Yes you can get car finance if you are blacklisted here in South Africa to buy a new car. Although it won’t be a vehicle loan from Absa or Capitec or FNB or any other bank for that matter. Because the banks can’t finance people for a vehicle if they have a bad credit record or as most people say, are blacklisted.
This short video explains more on how to buy a car if you are blacklisted in South Africa.
Transport is a necessary and important part of living your daily life. There are of course many ways in which you can get around besides buying a vehicle. Make sure you consider these before trying to purchase a car.
If you are blacklisted you should be especially careful of taking out loans as you do not want to worsen your credit situation.
This may also interest you: Blacklisted Car Finance for People in South Africa
Everybody needs to get around every day. Sometimes to several destinations and usually on a tight schedule. To keep to a schedule successfully you must have reliable transport. That gets you to your destination and home safely and on time.
Where Can you Buy a Car while blacklisted?
A good credit record is one of the most important things you can have when you are attempting to buy expensive assets that require financing from a financial service provider.
If you have a bad credit record, most reputable financial service providers will consider you a risk. You will find it difficult to be approved for a loan to finance your vehicle.
However, while it is difficult, it is possible to find finance to purchase a vehicle if you have a bad credit record or if you are blacklisted.
Some of the companies who will offer car finance to someone who has been blacklisted include:
- Loan Finder South Africa
- No Finance Cars
- JE Financial Consulting
- Think Money
- Easy Cars
Dangers of Loans to Buy a Car when Blacklisted
Although there are financial service providers who will finance a loan for a blacklisted individual, it is not always a good idea to get a loan if you have already had trouble with credit in the past.
Also, many financial service providers who are willing to finance loans for blacklisted individuals may be loan shark agencies.
Loan shark agencies will often charge extortionate interest rates that can compound to up to 1,000 % in just a few months.
If you can avoid getting yourself into further debt it is definitely something you should consider. However, if it is unavoidable and you have to take out a loan to finance a vehicle while you are still blacklisted, you should make sure you take out a loan that you can pay back.
Alternative Transport Options
You must be able to get to a hospital or a police station in an emergency as quickly as possible. Some of the ways in which you can get around include the following:
A private taxi will get you from your doorstep right to the door of your destination. You will be safe and will not have to worry about parking. But it is unlikely that most people can afford private taxis for their everyday use as they are quite expensive.
Minibus taxis pick customers up from specific drop off and pick up points. Meaning that you would have to walk from your home or office to these points. However this can be dangerous. Especially if you are travelling at night in a bad area or carrying valuable goods with you.
Bus and train:
Taking the bus or train is quite cheap. But you will still have to get to and from the bus stops and train stations and work to their schedule. This means making your own way part of the journey and might mean that you are late for appointments. Because you will be working to the bus or train’s schedule rather than your own.
Your own vehicle:
Purchasing your own vehicle would mean that you can get wherever you want to go whenever you want to go there. You will be able to work to your own schedule and you will have immediate, reliable transport in the case of an emergency.
However, as vehicles are incredibly expensive, most people are obliged to take out loans with creditors to pay for them.
To Summarize Car Finance for Blacklisted People
In summary we have learnt that you can buy a car when you are blacklisted in South Africa. And we have listed a few of the companies where you can get the finance for your new vehicle.
Therefore do a bit of research yourself. Have a look at the reviews of the companies that offer blacklisted car finance. To be sure you are dealing with a creditable lender or vehicle dealership.
It can be challenging with a bad credit record. But if you need new wheels and you can’t afford to buy a car cash. Then vehicle finance is the next best thing.