Vehicle Finance South Africa

Not through Carfin. Carfin's minimum is R10,000 take-home pay a month, because below that the banks Carfin works with rarely find a car instalment affordable once your living costs are counted. If your income is under R10,000, Carfin will tell you so up front rather than send an application that will be declined.

There is no single number. Carfin looks at your whole credit profile: how you pay your accounts today, any arrears, defaults or judgments, and whether you are under debt review. Each bank then uses its own scoring model and also weighs your income, existing debt, job history and the car, so one bank may approve a profile that another declines. The pre-qualification shows where you stand.

No. Carfin's pre-qualification is a soft check, so it has no effect on your credit score. It tells you whether Carfin can take your application to the banks. It is not an approval: the banks decide on the full application, which goes to them with one credit enquiry.

Your South African ID, your driver's licence, your latest 3 months' payslips (or 6 months' bank statements if you are self-employed, or a pension letter if you are retired), your latest 3 months' bank statements and proof of address not older than 3 months. You need no documents for the pre-qualification. Your consultant confirms exactly what to send once you have applied.

No. While you are under debt review the National Credit Act does not allow any lender to give you new credit, including car finance. Once your debt counsellor issues a clearance certificate, you can apply again.

Carfin's fee is R7,900 in total: an R5,950 admin fee (VAT included) plus R1,950 registration, paid at cost to the licensing department. Licensing is separate. You see every cost before you sign.

A broker like Carfin sends your one application to several banks at the same time, instead of you applying at one bank after another. Each bank assesses you on its own and comes back with an offer. Carfin's consultant negotiates those offers, explains each one, and handles the paperwork all the way to payout. You choose the offer, or none.

Yes. Carfin arranges finance for new and used vehicles. Banks look at a used car's age, mileage and condition. Each bank sets its own limits on age and mileage. An older or high-mileage car may get a higher rate, or the bank may lend a smaller share of its value. Your consultant tells you what the bank needs for the car you want.

Yes. Private sale finance is one of Carfin's specialities. Carfin checks the car's title, settles any finance still owing with the seller's bank, pays the seller by EFT and makes sure ownership transfers cleanly. No cash changes hands between buyer and seller. The private sale finance page explains each step.

A fixed rate is set when you sign and does not change for the whole term, so your instalment stays the same. A linked rate moves with the South African prime lending rate: if prime goes up your instalment goes up, and if it falls you pay less. Fixed rates are usually set a little higher on the day you sign, because the bank carries the risk of rates moving. Carfin shows you the monthly difference on your own deal before you choose.

A balloon (or residual) is a lump sum left to the end of your finance term. It lowers every instalment, but you pay interest on it for the whole term and still owe it at the end. For example, on R315,000 financed at an example rate of 11.75% over 72 months, the instalment is R6,117 without a balloon and R5,208 with a 30% balloon of R94,500. When the term ends you settle the balloon in cash, refinance it, or sell or trade in the car. Use one only if you have a plan for that lump sum.

Your own bank gives you one assessment at its own rate. Carfin sends one application to the top banks at the same time, so you see more than one answer, and a consultant negotiates the offers for you. Carfin also does the admin: collecting documents, submitting, and arranging payout to the dealer or seller.