Can you re-negotiate the interest rate on a car bond?

You can try. You're negotiation from a weak position though so you won't get far unless you refinance the entire loan.
 
Have tried it in the past.. bank told me to STFU!
 
The best/easiest way to save is to make additional payments on your car, translating into less interest paid over time.
Creditors are very adverse to changing interest rates, because that how they make money.
 
I tried to. Wesbank refused to saying that it was fixed from the initial date and that I had accepted it. I told them that I have repeatedly renegotiated homeloans which you also agree on before hand and they didn't care. They said it stood in the terms and conditions, I asked them to prove it and they could not. They then retracted the statement, and just said that they would not. I lodged a complaint with the NCR and they couldn't care less.

I've since paid off my Wesbank account about 4 years in advance, and we will be paying off my wives car in the next 2 months. Also several years in advance.
 
If you add your vehicle onto your house bond you may be able to negotiate a better rate.
Just make sure you pay it off faster otherwise you're going to end up paying more in the long run even at a lower interest rate.
 
Once you sign, you are screwed. I was once caught in that situation & ended up selling my car just so I could get out of that contract. The next car I bought I refused to sign until I got the rate I wanted & I got it :)
 
I did one better... bought the damn car CASH! Will NEVER do finance again!
 
srothman said:
The best/easiest way to save is to make additional payments on your car, translating into less interest paid over time.
Creditors are very adverse to changing interest rates, because that how they make money.
Click to expand...

Not quite. You have to generally tell them you are going to be paying an extra amount and that doesnt mean adding a couple of hundred Rand to you normal repayments. If you do this it wont be used against the interest so doesnt help a lot.
 
Freshy-ZN said:
If you do this it wont be used against the interest so doesnt help a lot.
Click to expand...

I'm not a financial boffin but I've never heard of payments going towards paying off interest or capital separately.
Interest is calculated on the outstanding capital - there's no separate interest and capital balances that you can pay off separately.
 
Paul_S said:
I'm not a financial boffin but I've never heard of payments going towards paying off interest or capital separately.
Interest is calculated on the outstanding capital - there's no separate interest and capital balances that you can pay off separately.
Click to expand...

+1 My wife and I do this with all our cars to pay them off sooner. We pay more than what we need to and every year I just ask themto recalculate the finance and I basically get two options of either paying less amounts on my monthly installments for the same period the car was taken out on or the installments stay the same but the period decreases.
 
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