Vehicle cash loans and blacklisted finance solutions are out there. You just need to know where to look. Getting vehicle finance from a bank can sometimes be impossible. Because of the fact that the banks are regulated by credit laws. Which they have to stick to. This does not help if you are looking to be on track with your credit rating.
However this does not mean that there is no hope for you. Your first point of call should be the Internet. As there are lots of sites out there offering financial solutions. For people who are in need of vehicle financing and who may not have the best credit history.
Read More: Finance an Automobile even with Bad Credit
These companies understand that in South Africa we do not have a very reliable public transport system. Therefore we require cars to get us around.
They also understand that in order to get a positive credit rating back, it requires the individual to prove that they can pay back installments.
Getting Vehicle Cash Loans Online
A lot of the places offering vehicle finance to blacklisted customers do so by means of either bad credit car loans. Or rent-to-buy finance options.
These vehicle cash loans are easy to find if you type in the right key words. How a lot of these places work is by having you fill in an online application. Which then are sent to a number of registered credit providers.
From there it is a waiting game to see if anyone will consider your unique circumstances and grant you a loan. If you can prove that you have a steady income. Or have property or something of value which you could use as collateral to sign against the money that you will end up owing. Then your chances are better to qualify for finance in this way.
Be Careful With Bad Credit Finance
A word of caution if you plan on a bad credit loan. Firstly you need to consider if signing your property or home in to the agreement as collateral is a good idea.
The reason I provide this caution is because if you don’t pay your payments then the lender has every legal right to take your property. And sell or auction it off in order to recover the outstanding amount on the loan.
This could end up being the worst case scenario for you as not only will you end up car-less and broke. But you may be in a position of becoming homeless as well.
In addition, this again will negatively reflect on your credit history and the chances of you securing a loan will become slim to none.
Rent To Buy Vehicles in South Africa
If you cannot secure a bad credit loan. Then do not worry, there is another option for you: Rent-to-buy vehicles.
How these companies work is that they purchase a number of vehicles and you can then rent them on a monthly basis. Should you pay your monthly installments for the length of the agreement you can then opt to buy the vehicle.
This is great if you are blacklisted as these companies rent the vehicles on a monthly basis. Therefore generally do not have penalties should you not be able to pay.
If for some reason you cannot afford your monthly installment. Then you simply take the car back to the dealership. And they will rent it out to someone else.
This therefore will not negatively reflect on your credit history. And should you be able to keep up your installments… You can end up with a car at the end of the deal.
There are quite a few legally registered financial credit providers offering to help South Africans get approved for a car loan. Even if you’re on a blacklist or have a bad credit history.