Car refinancing in Cape Town can be a daunting task for most people because of their failure to understand all the technical terms, legalities and lengthy processes involved. So, before you decide on this option of financing, understand the terms and obtain information on car refinancing in Cape Town.
Also called vehicle refinancing, this option is all about replacing your existing car loan with a new one bearing new terms and conditions, typically from a new creditor. It holds different results for different persons; therefore, it is important to understand why you are seeking this type of refinancing and what goals you aim to achieve with it.
Vehicle refinancing is used to reduce monthly car loan payments, making cash available. Some people may wish to decrease their interest rates, remove signatories or simply get their loan terms adjusted by extending the repayment period.
Car Refinancing in Cape Town
Not only is it a good way to reduce monthly payments on your existing loans, car refinancing in Cape Town can be an easy task if you have all the information. There is no doubt in saying that the process is easier than when you first applied for a car financing.
To start with, you need to get all your documents ready, and then apply for vehicle refinancing through a company such as Carfin. Normally, you will be asked to fill out an application form and submit that to the company along with all the required supporting documentation. The company will then examine your documents, bank statements, and credit and payment history. You will also be asked to provide the kilometre reading and the VIN number of your car.
When you apply for car refinancing in Cape Town, some companies may also ask you to produce a notarised power of attorney if there is any title issue with your car. This requirement can be an irritation for many people, but in reality it is not as onerous as it may seem. You can simply visit a bank or post office to do so.
To secure car refinancing in Cape Town, you must make sure that your current loan repayments are up to date. This is particularly important because you are still in a legally binding agreement with your existing finance company until the new company has accepted your application, and has paid off your existing company. Moreover, there is a chance that your new company will reject your application for vehicle refinancing on grounds that you have failed to make your recent payment.
For more information on vehicle refinancing, please get in touch with Carfin. We are a household name when it comes to car refinancing in Cape Town. Apply for refinance today.