John Smith experiences an emergency and borrows R1000 from a loan shark as he has no other choice.
At the end of the month, John is told he now owes the loans shark R2000.
He realizes that he does not have the funds to repay this R2000 and as such now owes the loan shark R4000 next month.
He is now stuck in a perpetual debt spiral.
John Smith experiences an emergency and borrows R1000 from a loan shark as he has no other choice.
At the end of the month, John is told he now owes the loans shark R2000.
John can’t repay this amount this month, he however knows he has access to Kaelo Money.
He borrows the R2000 over 3 months from Kaelo Money’s emergency wallet, repays the loan shark and now owes only R750 per month to KM, saving himself R1750 that month and from further loan shark exposure.
