A registered bond is a debt instrument whose bondholder’s information is kept on record with the issuing party. By archiving the owner’s name, address, and other details, issuers ensure they’re making the bond’s coupon payments to the correct person.
How Much Does Bond Registration Cost In South Africa
| Bond Capital Amount | Registration Costs |
|---|---|
| Does not exceed R150 000 | R417 |
| Exceeds R150 000 but does not exceed R300 000 | R539 |
| Exceeds R300 000 but does not exceed R600 000 | R673 |
| Exceeds R600 000 but does not exceed R800 000 | R946 |
| Exceeds R800 000 but does not exceed R1 000 000 | R1 086 |
| Exceeds R1 000 000 but does not exceed R2 000 000 | R 1 220 |
| Exceeds R2 000 000 but does not exceed R4 000 000 | R1 691 |
| Exceeds R4 000 000 but does not exceed R6 000 000 | R2 051 |
| Exceeds R6 000 000 but does not exceed R8 000 000 | R2 442 |
| Exceeds R8 000 000 but does not exceed R10 000 000 | R2 854 |
| Exceeds R10 000 000 but does not exceed R15 000 000 | R3 397 |
| Exceeds R15 000 000 but does not exceed R20 000 000 | R4 080 |
| Exceeds R20 000 000 but does not exceed R30 000 000 | R4 755 |
| Exceeds R30 000 000 | R6 794 |
How long does bond registration take in South Africa?
about six to eight weeks
The registration process usually takes about six to eight weeks.
After the bank has approved your loan, the bank will ask the bond attorney to register a mortgage bond.
What happens after a bond is registered?
Once your bond is approved by the bank, and you’ve accepted their offer, it is still around three months for it to be registered.
During that time, the property will need to be transferred to your name, and a number of documents will need to be signed and delivered to the relevant parties.
Why is bond registration necessary?
Whenever a Mortgage Bond has been registered it affords the client access to the funds and affords the bank good security for the loan given.
A Power of Attorney to Mortgage – this document gives the attorneys the Authority to register a mortgage bond on behalf of the clients in favour of a Bank.