Eligibility Criteria. Can I Apply?
Unum Credit Home Loan is designed for everyday South Africans who happen to own a home and are struggling with debt. To keep things fair and effective, we do have a few basic eligibility criteria. You’re likely eligible for Unum Credit Home Loan if you meet these requirements:
Property Value of R450,000 or More
Your property should be worth at least R450k. Why? Because we use your home’s equity to secure the consolidation loan – and properties above this value typically have enough equity cushion to consolidate meaningful debt. If you’re not sure of your home’s value, we can help you estimate it. (If your home is slightly under R450k, you can still inquire – we’ll assess on a case-by-case basis).
Sufficient Equity in the Property
In practical terms, you should owe significantly less on your bond than the property is worth, so that there’s equity available to borrow against. For example, if your home is worth R1 million and you owe R500k on your existing bond, you have around R500k in equity – that’s great. If you already have a bond covering most of the home’s value, there may not be enough equity to consolidate much debt. Our team will help determine this. (Typically, we look for enough equity to consolidate all or most of your high-interest debts.)
Multiple High-Interest Debts to Consolidate
This program is meant for those who have accumulated unsecured debts such as credit cards, personal loans, retail/store accounts, etc., usually with hefty interest rates. If you only have your home loan and no other debts, this product isn’t needed (we wouldn’t want to consolidate a low-interest home loan with itself.). But if you have, say, credit card balances, personal loans, and maybe some unpaid store accounts, and you’re struggling to keep up, that’s exactly the scenario Unum Credit Home Loan can assist with. (Note: We generally cannot consolidate other secured debts like a car finance loan or another property loan, since those are tied to their own assets. Our focus is on unsecured debts.)
Steady Income to Afford Payments
You should have some form of income or earnings (salary, self-employed income, pension, etc.) that can support the new consolidated loan’s monthly payments. We don’t require you to be wealthy – we just need to ensure you can realistically pay the interest-only amount each month for the first 12 months, and eventually the full payment. Part of our pre-qualification checks will estimate an affordable payment for you. (If you’re married in community of property, your spouse’s income can also be considered.)
Age 18 or older (legally able to sign credit agreements)
Most homeowners are, of course, adults, so this is usually obvious. As long as you can legally enter a credit agreement and your property is under your (or you and your partner’s) name, you’re good on this front.
Even if you have poor credit or are under debt review
We do not disqualify applicants for low credit scores alone. In fact, as noted, the product is tailored to help those in tough credit situations. If you’re under debt review, it’s a bit more complex (you’d need to inform your debt counsellor and possibly get a court’s approval to enter into this new agreement), but we have experience with these cases. Don’t let a current debt review status stop you from reaching out – we can guide you on the process. The key is that you have a home with equity; the credit issues can be worked through.
If you’re unsure about any of these criteria, we encourage you to reach out or do the quick pre-qualification. Every situation is unique. Our team will assess your scenario holistically – even if you think you might not qualify, you could be surprised. We’re here to find a solution if one exists.
Remember: Our goal is to help you improve your situation. If for some reason Unum Credit Home Loan isn’t a fit, we’ll do our best to suggest alternatives (perhaps a different product or referring you to a debt counsellor). But let’s find out. It all starts with that conversation or application.