There are many reasons why people may need a loan, that is why every single bank in the banking industry is offering a loan and not just one but many different types with various conditions to suit whatever the client can pay and the terms and conditions arebased on the current status and credit profile of the client. The bank is probably the safest place to make a loan after family, however family does not normally have the large amounts the bank can be able to loan you.
A bank loan can come in various forms like personal loan, home loan, micro loan and revolving credit plan. The bank is also safe to borrow from in the sense that when you cannot pay them back they negotiate a plan for you to pay what you can afford to pay until you are able to repay the full loan repayment. There are more dangerous ways that you can loan money and these are called loan sharks, when you cannot pay a loan shark the reaction from him is normally a lot less civilized than that of a bank because they resort to primitive and savage ways to get their money bank hence we say bank loans are safer.
The bank makes a lot of their money from bank loans because of the interest they charge on each amount that is loaned, the bank loan will normally have a term by which you should have paid the loan by. The longer term of the repayments the higher the interest will be and thus resulting in higher capital repayments as a whole for the borrower. Bank loans are also affected by the repo rate which is regulated by the reserve bank, just like vehicle finance loans and home loans.
The requirements normally wanted by the bank when applying for a bank loan are the following, proof of residence, three months bank statement, proof of income like a pay slip and of course a copy of the applicants identification document. Every bank is offering a loan, you will need to research more on what each bank can offer you and make a decision that is more informed rather than an impulsive one.