Vehicle Finance for Blacklisted People Needing Car Loans

Car loans for people with bad credit and find themselves blacklisted or struggling to get finance for a new or used vehicle in South Africa are a need that has become commonplace over the last few years and seems to be in growing demand. If you are a person that finds themselves struggling to borrow money for transport from the major banks, ABSA, Standard Bank, Nedbank and FNB, then although it may feel as though you have no hope in being able to obtain cash to buy that new set of wheels, all is not lost. What really counts is exactly just how poor your credit record actually is and what, if any, judgements you may have listed with the ITC against your name. The more black marks and judgments you have against your credit record then the more you are seen as a risk by any lending institute and the less likely you are to be approved for any types of finance available in the country.

Before applying for any types of vehicle finance available your first step is to find out where you are blacklisted and with which companies or if you are listed as having any judgments against your credit record with the ITC. You see these days everything gets recorded on your financial history. So if you apply for car loans at several companies offering to lend people money and you are already listed as having a bad credit record then the chances are you will be denied. Following that, the next time you attempt to apply to borrow cash from somewhere, the lending company will be able to see that you were declined an application recently. So the first course of action is to find out if you are on a blacklist and do what ever you can to contact the company that has listed you and try to resolve and pay any outstanding debt you may have with them.

The cleaner your financial history is before you apply to borrow from any lender, the more chance you will have of your application being approved. Property owners are in a stronger position to borrow money as there is the option of securing a loan with the value of a house or land. Beware of this type of borrowing though and know that if you default on payments due to your financial circumstances in the future, the bank or institute that has lent you cash have every right to repossess your property or land and sell it as a means to recover their costs.

Spending some time and research both over media such as the Internet or offline in your local newspapers and auto related publications will reveal that there are lenders willing to finance vehicles for blacklisted people in South Africa. However, there are also many loan sharks and micro lending companies that are not quite operating within the boundaries and laws of the National Credit Act. One just needs to exercise a level of caution and common sense and if you can afford to get legal advice from a financial lawyer to help you clear your bad credit and put you in a stronger position to get approved for a loan for a car then that will certainly be in your favour.