An advance from your employer
Many employers will advance part of the month's salary, especially for an emergency, and most charge nothing for it. Ask HR or payroll before you look anywhere else. The repayment is deducted from your next salary, and section 34 of the Basic Conditions of Employment Act allows that only if you agree in writing to the deduction for a specific debt.
Read what you sign: it should state the amount, how many pay days the repayment is spread over and how much comes off each salary. Some sectoral determinations, such as the one for the clothing and knitting sector, limit the deduction for an employer's loan or advance to a quarter of the pay due on that day.
Earned wage access apps
A growing number of employers offer an app through which staff can draw part of the wages they have already earned before payday — services such as Paymenow, Floatpays and Jem HR, connected to the employer's payroll. Access is usually limited to 20% to 25% of what you have earned so far in the month, and the amount is deducted when your salary is paid.
These apps charge a fee for each withdrawal or a subscription instead of interest. Before you use one, look at the fee in rand on the amount you need and at how many withdrawals a month you are allowed; several small withdrawals can add up. You can only use the app your employer has signed up for.
A payday loan from a lender
If your employer offers neither, a payday loan from a lender registered with the National Credit Regulator is the regulated option. It is credit under the National Credit Act: the lender checks your credit record and affordability, and the law caps the cost — on R1 000 repaid after 30 days, interest, fees and VAT may total at most R308.07. Our page on payday loans explains how they work and who lends.
Because the lender looks up your record, every application leaves an enquiry on it. Apply once, with the lender most likely to accept your situation, and only for the amount your next salary can repay in full.
Which one to choose
Start with your employer, then a wage-access app if your employer offers one, and only then a payday loan. Compare the cost in rand: work out the most a loan of your amount may cost with the loan cost calculator and hold any quote against it.
If you need an advance every month, the advance is not the problem. A budget for the week before payday, a payment arrangement with whoever you owe, or a conversation with a registered debt counsellor will help more than borrowing the same gap again and again.