African Bank

African Bank is a South African financial institution offering a range of financial services, including personal loans, savings accounts, and insurance products.

With over 1.3 million satisfied customers, they have a proven track record of delivering exceptional value and service. There are many reasons why you should partner with them including competitive premiums, flexible payment options, tailored products, and 24/7 customer service.

A strong and reputable financial institution

The South African Reserve Bank placed the original African Bank Limited under curatorship in August 2014 due to poor lending practices that resulted in significant write-downs of bad loans. To address the issue, a restructuring proposal was put forward, leading to the creation of a new banking group known as African Bank Holdings Limited.

This new entity took over the viable assets and some liabilities of the former bank, while the compromised part of the business and the legacy bank were renamed Residual Debt Services Limited (RDS) and surrendered their banking license in April 2014.

In April 2016, the new African Bank Limited was launched as a separate entity, holding all the necessary licenses and registrations. Fast forward to May 2022, African Bank made an announcement that it had acquired Grindrod Bank and Grindrod Financial Holdings. This acquisition is expected to be instrumental in introducing business banking services, as Grindrod Bank has specialized in corporate and investment banking for over 26 years.

Peace of mind and financial security

They offer a wide range of financial products, including personal loans, debt consolidation, credit cards, tax-free investments, funeral cover and credit life insurance. Their insurance products are designed to provide you with peace of mind and financial security, no matter what life throws your way.

African Bank's insurance policies are underwritten by reputable insurers, ensuring that you receive the best possible coverage at a competitive price.

Exceptional customer service delivery

At African Bank, customer service is a top priority. Their friendly and knowledgeable staff are always ready to assist you with any queries or concerns you may have.

Whether you prefer to communicate via phone, email, or in person, they’ve got you covered. Their online platform allows you to manage your insurance policies and claims from the comfort of your own home.

Impacting positively on the communities they serve

African Bank is also committed to positively impacting the communities it serves. The bank's corporate social investment (CSI) initiatives focus on education, entrepreneurship, social development and sport.

What African Bank aims to achieve

They aim to bring you products and services that offer you financial security so that you can rest assured your outstanding loan balance is paid should you not be able to. They understand that having the peace of mind of knowing your loved ones are protected means everything.

Credit life insurance is a vital part of protecting your financial future, and African Bank offers comprehensive and flexible options that cater to your specific needs.

What African Bank can offer you?

Credit Life insurance provides coverage for credit obligations during the loan term if you’re affected by any loss of income events.

The coverage differs whether you’re formally employed, self-employed or a pensioner. If you’re formally employed, the coverage includes death, temporary disability, and permanent disability, while being self-employed or a pensioner will only have you covered for death and permanent disability.

Safeguarding customers in times of need and uncertainty

African Bank's credit life coverage is an important safeguard for credit customers in times of uncertainty. The majority of African Bank's credit customers, 9 out of 10, have Credit Life Insurance, which offers peace of mind that their credit obligation will be covered if they experience a loss of income event during the loan period.

This coverage includes death, temporary disability, permanent disability, retrenchment, layoff/short time/compulsory unpaid leave, and applies to both formally employed and self-employed or pensioned customers.

Formally employed customers can benefit from coverage for loss of income events for up to a year, during which African Bank will cover their credit repayments. Self-employed or pensioned customers, on the other hand, are covered for death, temporary disability, and permanent disability.

However, it’s important to note that credit life insurance is subject to the customer making timely credit repayments, as failure to do so may result in the policy being invalidated.

African Bank's credit life coverage is a vital protection for customers in the event of income loss due to different circumstances. By settling outstanding credit balances or covering credit repayments, the insurance policy ensures that you and your family are not burdened with debt. Keeping up with credit repayments is critical to maintaining an active policy and ensuring that coverage is available when needed.

What the policy covers

African Bank's credit life cover protects self-employed or pensioned credit customers in case of income loss due to various reasons. The coverage includes death, where African Bank settles the outstanding credit balance, ensuring that your family is not left with the debt.

The policy also covers temporary disability for up to 12 months and permanent disability by settling the outstanding credit balance. However, exclusions and waiting periods apply. To ensure the credit life policy is active when needed, you must keep your repayments up to date.

Retrenchment, lay-off, short time, or compulsory unpaid leave are not covered for a 90-day waiting period. Other exclusions include dismissals or misconduct, suspensions, participation in unprotected strikes, voluntary retrenchment or retirement, and resignation.

Pre-existing medical conditions, participation in crime, wilful self-inflicted injury or suicide, alcohol abuse, drugs or narcotics, and participation in hazardous activities are not covered for death or disability.