Lamna in the Media: Protecting Yourself From Personal Risk When Taking On Debt

Lamna in the Media: Protecting Yourself From Personal Risk When Taking On Debt

The media features insights from Charles Meyerowitz, co-founder and CEO of lamna, on the importance of mitigating personal risk when taking on debt.

Millions of South Africans are over-indebted, and even with the recent surprise cut to the repo rate, both businesses and individuals face a harsh interest rate environment.

More than ever, it’s important to assess the type of debt you take on, considering the risk it could pose to your personal finances.

Charles Meyerowitz, co-founder and CEO of lamna, argues that in this context, it’s vital for South Africans to consider alternative funding sources that don’t require personal sureties.

He says, “Traditional lenders usually require that you sign sureties and therefore put yourself at risk when taking on debt.”

Three publications have recently featured Meyerowitz’s insights:

Why short-term, asset-based loans mitigate personal risk

According to Meyerowitz, alternate avenues for generating cash flow, such as asset-backed lending, allow professionals to “not only mitigate personal risk by avoiding excessive long term debt, but also enjoy immediate liquidity.”

In the case of an asset-based loan like those that lamna offers, business property or a personally owned asset – such as a paid-up vehicle, a luxury watch or some other item of value – serves as collateral for a loan.

Because the asset secures the loan, there’s no requirement for any other form of personal surety.

A client who defaults on an asset-based loan risks losing the asset that was accepted as security, which may be resold to recoup losses. However, there’s no risk to other personal assets.

This means that you can take an asset-based loan without putting your or your family’s home and personal possessions at risk.

For more information about using an asset to secure a short-term loan, contact us on 086 111 2866 or simply complete and submit our online application form.

ILLUSTRATIVE EXAMPLE

Client borrows R10,000 for 90 days.

Loan Amount
Repayment Period
Monthly Interest
Total Cost of Loan
Initiation Fee
Monthly Fee
APR
R10 000
3 months
R500.00
R2 914.50
R1 207.50
R569.00
60%

Fixed rates range from 36% to 60% APR and payment options range from minimum 3 to maximum 24 months. Apart from the initiation and monthly fees shown below, the only additional fee is credit life insurance if the borrower does not have this already.

APR & Loan Repayment Period

Fixed rates range from 36% to 60% APR and payment options range from minimum 3 to maximum 24 months. Apart from the initiation and monthly fees shown below, the only additional fee is credit life insurance if the borrower does not have this already.

Non-Payment

Non-payments may result in the matters being escalated.

Renewals

All accounts may be renewed if they are up to date.

Collection

All payments are made via EFT or direct deposits into Lamna’s bank account. There are no debit orders.

Lamna in the Media: Protecting Yourself From Personal Risk When Taking On Debt

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Lamna in the Media: Protecting Yourself From Personal Risk When Taking On Debt

Apply Online

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Lamna in the Media: Protecting Yourself From Personal Risk When Taking On Debt

Apply Online

Lamna in the Media: Protecting Yourself From Personal Risk When Taking On Debt

Apply Online

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