What is a Bank Repossessed Car?
Repossessed cars are vehicles that have been reacquired by banks from buyers who have defaulted on their loan payments.
Somebody else’s loss could be your gain in these kinds of situations, so we created a quick guide to help you understand repossessed vehicles and what to look out for when buying them.
Bank Repossessed Cars For Sale In South Africa
ABSA Car Repossessions
ABSA also offers vehicles that they have repossessed. Their repossessed cars and other vehicles are sold at public auctions at several ABSA trade centers.
In addition, ABSA also offers financing, installment sales, and lease and rental agreements on used or repossessed vehicles.
First National Bank Repossessed Cars
First National Bank (FNB) regularly repossesses vehicles and offers them for sale at great prices. Wesbank and First National Bank often sell their repossessed vehicles at the same sales and you can choose from twice as many cars.
You can bid, apply for financing, or peruse repossessed vehicles on sale through the First National Bank website at www.fnb.co.za. This financial service provider is a very well-known and reputable bank. One that you can trust to provide you with the best financing when you buy a vehicle.
Burchmores Car Auctions
Burchmores is an auctioneering house that offers a great deal of brand-new and second-hand items for sale.
Therefore you can find new, used, and repossessed vehicles of all different makes, models, types, years, and mileages on sale at the many auctions that Burchmores runs.
How to buy a bank-repossessed car in South Africa?
To register for a repossessed car auction, you need to put down a deposit of between R5,000 and R7,000, which is refundable if you don’t buy a car during the auction.
If you are a South African, you need to provide the auction house or the bank with proof of residence and a copy of your identity document.
Is it good to buy bank-repossessed cars in South Africa?
Repossessed vehicles are just like any other second-hand vehicle, if not better. Because in most cases, the individuals who had their vehicle repossessed weren’t planning for them to lose their vehicle.
It usually happens because they struggle to make payments after many payment arrangements.
How long does it take for a bank to repossess a car in South Africa?
A bank can only physically repossess a financed vehicle with a court order or with the consumer’s consent.
The court order will be issued only once the bank has complied with the following: Issued a section 129 notice (letter of demand), which can happen only after the account has been in arrears for 20 days or more