Ask why you need the money
If the money is for a one-off cost — a car repair, school fees, a funeral — the question is how to cover a single gap at the lowest cost. If it is to pay other debts or to get to the end of every month, a new loan usually makes the problem bigger, because each instalment leaves less of the next salary.
Writing down your income and every fixed payment for the coming month takes ten minutes and shows which of the two you are dealing with.
Talk to the creditors you owe
If one or two accounts are behind, call those providers before they hand the account over. Many will agree to a lower instalment for a few months or a plan to clear the arrears. Ask for the arrangement in writing and keep to it: an arrangement honoured is better for your record than a new loan used to catch up.
Start with the accounts that cost you most if they fall further behind: a home loan or vehicle finance, where the asset can be repossessed, and accounts close to being handed over. Explain what changed, what you can pay each month and from when. A creditor that hears from you early has more room to agree than one that has already passed the account to collectors.
Consider debt counselling
If your income no longer covers what you owe each month, a debt counsellor registered with the National Credit Regulator can restructure all your repayments into one affordable payment and protect you from legal action while you keep to it. You cannot take new credit while you are under debt review, so it suits people for whom more borrowing is the problem. Our guide on debt review explains what it involves.
Cheaper ways to cover a short gap
Some employers give a salary advance that is deducted from the next payslip without interest; ask your HR or payroll office. Family help or a stokvel payout, agreed clearly and in writing, also costs less than a high-cost loan. Selling something you do not need is slower but leaves no debt behind.
Avoid informal lenders who keep your bank card or ID, and anyone who asks for a fee before paying out a loan. Both are common ways people in a hurry lose more money.
When a loan still makes sense
A loan can be the right choice for a one-off cost when the repayment fits your budget after every other payment and you can repay it on time. Borrow only what you need, over the shortest term you can afford, and compare the total you repay.
Some registered providers still consider applicants with a poor record, usually for smaller amounts. Our page on loans for blacklisted people explains who they are and what to check. If you are not sure which entries are holding you back, check your credit record first.