Where can you find FNB repossessed cars for sale in South Africa? And which upcoming vehicle auctions are selling repossessions from FNB bank? There’s a lot of information floating around online about auctions and where to buy bank repossessions. So we look at these questions to help to find your vehicle at a lower cost than most dealerships.
The first place that you should look is on the Wesbank website at: wesbank.co.za. Here you will be able to click on a link to the site that contains all of the information you need to know about upcoming vehicle auctions.
Because FNB is a part of the Wesbank group, the rules and regulations that apply to the Wesbank repo auction apply to any FNB car auction.
Important Points to Remember:
- You can view the cars at the auction center a day before the auction.
- The final catalogue may be updated or changed on the auction day.
- WesBank reserves the right to remove cars from the auction catalogue without prior notice.
- All bank-repossessed cars sold at the auction are free of any debt or encumbrances.
This may also interest you: Online Repossessed Car Auctions in South Africa
FNB Repossessed Cars for Sale – What to Keep in Mind
Although you may find vehicle auctions selling FNB repossessions there are certain things that you need to bare in mind.
Firstly at the car auction you will have to pay a registration fee. Which will serve as your deposit should you want to bid on a vehicle. If you have the funds to pay for the vehicle then the deposit will be returned to you.
Should you on the other hand default on paying the amount owing on the vehicle. Then this amount will be kept by the bank and the car will be put back on auction.
Secondly all vehicles sell as is. This means that if there is a mechanical or electrical fault with the vehicle that you only discover once the sale has gone through then you are held responsible for the repairs.
Therefore it is your responsibility to inspect the car before you start bidding.
Lastly you can apply for vehicle finance before the auction. In order to secure the vehicle you wish to purchase. You can apply for this through Wesbank and is a quick and simple process.
What’s so Good about Wesbank FNB Repossessions?
What is great about the auction of Wesbank or FNB repossessed vehicles is that they sell below market value.
Because the previous owners of the vehicle defaulted on their vehicle finance repayments. So the bank had no other choice but to take back possession of the vehicle.
Although this situation is unfortunate for the previous owners who are now without a car, it does provide you with an opportunity. To purchase a vehicle at a lower price than most car dealers. These auctions are held weekly and there are a number of car makes and models available for you to choose from.
However we suggest that you do not enter in to an auction without a fixed budget. Because the main reason why so many cars are being repossessed by banks is because people are buying beyond their means.
Instead of buying a vehicle which may not be the flashiest and fits in to their budgets people are purchasing more expensive cars. And paying them off over longer periods.
In addition to this you don’t need to pay a deposit on a vehicle. But rather can pay a balloon payment at the end of your repayment period.
With extended instalment periods this has led people to believe that they will actually be able to afford these more expensive vehicles. Because they believe that in five years from when they purchase the car they will be earning more.
This is very rarely the case and as a result they spend all of this time paying off instalments on a vehicle which they cannot afford. Then they have to pay the bank the balloon payment.
To Summarize
In summary we have learnt that there are online and offline vehicle auction events with FNB repossessed cars for sale in South Africa.
So check out the car makes and models available online. Also look for the dates and places of upcoming Wesbank auctions in your area.
Finally don’t get caught up in the excitement of the auction. It will serve you better to buy a more modest car. Instead of getting a car to impress people only to lose it back to the banks.