If you are looking for a bargain buy of a car, you can try pick up Nedbank repo vehicles. Repossession takes place when a person who has bought a financed vehicle falls behind or does not honour the monthly payment agreements. If this happens, the financial institution which financed the asset is liable to repossess it.
As a financial services provider, Nedbank repossesses vehicles from people who can’t afford the regular instalments, or from people who have abused the lending terms, such as using the car as surety for another loan. These cars are sold at auction, often for very competitive prices.
Now is the time to get in line!
Particularly in times of a global recession, more and more people find that they are unable to make the necessary payments on their vehicle financing, letting the less affected take advantage of some great car deals.
Inflation and interest rates are on the rise, along with the variation and amount of repossesses cars. As a buyer, you are able to by these used vehicles well below what they originally sold for. When you are buying a repossesses vehicle, you are essentially cutting out the money-grubbing middle man which can save you a lot of money.
How can I cough up the cash?
The good news is that you can get finance to pick up Nedbank repo vehicles at hand-rubbing prices. In fact, because Nedbank will want to sell the car quickly to make up for any losses, they will often provide the financing you need. On the day of the auction, there will usually be a Nedbank counter where you can ask about your financing options and be advised on how much you would be able to bid.
How does the vehicle sale work?
Nedbank will set the vehicle’s starting price and the car will be put up for auction. In major cities such as Cape Town, Johannesburg, Durban and Port Elizabeth, there are weekly events at auction houses such as Aucor Auctioneers and Burchmores Auctioneers. The bank will decide on the car’s starting price, and if they receive more than this amount the balance will go to the previous owner of the car; if, on the other hand, the car sells for less than what the owner owed Nedbank, the owner will be responsible for paying the outstanding amount.
Hints and tips to pick up Nedbank repo vehicles
- Give the vehicle a through up and down and all around before you buy it. If possible, ask if you can take the vehicle on a short test drive to make sure that it is in good working order. Check for any damage or scratches to make sure that you are getting to right price for the condition of the vehicle.
- Buying a repossessed vehicle does require some knowledge of mechanics. You can’t judge a car by its paint job, and you need some relevant know-how to make sure that you are not being ripped off and landing up with a junk heap. If you don’t know much about cars, bring along someone who does.
- The name of the auction house does matter. Good auction houses won’t rip you off and won’t sell under-par goods so do your research to ensure that the seller has a sound reputation.
- The place where you are bidding should have a mandatory registration fee. This ensures that “joybidders” don’t just attend the auction to drive the prices up without actually intending to buy anything.
- If you are attending your first car auction, it may be overwhelming so do you research to see how they work and learn about the rules. If possible, bring along a friend or family member who has attended one before.
- Instead of going through an auctioneer to find a repossessed vehicle, contact Nedbank directly and ask if they have nay vehicles to auction off. Some banks will use an online property listing or conduct a sale on site.