If you’re in the market for a car, you have probably made peace with the fact that you’ll have to borrow money from the bank in order to buy it – but is this really true?
There are many good reasons to avoid taking out loans and buying a car on credit: The difficult application process, high credit score required to qualify for vehicle finance, and the added burden of paying interest and balloon payments at a time when the economy is doing badly – to mention just a few.
Is there really an alternative to vehicle financing?
Until recently, South Africans simply didn’t have a choice when it came to buying a car. Either you had to pay cash and buy a cheaper, less reliable used car with way too many kilometres on the clock, or sign a vehicle finance agreement with high interest rates and large final payments that would wipe out your annual savings.
Fortunately, there is now a better, consumer-friendly way to buy a car.
Rent to buy your next car
If you’ve taken the decision to avoid credit, you’ll be pleased to know that there’s a way to buy a car, avoid bank financing and credit checks, and still end up owning your vehicle without having to budget for massive balloon payments.
The rent-to-buy system allows you to choose from a range of quality vehicles, with a simple repayment system. It works like this:
- You select a vehicle from our range of quality cars and bakkies
- We will request your proof of income (with a minimum monthly salary of R12 000)
- We will also require a deposit of at least R10 000
- Your rent-to-buy agreement will last 54 months. After this, you can choose to buy your car outright for a small amount – starting at R1500
Compared to the stress and complications involved in applying for bank vehicle financing, a rent-to-buy agreement offers a simple solution that doesn’t involve credit checks or lengthy waiting times. You also won’t have to pay residual (or balloon) amounts at the end of your contract if you choose to buy your vehicle outright.
Ready to buy a car the fair way? Contact us today
If you’d like to find out more about our rent-to-buy vehicles, contact our team today. We look forward to answering any questions you may have as we guide you through the process.