yes, up to R250,000 over 3 to 72 months, used to settle and close your other accounts so that you are left with a single instalment.
Is Old Mutual a registered credit provider?
Yes. The lender is Old Mutual Finance (RF) (Pty) Ltd, a licensed financial services provider and registered credit provider under NCRCP35.
The bottom line
The Old Mutual Personal Loan is a bank-shaped product from a non-bank lender: up to R250,000, terms as long as six years, a rate fixed for the duration, and a branch you can walk into. For a planned, substantial expense, or for pulling several messy debts into one instalment, that combination is genuinely competitive.
The trade-off is that the qualifying criteria are tighter than the online short-term lenders most people compare it against. You need R2,500 a month, permanent employment, a year of service for anything over 12 months, and a loan that ends before you turn 60. And Old Mutual's own pages disagree about its maximum rate, which is all the more reason to work from your written quote rather than the advertised number.
Before you apply, check your credit score on JustMoney so you go in once with the best profile you can, run the instalment through the budget calculator, and compare personal loans on JustMoney to see what else you qualify for at this size.
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